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LAWSUITS NEWS & LEGAL INFORMATION

Fraudulent Reports

Pacifica, CA: (Apr-22-07) The city of Pacifica brought charges against Coastside Scavenger, a garbage company, alleging that the company under reported recycling revenues by over reporting green waste disposal charges totaling $387,510 from 2001-2004. The suit also claimed that the Coastside overcharged customers $246,846 in expenses attributable to its affiliate Seacoast Disposal from 2001-2005. City sources stated that the action breached the franchise agreement the solid waste recycling and yard waste collection and processing company had with the city. Records stated that Coastside disposed of green waste at the Picardo Ranch, a site then owned by the Picardo Family Trust, where it was composted. Louis Picardo is the owner of Coastside Scavenger. Most of the county's waste goes to Ox Mountain.

As part of a settlement reached in the dispute, the company agreed to reimburse $450,000 to its customers over the next four years. Company officials' said that the $112,500 owed annually to customers will not be credited on customers' bills. It will be credited against a Coastside rate increase. Additionally, as part of the settlement agreement, the City Council provisionally approved a rate increase of 9.5 % for the 2007-08 fiscal year. [PACIFICA TRIBUNE: CITY, COASTSIDE SCAVENGER REACH SETTLEMENT OVER GARBAGE AUDIT ISSUES]


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Published on Apr-23-08


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