Pittston Coal Company Collapse

Improved Essays
On February 26, 1972, towns in Logan County, West Virginia were devastated and destroyed by a massive flood caused by a local dam that had burst. The Pittston Coal Company had three different dams that played different roles in day-to-day operations, but one day, dam number three was no more.
In the 1960s and very early 1970s, the Pittston Coal Company was the number one independent coal producing companies in the country. They were also fourth in concerns when it came to coal mines in the United States. The Pittston Coal Company owned almost 400,000 acres on the Appalachian Mountains, which was the top five for landowners in the area. They had 1.5 billion tons of coal reserves on hand, which was used to make steel made in Philadelphia. The company also was an oil company, owned and created warehouses, and they built armored cars. They were thriving. The controversy started here because just four days before the dam collapsed, a federal mine inspector rated the dam “acceptable” and “satisfactory”. When the dam burst, over 130,000,000 gallons of black water flooded the towns below. During this incident 125 people were killed and over 1,100 people were injured. Of the 16 towns that were affected,
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They decided not to indictment the company. When that happened, lawsuits shortly followed. There were 625 adult residents seeking $32 million in property damage and help for emotional damage. It was settled out of court for $13.5 million, which ends up being about $13,000 per plaintiff. The next lawsuit came for the children involved. 384 children who survived the flood were seeking $225 million, but ended up settling for $4.8 million out of court as well. In 1977, just three days before the governor left office, he settled for $1 million of a $100 million lawsuit to help pay for the state damages. This governor was later arrested for ethics violations while in

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