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Judge declines $500k fine for Navassa chemical company despite years of river pollution

File: The N.C. Coastal Land Trust purchased 265 acres along 1.1 miles of the Cape Fear River in Bladen County for conservation purposes.
Coastal Land Trust
File: The N.C. Coastal Land Trust purchased 265 acres along 1.1 miles of the Cape Fear River in Bladen County for conservation purposes.

A controversial court decision is sparking community outrage down in southeastern North Carolina; a Wilmington chemical company has escaped a massive fine for environmental pollution, while its owner secures freedom for a little while longer.

After years of dumping toxic chemicals into the Cape Fear River, American Distillation Incorporated has successfully avoided a $500,000 fine. A federal judge also granted the company’s owner, Andrew J. Simmons Jr., a last-minute delay before he must report to prison. Simmons was sentenced to 10 months in prison for failing to pay federal taxes.

Simmons is a repeat offender with a history of committing the exact same crimes. In 2003, he served two years in federal prison for dumping oil into the Cape Fear River and evading taxes at the very same Navassa property where American Distillation operates. Decades later, history repeated itself as federal investigators caught his company illegally dumping chemical wastewater to boost profits while Simmons again faced federal charges for failing to pay his taxes.

Local environmental groups and residents who rely on the river for drinking water are calling the ruling a devastating blow to public safety and accountability.

State regulators say the legal loophole used by the company undermines years of investigation into toxic runoff. Attorneys for American Distillation argue the financial penalty would have forced immediate bankruptcy and mass layoffs.

Annette is an award-winning journalist based in Eastern North Carolina. Her career includes professional stops across the Midwest, Pacific Northwest, and Southeast, recently culminating in a 2026 Region 8 Edward R. Murrow Award for Small Market Radio Best News Series for her work on the Camp Lejeune Justice Act Series. Guided by a passion for human-interest storytelling, she focuses on narratives that touch hearts and connect communities. A mother of four and grandmother of two, Annette enjoys reading and creating epic Halloween costumes in her spare time. If you have a story idea to share, please reach out by email to westona@cravencc.edu.