U.S. Department
of Justice
TPC Group LLC Investigation-Port Neches Explosion
The United States is conducting a criminal investigation arising out of an explosion at a petrochemical facility in Port Neches, Texas. An independent federal agency investigated the incident and described it in a publicly available report:
On November 27, 2019, a series of explosions occurred at the TPC Group (TPC) Port Neches Operations (PNO) facility, located in Port Neches, Texas, after highly flammable butadiene released from the process unit. The explosions caused a process tower to propel through the air and land within the facility, other process towers to fall within the unit, extensive facility damage, and fires that burned for more than a month within the facility.
The butadiene unit was destroyed, forcing the facility to cease butadiene production operations indefinitely. As of the date of this report, the butadiene production operations remain shut down .... Officials in Jefferson County, Texas declared the county to be in a state of disaster and issued a mandatory four-mile radius evacuation order that affected people in the cities of Port Neches, Groves, Nederland, and a portion of Port Arthur. The explosion also led to reduced usage of the Sabine-Neches Waterway, the nation's third largest waterway by cargo volume and a major economic driver in the U.S. The incident caused $450 million in on-site property damage and $153 million in off-site property damage to nearby homes and businesses. Media reports indicated that the blast was felt up to 30 miles away.
U.S. Chemical Safety and Hazard Investigation Board (CSB), Investigation Report No. 2020-02- I-TX (December 2022) at 6, available at https://www.csb.gov/tpc-port-neches-explosions-and-fire/ (CSB Report). The explosion caused injuries to four TPC Group LLC employees and one contractor.
TPC Group LLC publicly reported the existence of the criminal investigation into the explosion as part of a separate bankruptcy litigation. In a Disclosure Statement filed on June 16, 2022, the company stated that both the EPA and the DOJ were investigating the explosion. (See In re TPC Group Inc. Case No. 22-10493-CTG at Doc. 217, p. 39 (D. Del Bankruptcy Court filed June 1, 2022).
The Crime Victim Rights Act (CVRA)
A victim is "a person that has suffered direct physical, emotional, or pecuniary harm as a result of the commission of a crime." 34 U.S.C. § 20141(e)(2). Under the CVRA, a “crime victim” is defined as “a person directly and proximately harmed as a result of the commission of a Federal offense or an offense in the District of Columbia.” 18 U.S.C. § 3771(e)(2)(A). Crime victims are afforded certain enumerated statutory rights, including the "reasonable right to confer with the attorney for the Government in the case," as well the "right to be informed in a timely manner of any plea bargain." 18 U.S.C. §§ 3771(a)(5) and (a)(9). Importantly, the CVRA flatly prohibits any limitation on the executive branch's prosecutorial discretion, stating: ''Nothing in this chapter shall be construed to impair the prosecutorial discretion of the Attorney General or any officer under his direction." 18 U.S.C. § 3771(d)(6).
Contacting the Department of Justice
You may contact the United States Department of Justice, Environmental Crimes Section at 1-833-676-1816 or via email at crimevictimprogram.enrd@usdoj.gov if you believe you are a victim related to this investigation.
NOTE: Our office cannot act as your attorney or provide you with legal advice, and you can seek the advice of an attorney with respect to the possibility that you might be a victim, the rights described above, or other related legal matters.
If you wish to submit any written materials, including a Victim Impact Statement, please provide such documentation to the following email address: crimevictimprogram.enrd@usdoj.gov.
Possibility of Plea Agreements
Additionally, please be aware that federal criminal cases can be resolved by a plea agreement between the United States Department of Justice and a defendant. If you want to inform the prosecutor evaluating the evidence in this investigation of your views regarding potential plea agreements, or any other aspect of the case, please contact the Environmental Crimes Section by one of the means described above.
Important Note
This notice is provided to ensure a reasonable right to confer with the attorneys for the Government in this matter under the CVRA. All individuals and corporations, to include TPC Group LLC, retain their presumption of innocence, and no inference whatsoever of guilt attaches from the existence of this investigation or this notice.
Court Authorization
This Notice has been issued pursuant to the "Order Authorizing Crime Victim Notification" entered on July 13, 2023, by the United States District Court for the Eastern District of Texas (Misc. Case No. 1 :23-MC-00007-MJT).
Update: Criminal Case
There is a criminal case pending in the United States District Court for the Eastern District of Texas entitled United States of America v. TPC Group LLC (Case No. 1:24-CR-39). On May 9, 2024, the Court publicly unsealed this criminal case to permit “the United States to meet its obligation to provide victims with ‘reasonable, accurate, and timely notice of any public court proceeding.’” 18 U.S.C. § 3771(a)(2). (ECF Doc. No. 8, filed on May 9, 2024). That criminal case has a docket entry entered on April 30, 2024, reflecting a Notice of Hearing for an Initial Appearance, Arraignment & Change of Plea set for May 21, 2024, at 2:00 p.m. in Courtroom 6 (Beaumont) before Magistrate Judge Zack Hawthorn.
Update: Entry of Guilty Plea
On May 21, 2024, this case came before the court for entry of a guilty plea by the Defendant, TPC Group LLC, to Count One of the Information. The Defendant entered a plea of guilty to Count One of the Information into the record at the hearing. As factual support for the Defendant’s guilty plea, the Government presented a factual basis, and filed a “Joint Factual Statement” with the court.
On May 24, 2024, Magistrate Judge Hawthorn filed “Findings of Fact and Recommendation on Guilty Plea Before the United States Magistrate Judge,” describing the proceedings and plea agreement in detail, and recommending in part that:
the district court accept the guilty plea of the Defendant, which the [Magistrate Judge] determines to be supported by an independent factual basis establishing each of the essential elements of the offense charged in Count One of the Information. Accordingly, it is further recommended that the district court finally adjudge the Defendant, TPC Group LLC, guilty of the charged offenses under 42 U.S.C. §§ 7412(r) and 7413(c)(1), and aiding and abetting the same, in violation of 18 U.S.C. § 2.
On June 6, 2024, District Judge Michael J. Truncale filed an “Order Adopting Findings of Fact and Recommendation on Defendant’s Guilty Plea,” stating in part that:
The court ORDERS that the Findings of Fact and Recommendation on Guilty Plea of the United States Magistrate Judge are ADOPTED. The court accepts the Defendant’s plea but defers acceptance of the plea agreement until after review of the presentence report. It is further ORDERED that, in accordance with the Defendant’s guilty plea and the magistrate judge’s findings and recommendation, the Defendant, TPC Group LLC, is adjudged guilty as to Count One of the Information charging violations of 42 U.S.C. §§ 7412(r) and 7413(c)(1), and 18 U.S.C. § 2.
Update: Notice of Sentencing Hearing
This information updates the prior Notice of Hearing issued on August 20, 2024. That hearing is now reset for 10/21/2024 at 10:00 AM in Courtroom 2 (Beaumont).
On August 20, 2024, Judge Truncale issued a Notice of Hearing setting sentencing for 9/4/2024 at 10:00 AM in Courtroom 2 (Beaumont).
Publicly Available Information
Publicly available court records can be accessed by using the Public Access to Court Electronic Records (PACER) system, or by contacting the Clerk’s Office for the United States District Court, Eastern District of Texas, United States District Court, Eastern District of Texas, Jack Brooks Federal Building and United States Courthouse, 300 Willow Street, Suite 104 Beaumont, Texas 77701 Phone: (409) 654-7000. Certain select publicly available information is also available by selecting the links below.