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RG Steel Judge Asked To Allow Environmental Appeal

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DOVER, Del. (AP) — Environmentalists are asking a Delaware bankruptcy judge for permission to pursue a federal court appeal in a dispute involving RG Steel’s steel mill in Sparrows Point, Md.

RG Steel, the nation’s fourth-largest flat-rolled steel manufacturer, sought bankruptcy protection in Delaware last month.

Bankruptcy filings routinely bring a halt to all litigation involving the debtor, but environmentalists are asking the judge to lift the automatic stay so they can pursue an appeal they filed just a few weeks before RG Steel’s bankruptcy filing.

The appeal challenges the approval by a federal judge in Maryland of an agreement between RG Steel and government regulators regarding water-quality monitoring for toxic contaminants near the Sparrows Point mill outside Baltimore. Environmentalists contend that the scope of the monitoring is too narrow.

(Copyright 2012 by The Associated Press. All Rights Reserved.)

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