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Atlas Metal co-owner bail set at $1 million while judge halts certain company operations

Judge orders Atlas Metals to stop processing at Watts facility amid federal lawsuit
Judge orders Atlas Metals to stop processing at Watts facility amid federal lawsuit 02:04

A Los Angeles Superior Court judge ordered one of the two owners of a Watts scrap metal facility to remain jailed on Monday with bail set at $1 million.

The decision came as the two owners of S&W Atlas Iron and Metal Corp. were jailed last week in connection to accusations of polluting a nearby high school campus with metal projectiles and harmful toxins in the soil.

Gary Weisenberg, 78, of Encino and Matthew Weisenberg, 37, of Los Angeles were taken into custody and jailed after state inspectors found containers of acetylene -- a highly flammable gas during a visit to the facility this month, which was a violation of a prior court order.

The facility was not to accept any gasoline if the containers had not been punctured or cut as a condition of the pair's release on their own recognizance following a grand jury indictment charging them with 21 counts.

The two were initially ordered to remain jailed Thursday without bail pending Monday's bail hearing. An emergency petition was filed on behalf of the elder Weisenberg, seeking his release on "urgent medical grounds." His bail was set at $100,000 and he was released Saturday on bond, according to jail records.

The same bail amount was requested for Matthew Weisenberg, but was denied. Attorneys for Matthew said the $1 million amount was "simply unachievable."

The judge ordered the company not to receive any loads of scrap metal until he signs revised protocols, saying that he hopes it can be done "expeditiously."

The company will also be prohibited from accepting any gas cylinders or tanks and will be subject to regular, unannounced visits by the Department of Toxic Substances Control, with the judge saying that he needs "greater regulatory oversight" at the facility.

Jordan High School opened in Watts in 1923. Atlas Metal opened its facility next door more than 20 years later, in 1949.

"Atlas and its principals have always been, and will continue to be, good members of the Watts community and share the common goal of safety of the community," the company said in a statement. "While we disagree with the District Attorney's characterization of Atlas, we welcome clear direction from the Court so that the company can move forward and comply with its obligations."

In 2020, the LA Unified School District filed a federal lawsuit against Atlas Metal alleging it was illegally dumping hazardous waste and posing serious health risks to students and staff. The Environmental Justice Unit of the City Attorney's Office later sued the company over allegedly being a public nuisance, saying it pollutes the area with dangerous and illegal waste dumping, noxious fumes and excessive noise. 

Students and staff have reported finding metal shrapnel and other debris while unsafe lead levels have been detected in soil samples, showing levels that exceed government safety standards. In the past, school district lab testing of soil taken from the campus's softball field and from inside classrooms found lead concentrations of up to 790 micrograms per square foot.

That's more than 75 times higher than the level the U.S. Environmental Protection Agency (EPA) defines as hazardous. 

Atlas Metal has denied allegations of harmful pollution before, calling LAUSD's claims in 2022 that state inspectors had found dangerous levels of lead and other metals as "factually groundless."   

The latest incident included an explosion at the facility on Aug. 12, 2024, the first day of class for Jordan High School students. Owners at the time were already facing felony criminal charges in connection with years-long allegations of illegal dumping. 

After the Weisenbergs were taken into custody on Thursday, District Attorney Nathan Hochman said in a statement that the high school students should never have been put in harm's way. 

"This case is progressing toward justice for the children, educators and community members who were endangered by this explosion. No business has the right to recklessly jeopardize public safety, and we will continue to hold those responsible accountable," he said.

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