FOR IMMEDIATE RELEASE

September 27, 2000

Contact: Elizabeth Isham Cory

Phone: 847-294-7849

FAA Proposes $90,000 Fine Against Kalyna International Trading Corp.

CHICAGO, IL, September 27, 2000 -

The Federal Aviation Administration has proposed to assess a $90,000 civil penalty against Kalyna International Trading Corporation (KIT) of Palatine, Illinois, for allegedly violating Department of Transportation hazardous materials regulations.

FAA alleged Kalyna offered a shipment of 27 fiberboard boxes to Alliance Airlines, the cargo acceptance agent for LOT Polish Airlines at Chicago O'Hare on August 6, 1999, for transportation by air to the Ukraine. The boxes in the shipment contained, among other items: two 2.5 ounce aerosol cans of butane fuel, one 14-ounce can of hair spray, five 10.5 ounce cans of a sealant, two 10.6 ounce cans of 12-1 seam-sealing compound, 11 bottles of nail polish and four bottles of shoe polish. None of these items were accompanied by a Shipper's Declaration of Dangerous Goods. The shipment was improperly described, classed, packaged, marked and labeled for transport by air. In addition to failing to properly mark, label and describe the shipments, KIT failed to provide the proper shipping papers; make emergency response information available; and properly train each HAZMAT employee in accordance with Federal Regulations.

FAA further alleged that KIT asked the Alliance cargo agent perform a "partial inspection." The agent refused and inspected all packages. He informed Kalyna the materials were hazardous and could not be shipped unless they were prepared in accordance with the hazardous materials regulations. The agent also informed KIT that butane was forbidden on passenger aircraft. The KIT representatives allegedly disposed of some of the articles in the trash at the Alliance facility, and asked Alliance not to inform authorities about the discovery. KIT repacked and re-offered the shipment for transport. When the Alliance agents went to properly dispose of the hazardous items in the trash cans, they discovered the materials were missing. Alliance re-inspected the newly-offered shipment and found that KIT representatives had retrieved the hazardous materials they it had placed in the trash and placed them in the shipment. Kalyna International Trading Corporation had 30 days from its receipt of the FAA's Civil Penalty Letter to respond to these allegations.

This announcement is made in accordance with the FAA's practice of releasing information to the public on newly issued enforcement actions involving penalties of $50,000 or more.

--This story is posted courtesy FAA

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