Two who ran firm in Annapolis jailed as ocean dumpers

WILMINGTON, DEL. — WILMINGTON, Del. -- Two men who ran a business in Annapolis have been sentenced to prison for ocean dumping.

Yesterday, U.S. District Court Judge Roderick R. McKelvie sentenced William P. Reilly, 66, of Severna Park, Md., to 37 months in prison and fined him $7,500.


He was convicted in June of ocean dumping without a permit, lying to a federal grand jury, and lying to a federal district judge in Philadelphia.

Judge McKelvie also fined John Patrick Dowd of Washington $20,000 and sentenced him to five months in prison to be followed by five months in home detention for lying to a federal grand jury.


Dowd was president and Reilly was vice president of the now defunct Coastal Carriers Inc. of Annapolis. Coastal Carriers operated the cargo ship Khian Sea, which in 1988 dumped 11,000 tons of incinerator ash into the ocean.

Both men plan to appeal.

Federal prosecutor Howard Stewart said Reilly's conviction marked the first time that a U.S. citizen has been convicted of ocean dumping under the federal Marine Protection, Research and Sanctuaries Act of 1972.

"The sentencing reflects the seriousness of the environmental crime that was committed," Mr. Stewart said.

The Khian Sea created an international controversy between 1986 and 1988 when it traveled the globe seeking to dispose of Philadelphia's ash in at least 11 countries on four continents.

The ship was turned away at gunpoint at two ports, the crew almost mutinied, and its engineer was thrown into a Yugoslavian jail.

At the criminal trial last spring, the ship's captain, Arturo Fuentes, testified that he was ordered to dump the ship's ash into the Atlantic and Indian oceans by Reilly and instructed to falsify ship records by Dowd.

The ash was laced with small amounts of arsenic, lead, mercury, cyanide, chromium, dioxins and other chemicals.