VIA CERTIFIED MAIL #_____________________

NOTICE OF VIOLATION

To: Darshan S. Dhaliwal, President William Hasbrook, Registered Agent

Bulk Petroleum Corporation Bulk Petroleum Corporation

9653 North Granville Road 120 East Market Street, Suite 410

Mequon, WI 53097 Indianapolis, IN 46204

Cause No. A-3520

Cause No. A-3864

Cause No. A-3863

Cause No. A-3897

Designated representative(s) of the Indiana Department of Environmental Management (IDEM) conducted inspections at three (3) gasoline stations owned and operated by Bulk Petroleum Corporation, located at 9653 North Granville Road, in Mequon, Wisconsin (Respondent).

The first of these inspections was conducted on January 12, 1996, at Kerr McGee gasoline station No. 80, located at 4067 Broadway Street in Gary, Indiana. At the time of this inspection the inspector noted that this facility was not equipped with a certified vapor collection and control system, as required by 326 IAC 8-4-6(e). On July 9, 1996, during a subsequent inspection of this facility the inspector noted that the required vapor collection and control system had not been installed, also a violation of 326 IAC 8-4-6(e).

On January 19, 1996, a representative of IDEM conducted an inspection of Kerr McGee gasoline station No. 605, located at 7200 Melton Road in Gary, Indiana. At the time of this inspection, the inspector noted that this facility was not equipped with a certified vapor collection and control system, as required by 326 IAC 8-4-6(e). During this same inspection, the inspector concluded that the vapor balance system on the underground storage tanks (USTs) was coaxial however the regular unleaded fill tube did not have a coaxial sleeve, a violation of 326 IAC 8-4-6(b)(3). On September 5, 1996, during a subsequent inspection of this facility the inspector noted that the required vapor collection and control system had not been installed, a violation of 326 IAC 8-4-6(e). In addition, the vent pipe attached to the USTs this facility was not equipped with a pressure/vacuum relief valve, a violation of 326 IAC 8-4-6(b)(2).

On August 8, 1996, a representative of IDEM conducted an inspection of Kerr McGee gasoline station No. 149, located at 801 West Ridge Road in Hobart, Indiana. At the time of this inspection, the inspector noted that this facility was not equipped with a certified vapor collection and control system, as required by 326 IAC 8-4-6(e).

In accordance with IC 13-30-3-3, the Commissioner is required to notify you in writing that the Commissioner believes a violation exists and offer you an opportunity to enter into an Agreed Order providing for the actions required to correct the violations and for the payment of a civil penalty. The Commissioner is not required to extend this offer for more than sixty (60) days.

If settlement is not reached within sixty (60) days of your receipt of this Notice, the Commissioner may issue an Order pursuant to IC 13-30-3-4 containing the actions you must take to achieve compliance, the required time frames, and an appropriate civil penalty. Pursuant to IC 13-30-4-1, the Commissioner may assess penalties of up to $25,000 per day of any violation.

The timely entry into an Agreed Order will prevent the necessity of an Order of the Commissioner being issued under IC 13-30-3-4, or the filing of a civil court action under IC 13-14-10 or IC 13-14-2-6. The advantages of entering into an Agreed Order are:

1. You may not be required to admit that any violation occurred.

2. The civil penalty may be less than that imposed under an Order of the Commissioner.

To discuss this matter further, please contact Matthew Stuckey at (317) 233-1134 within fifteen (15) days after receipt of this Notice to request a conference. If settlement is reached, an Agreed Order will be prepared and sent to you for review and signature.

For the Commissioner:

Date: ____________________ _Signed on 9/22/97___________

David J. Hensel

Director

Office of Enforcement

Enclosure

cc: Frank Acevedo, US EPA Region 5

Lake County Health Department

Marlene Svetic, Hammond Department of Environmental Management

Ed Taylor, Office of Legal Counsel

Matthew Stuckey, Office of Enforcement

Vaughn Ison, Office of Air Management

Lynne Donahue, Office of Enforcement

Enforcement File