[Federal Register Volume 62, Number 231 (Tuesday, December 2, 1997)]
[Notices]
[Pages 63731-63732]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-31521]


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NUCLEAR REGULATORY COMMISSION

[IA 97-087]


Finis Scott Bandy; Order Prohibiting Involvement in NRC-Licensed 
Activities (Effective Immediately)

I

    Finis Scott Bandy was formerly employed by Omaha Public Power 
District (OPPD) as an instrumentation and control technician at OPPD's 
Fort Calhoun Station nuclear power plant, Blair, Nebraska. OPPD holds 
license No. DPR-40, issued August 9, 1973, by the Nuclear Regulatory 
Commission (NRC or Commission) pursuant to 10 CFR Part 50. The license 
authorizes the operation of the Fort Calhoun Station (FCS) in 
accordance with the conditions specified therein.

II

    In August 1996, the NRC inspected access authorization files during 
an NRC security inspection at FCS. The NRC raised a question about 
arrest information that Mr. Bandy had supplied to OPPD during the 
course of 1993, in connection with his application for unescorted 
access to the plant. The information in question pertained to whether 
Mr. Bandy had been arrested for theft of personal property, as certain 
documents in his file appeared to indicate, or had been arrested for 
excessive speed while driving, as Mr. Bandy claimed. As a result of the 
NRC's questions, OPPD agreed to interview Mr. Bandy in the presence of 
the NRC inspector. During the interview, Mr. Bandy denied that he had 
been arrested for theft and asserted that the only charge he was aware 
of involved excessive speed while driving.
    Based on further questions about the accuracy of Mr. Bandy's 
statements and the information provided by him, Mr. Bandy's unescorted 
access to FCS was temporarily suspended on August 22, 1996. On August 
26, 1996, OPPD terminated Mr. Bandy's employment and revoked his 
unescorted access to FCS. OPPD then conducted an investigation and 
determined that: (1) The only charge brought against Mr. Bandy in 1991 
was a charge of theft of personal property; (2) copies of court records 
provided to OPPD by Mr. Bandy had been altered to make it appear that 
the charge had been for speeding; and (3) Mr. Bandy made false 
statements when questioned about his criminal history in 1993 by OPPD 
and in 1996 when questioned by OPPD and the NRC during its inspection. 
The NRC's investigation of this matter concluded that Mr. Bandy 
deliberately falsified criminal history information submitted to OPPD 
in 1993, and provided false information to OPPD and an NRC inspector 
when questioned about this in August 1996.
    On July 22, 1997, the NRC issued a Demand for Information to Mr. 
Bandy, seeking information as to why the NRC should not conclude that 
he engaged in deliberate misconduct and, if so, why the NRC should not 
prohibit his involvement in NRC-licensed activities. On July 29, 1997, 
Mr. Bandy contacted the NRC's Office of Enforcement, indicated that he 
had no interest in being involved in NRC-licensed activities, and 
indicated that he would be willing to consent to an order prohibiting 
his involvement in NRC-licensed activities. On August 19, 1997, the NRC 
sent a letter to Mr. Bandy formally seeking his consent to a 
confirmatory order prohibiting his involvement in NRC-licensed 
activities for five years. Mr. Bandy failed to respond to this letter 
or to NRC efforts to contact him.

III

    Based on the above, the NRC has concluded that Mr. Bandy engaged in 
deliberate misconduct in 1993 and in August 1996, by: (1) Deliberately 
falsely stating to OPPD during the course of 1993 that he had been 
convicted in 1991 of excessive speeding while driving when, in fact, he 
had been convicted of theft of personal property, and by deliberately 
altering copies of court records that were provided to OPPD; and (2) 
deliberately falsely stating in August 1996 to OPPD and an NRC 
inspector that he had been convicted in 1991 of excessive speeding 
while driving. These actions constituted a violation of 10 CFR 
50.5(a)(2), which prohibits an individual from deliberately submitting 
to the NRC or a licensee information that the person submitting the 
information knows to be incomplete or inaccurate in some respect 
material to the NRC. In this case, the information that Mr. Bandy 
provided regarding his personal history was material because licensees 
are required to consider such information in making unescorted access 
determinations in accordance with the requirements of 10 CFR 73.56.
    The NRC must be able to rely on the licensee and its employees to 
comply with NRC requirements, including the requirement to provide 
information that is complete and accurate in all material respects. Mr. 
Bandy's actions in deliberately providing false information to the 
licensee and to the NRC constitute deliberate violations of Commission 
regulations. His conduct raises serious doubt about his trustworthiness 
and reliability; particularly whether he can be relied upon to comply 
with NRC requirements and to provide complete and accurate information 
to NRC licensees in the future.
    Consequently, I lack the requisite reasonable assurance that 
licensed activities can be conducted in compliance with the 
Commission's requirements and that the health and safety of the public 
would be protected if Mr. Bandy were permitted at this time to be 
involved in NRC-licensed activities. Therefore, the public health, 
safety and interest require that Mr. Bandy be prohibited from any 
involvement in NRC-licensed activities for a period of five years from 
the date of this Order. Additionally, Mr. Bandy is required to notify 
the NRC of his first employment in NRC-licensed activities following 
the prohibition period. Furthermore, pursuant to 10 CFR 2.202, I find 
that the significance of Mr. Bandy's conduct described above is such 
that the public health, safety and interest require that this Order be 
effective immediately.

[[Page 63732]]

IV

    Accordingly, pursuant to Sections 103, 161b, 161i, 161o, 182 and 
186 of the Atomic Energy Act of 1954, as amended, and the Commission's 
regulations in 10 CFR 2.202 and 10 CFR Part 50, It is hereby ordered, 
effective immediately, that:
    1. Finis Scott Bandy is prohibited from involvement in activities 
licensed by the NRC for a period of 5 years. NRC-licensed activities 
are those that are conducted pursuant to a specific or general license 
issued by the NRC, including, but not limited to, those activities of 
Agreement State licensees conducted pursuant to the authority granted 
by 10 CFR 150.20.
    2. If Finis Scott Bandy is currently involved with another employer 
in NRC-licensed activities, he must immediately cease such activities, 
and inform the NRC of the name, address and telephone number of the 
employer, and provide a copy of this Order to the employer.
    3. For the five-year period after the above period has expired, Mr. 
Bandy will notify the Director, Office of Enforcement, U.S. Nuclear 
Regulatory Commission, Washington, D.C., 20555, within 20 days of the 
first time he accepts employment in NRC-licensed activities, as defined 
in Paragraph IV.1 above. In the notification, he will include a 
statement of his commitment to comply with regulatory requirements and 
address why the NRC should have confidence that he will comply with 
regulatory requirements, and the name, address and telephone number of 
his employer or entity where he will be involved in licensed 
activities.
    The Director, Office of Enforcement, may relax or rescind, in 
writing, any of the above conditions upon a showing by Mr. Bandy of 
good cause.

V

    In accordance with 10 CFR 2.202, Mr. Bandy must, and any other 
person adversely affected by this Order may, submit an answer to this 
Order, and may request a hearing within 20 days of its issuance. Where 
good cause is shown, consideration will be given to extending the time 
to request a hearing. A request for extension of time must be made in 
writing to the Director, Office of Enforcement, U.S. Nuclear Regulatory 
Commission, Washington, D.C. 20555, and include a statement of good 
cause for the extension. The answer may consent to this Order. Unless 
the answer consents to this Order, the answer shall, in writing and 
under oath or affirmation, specifically admit or deny each allegation 
or charge made in this Order and shall set forth the matters of fact 
and law on which Mr. Bandy, or any other such person adversely 
affected, relies and the reasons as to why the Order should not have 
been issued. Any answer or request for a hearing shall be submitted to 
the Secretary, U.S. Nuclear Regulatory Commission, ATTN: Chief, 
Docketing and Service Section, Washington, D.C. 20555. Copies also 
shall be sent to the Director, Office of Enforcement, U.S. Nuclear 
Regulatory Commission, Washington, D.C. 20555, to the Assistant General 
Counsel for Hearings and Enforcement at the same address, to the 
Regional Administrator, NRC Region IV, 611 Ryan Plaza Drive, Suite 400, 
Arlington, Texas 76011, and to Mr. Bandy. If a person other than Mr. 
Bandy requests a hearing, that person shall set forth with 
particularity the manner in which his or her interest is adversely 
affected by this Order and shall address the criteria set forth in 10 
CFR 2.714(d).
    If a hearing is requested by Mr. Bandy or a person whose interest 
is adversely affected, the Commission will issue an Order designating 
the time and place of any hearing. If a hearing is held, the issue to 
be considered at such hearing shall be whether this Order should be 
sustained.
    Pursuant to 10 CFR 2.202(c)(2)(i), Mr. Bandy may, in addition to 
demanding a hearing, at the time the answer is filed or sooner, move 
the presiding officer to set aside the immediate effectiveness of the 
Order, on the ground that the Order, including the need for immediate 
effectiveness, is not based on adequate evidence but on mere suspicion, 
unfounded allegations, or error.
    In the absence of any request for a hearing, or written approval of 
an extension of time in which to request a hearing, the provisions 
specified in Section IV above shall be final 20 days from the date of 
this Order without further order or proceedings. If an extension of 
time for requesting a hearing has been approved, the provisions 
specified in Section IV shall be final when the extension expires if a 
hearing request has not been received. AN ANSWER OR A REQUEST FOR 
HEARING SHALL NOT STAY THE IMMEDIATE EFFECTIVENESS OF THIS ORDER.

    Dated at Rockville, Maryland this 19th day of November 1997.

    For The Nuclear Regulatory Commission.
James Lieberman,
Director, Office of Enforcement.
[FR Doc. 97-31521 Filed 12-1-97; 8:45 am]
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