[Federal Register Volume 64, Number 68 (Friday, April 9, 1999)]
[Notices]
[Pages 17425-17427]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-8870]
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NUCLEAR REGULATORY COMMISSION
[IA 98-059]
Dr. Mohamed El-Naggar; Order Prohibiting Involvement in NRC-
Licensed Activities
I
Dr. Mohamed El-Naggar (Dr. El-Naggar) is the owner of Diversified
Global Enterprise Company (DGE), neither an NRC licensee nor an
Agreement State licensee. DGE purchased the physical assets of DAS
Consult, Inc., (DAS or Licensee), including, in particular, DAS assets
subject to an NRC license. DAS is the holder of Byproduct Material
License No. 34-26551-01 issued by the Nuclear Regulatory Commission
(NRC or Commission) pursuant to 10 CFR part 30. The license authorized
possession and use of moisture density gauges containing byproduct
material in accordance with the conditions specified therein.
II
Between June 19 and 25, 1998, the NRC conducted an inspection of
DAS's
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licensed activities to determine if byproduct material was being used,
stored, or transferred in accordance with NRC regulations. The
inspection was initiated because DAS failed to pay its annual fee and
attempts to contact the Licensee by telephone and mail were
unsuccessful. The NRC inspector discovered that, in January 1997, the
physical assets of DAS, including six moisture density gauges
containing certain byproducts material, were sold to DGE. The gauges
contained sufficient quantities of cesium-137 and americium-241 to
require persons who possess these devices to hold a specific NRC
license. No person may receive or possess byproduct material except as
authorized by a specific or general license as required pursuant to
Section 81 of the Atomic Energy Act of 1954, as amended, and 10 CFR
30.3. Neither Dr. El-Naggar nor DGE had an NRC license.
On June 29, 1998, the NRC Office of Investigations (OI) initiated
an investigation to determine, among other things, whether DGE
possessed six moisture density gauges containing byproduct material in
willful violation of NRC requirements. Based on the evidence obtained
by OI and during a predecisional enforcement conference with Dr. A.
Abdulshafi, the owner of DAS, on January 5, 1999, the NRC staff
concludes that DGE, through the conduct of Dr. El-Naggar, possessed
byproduct material in deliberate violation of NRC requirements. Between
January and May 1997, the gauges containing byproduct material remained
at the original DAS location on Kenny Road, where they were tendered by
Dr. A. Abdulshafi, and trained gauge users who had been authorized to
use the devices under the DAS license. On or about June 1997, DGE moved
the gauges to another location, and the business association between
DGE and DAS ended. Dr. El-Naggar was repeatedly informed by one of his
employees between May and June 1997 that DGE was required to have an
NRC license to possess the gauges. However, Dr. El-Naggar did not
submit an application for an NRC license. In June 1998, as a result of
the NRC inspection at DAS, DAS retrieved the gauges from DGE and
properly transferred them to a company authorized to possess and use
them.
Between December 1, 1998 and January 20, 1999, three attempts were
made by the NRC staff to schedule a predecisional enforcement
conference with Dr. El-Naggar. The NRC staff was unsuccessful in
scheduling this conference with Dr. El-Naggar.
III
Based on the above, it appears that Dr. El-Naggar, owner of DGE,
deliberately violated Section 81 of the Atomic Energy Act of 1954, as
amended, and 10 CFR 30.3. Specifically, the NRC has concluded that Dr.
El-Naggar, knowingly possessed six Troxler moisture density gauges
containing byproduct material without an NRC license. Dr. El-Naggar's
conduct has raised serious doubt as to whether he can be relied upon to
comply with NRC requirements. Consequently, in light of the nature of
the violation, the length of time the noncompliance existed, and the
deliberate nature of the violation, 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 will be protected if Dr. El-Naggar were permitted to be involved
in any NRC-licensed activities. Therefore, the public health, safety
and interest require that Dr. El-Naggar be prohibited from any
involvement in NRC-licensed activities for a period of one year from
the effective date of this Order. Additionally, Dr. El-Naggar is
required to notify the NRC of his subsequent employment in NRC-licensed
activities for a one year period following the prohibition period.
IV
Accordingly, pursuant to sections 81, 161b, 161i, 182 and 186 of
the Atomic Energy Act of 1954, as amended, and the Commission's
regulations in 10 CFR 2.202, 10 CFR 30.3, and 10 CFR 150.20, It is
hereby ordered that:
1. Dr. El-Naggar is prohibited from engaging in NRC-licensed
activities for one year from the effective date of this Order. NRC-
licensed activities are those activities 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 Dr. El-Naggar is involved in NRC-licensed activities on the
effective date of this Order, he must immediately cease such
activities, and inform the NRC of the name, address and telephone
number of the licensee, and provide a copy of this Order to the
licensee.
3. For a period of one year after the one year period of
prohibition has expired, Dr. El-Naggar shall, within 20 days of his
acceptance of each employment offer involving NRC-licensed activities,
or his becoming involved in NRC-licensed activities, as defined in
Paragraph IV.1 above, provide notice to the Director, Office of
Enforcement, U.S. Nuclear Regulatory Commission, Washington, DC 20555,
of the name, address, and telephone number of the employer or the
entity where he is, or will be, involved in the NRC-licensed
activities. In the first such notification, Dr. El-Naggar shall include
a statement of his commitment to compliance with regulatory
requirements and the basis why the Commission should have confidence
that he will not comply with applicable NRC requirements.
The Director, OE, may, in writing, relax or rescind any of the
above conditions upon demonstration by Dr. El-Naggar of good cause.
V
In accordance with 10 CFR 2.202, Dr. El-Naggar must, and any other
person adversely affected by this Order may, submit an answer to this
Order, and may request a hearing on this Order, within 20 days of the
date of this Order. 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, DC 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 Dr. El-Naggar or other
persons 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: Rulemakings and Adjudications Staff, Washington, DC 20555. Copies
also shall be sent to the Director, Office of Enforcement, U.S. Nuclear
Regulatory Commission, Washington, DC 20555, to the Deputy Assistant
General Counsel for Enforcement at the same address, to the Regional
Administrator, NRC Region III, 801 Warrenville Road, Lisle, IL 60532,
and to Dr. El-Naggar if the answer or hearing request is by a person
other than Dr. El-Naggar. If a person other than Dr. El-Naggar 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 Dr. El-Naggar or a person whose
interest is adversely affected, the Commission will issue an Order
designating the time and
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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.
In the absence of any request for hearing, or written approval of
an extension of time in which to request a hearing, the provisions
specified in Section IV above shall be effective and 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.
For the Nuclear Regulatory Commission.
Dated at Rockville, Maryland this 31st day of March 1999.
Malcolm R. Knapp,
Deputy Executive Director for Regulatory Effectiveness.
[FR Doc. 99-8870 Filed 4-8-99; 8:45 am]
BILLING CODE 7590-01-M