Executive Recycling – 60 Minutes Came Calling – Tip: You Need A Greenwash Crisis Plan!
This is a bit of a chilling tale for any eco entrepreneur! Executive Recycling, a small Colorado based, e-waste recycling center, was founded by Brandon Richter in 2004 with high hopes to provide a green solution to a growing problem. As he put it:
You think that you are doing good sending your computers to a recycling company.. but that is not exactly the case.. “Your e-waste is recycled properly, right here in the U.S. – not simply dumped on somebody else.”
I’m going to give Richter the benefit of the doubt here. When the dreaded call from 60 minutes came (You all know the joke don’t’ you? “What are the 5 most dreaded words a CEO can hear? “This is 60 Minutes calling.”) Richter gladly agreed to help them and gave them access to his records.
Things obviously didn’t turn out so well, since 60 Minutes found that containers of used monitors left his facility and were shipped overseas, ending up contributing to the virtual destruction of a town in China that dismantles all kinds of e-waste. A snip from the broadcast transcript…
And Brandon Richter, CEO of Executive Recycling, was still warning of the dangers of shipping waste to China. “I just heard actually a child actually died over there breaking this material down, just getting all these toxins,” he said.
Then Pelley told him we’d tracked his container to Hong Kong.
“This is a photograph from your yard, the Executive Recycling yard,” Pelley told Richter, showing him a photo we’d taken of a shipping container in his yard. “We followed this container to Hong Kong.”
“Okay,” Richter replied.
“And I wonder why that would be?” Pelley asked.
“Hmm. I have no clue,” Richter said.
“The Hong Kong customs people opened the container…and found it full of CRT screens which, as you probably know, is illegal to export to Hong Kong,” Pelley said.
“Yeah, yep,” Richter replied. “I don’t know if that container was filled with glass. I doubt it was. We don’t fill glass, CRT glass in those containers.”
“This container was in your yard, filled with CRT screens, and exported to Hong Kong, which probably wouldn’t be legal,” Pelley said.
“No, absolutely not. Yeah,” Richter said.
“Can you explain that?” Pelley asked.
“Yeah, it’s not – it was not filled in our facility,” Richter said.
Richter then went on to make things worse – becoming defensive.
“I know this is your job,” Richter told Pelley. “But, unfortunately, you know, when you attack small business owners like this and you don’t have all your facts straight, it’s unfortunate, you know?”
What happened here? It seems Richter really wasn’t aware of what was happening in his facility. What can he do now?
Well, this morning they put out a press release. (update: link to press release is down try here) Seems like a good start, but still a wee bit defensive. Let’s go back to my recommendations.
You probably will have to do some things that aren’t green, but try to do as few as possible.
Be honest with your customer’s about the things you don’t do green and tell them why
Be vigilant! Make every one of your employees the “green police”. Set up a feedback system so they can tell you what’s not eco and let them give suggestions on how to fix it.
Get your customers involved. Set up a greenwatch page on your web site. Solicit ideas from your customers.
Continuous Improvement. Keep customers informed about your efforts to continually go greener.
What other suggestions do you have? Mr Richter- if you’re reading – let us know what you think!
I don’t believe the press release from Executive Recycling. Why would they load the CRTs into overseas shipping containers? They may thing lying is not a crime. If so they can make that argument from prison.
I would suggest he shut down and let someone who actually cares about the environment do the work. His greed is obvious. I actually hope he goes to jail for fraud.
Brandon Richter should go to jail. Plain and simple.
It seems that Executive Recycling’s posted News releases on their website cannot be opened today. I wonder why?
Checked the news release- you’re right- I can’t get it to open either- though i did first thing this morning- perhaps they are rethinking their response?
Does no one believe that Richter honestly didn’t know what was going on? Then why agree to cooperate?
I’m going to go ahead and guess that he didn’t think they’d be able to trace all the activity. Most criminals aren’t as smart as they think they are…
the title of this blog is interesting though – I dont’ think this is a case where someone needs greenwashing crisis management – this is just plain fraud. His business does exactly the opposite of what it says it does.
Anyone have the text of the Press Release, I would like to hear what he had to say, I say the piece last night on 60 Minutes.
Tom
Sorry for my typo, last part should be “I saw the piece last night on 60 minutes, and I forgot the question mark on “Anyone have the text?”
Tom
I have the text! Please see the updated post for a new link!
and here is the text in full of Executive Recycling’s response in case it disappears from another site:
Response From ER to 60 Minutes Piece– Press Release
Executive Recycling is a respected and law abiding business that recycles computers and electronic parts in a responsible and lawful way. Our company has reviewed the recent report of the Government Accountability Office (GAO) and the 60 Minutes story on E-Waste and we agree on the dangers of unregulated disposal of electronic and computer waste.
Executive Recycling is well aware of every applicable environmental and export standard and has complied throughout its history with such laws, rules and regulations. Our company takes in tons of computer and electronic products and disposes of them responsibly. Many such items are refurbished and resold.
The company would not sell anything to any purchaser if it had knowledge that said buyer planned to break the law. However, no business can be responsible for the subsequent improper actions of others who lawfully purchase products from them and hide their intentions to engage in misconduct.
Sadly, Executive Recycling appears now to be the victim of others who have obtained electronic and computer products from our company and then acted irresponsibly.
These buyers apparently sought to hide their own misconduct by leaving the impression that their shipment was the responsibility of our company. We have discovered that forged documents (provided by the port authorities) were used to improperly shift blame to us when ER sold the tested working units to a Canadian wholesale buyer. We are currently seeking legal actions against this one wholesale buyer in regards to this report.
Executive Recycling worked for the past two months with 60 Minutes regarding this investigation and provided 5 container numbers and bill of ladens for one Basel Action Network member who has signed the pledge and which states on their website “we will not engage in the exporting or dumping of e-waste, or in the use of prison labor in our recycling processes” – Denver Based Company.
Executive Recycling urges the Environmental Protection Agency and the government of the United States and other civilized societies to prepare and enact further laws and regulations to make sure that no individuals or environments are damaged through irresponsible disposal of computer or electronic products. Executive Recycling has cooperated with the Environmental Protection Agency in the past and will continue to do so in an effort to see that humans and the environment are protected.