NEW YORK Nonferrous scrap exporter Longyu International Inc. is suing a New York recycler for allegedly shorting loads of copper scrap that Longyu had paid it to export to China.
Longyu is seeking nearly $151,000 in damages from Troy, N.Y.-based eLot Electronics Recycling Inc. and its proprietors, Anthony Dawson and Morris Freedman, according to the lawsuit filed in U.S. District Court in California.
Monterey Park, Calif.-based Longyu said it paid nearly $318,000 for four containers of scrap copper wire from eLot in February and March 2012 and have the recycler ship the material to China.
When the containers arrived in China, however, they weighed less than the contracts stipulated and were "found to contain inferior copper wire, circuit boards and other materials which were not in compliance" with Longyus agreements with eLot and resulted in fines and penalties for the company, according to the court filing.
The lawsuit accuses eLot and its proprietors of fraud for "knowingly misrepresent(ing) and omit(ting) information regarding the true nature of the materials that (eLot) had sold and shipped."
In May, Camden Iron & Metal Inc. sued Dawson and Freedman for allegedly contaminating and failing to clean up a 12-acre scrapyard in Green Island, N.Y., that Camden purchased from the pair in 2010, leaving the Camden, N.J.-based recycler with the cost of remediating the site (amm.com, May 6).
Neither Longyu nor eLot could be reached for comment.