Service Corporation of America
Encyclopedia
Service Corporation Of America. (later known as SCA Services, Incorporated) was a Boston
based waste, and environmental service
s company in North America
. The company was later a subsidiary of Waste Management, Inc
, active from 1970-1984.
, which proved to be highly unstable for the company. To combat this, Tom Viola and his firm were enlisted to soften up the market. Viola also brought his criminal connections with him, but despite this, he was made SCA's vice president.
Another waste hauler, based out of Utica, New York
, was owned by Anthony Bentro. Anthony was infamous for his connections to Anthony Provenzano
, a mobster linked with plots to murder Fidel Castro
, John F. Kennedy
, and Jimmy Hoffa
. Months after Hoffa's assassination, prominent members of SCA's New York
team were indicted for planning a $300,000 kickback to Mobsters and Teamsters.
. By 1976, its sales were $660,000,000 dollars, including all of its subsidiaries. SCA's fleet of Garbage Truck's had swelled to 1,800 in 90 cities. It had 39 Landfill
s, 100 municipal contracts, 110,000 commercial accounts, and 100,000 Dumpster
s.
, near the infamous Love Canal
site, became a local terror. Lagoons of industrial waste would emerge during rainstorms, and highway officials reported of numerous explosions and fires. A 1976 incident was described as sending flames and exploding drums 80 feet in the air. Continued public protest made SCA prefer incineration of toxic wastes to landfill burial. These efforts appeared to pay off when President Carter banned hazardous waste burial, but the Reagan administration quickly reversed these policies.
. In one of the strangest alliances in the companies history, SCA joined the Environmental Defense Fund to reinstate the ban of hazardous waste dumping. But these moves just forestalled SCA's inevitable demise.
attempted to swallow the company whole in 1982. Many inside the company questioned if this would work. SCA had rejected an offer by Waste Management in 1977, and this was no different. What would have amounted to an $210 million dollar deal, was rejected by the company. Canadian waste hauler Laidlaw
was going to purchase SCA, but the various scandals and criminal connections that the company had deterred the company from pursuing merger. Through a subsidiary, 60 percent of SCA was purchased by Waste Management, Inc
.
Boston
Boston is the capital of and largest city in Massachusetts, and is one of the oldest cities in the United States. The largest city in New England, Boston is regarded as the unofficial "Capital of New England" for its economic and cultural impact on the entire New England region. The city proper had...
based waste, and environmental service
Waste management
Waste management is the collection, transport, processing or disposal,managing and monitoring of waste materials. The term usually relates to materials produced by human activity, and the process is generally undertaken to reduce their effect on health, the environment or aesthetics...
s company in North America
North America
North America is a continent wholly within the Northern Hemisphere and almost wholly within the Western Hemisphere. It is also considered a northern subcontinent of the Americas...
. The company was later a subsidiary of Waste Management, Inc
Waste Management, Inc
Waste Management, Inc. is a waste management, comprehensive waste, and environmental services company in North America. Founded in 1894, the company is headquartered in Suite 4000 at the First City Tower in Downtown Houston, Texas, in the United States....
, active from 1970-1984.
Early years
SCA was unique in that it was not originally supposed to be a waste hauler. SCA was incorporated by Berton Steir as a diversified conglomerate, providing building maintenance, vending, food, travel, and waste disposal service. SCA's first acquisition was of seven vending companies, a building maintenance company, and a single waste hauler. By the time its stock was placed on the NYSE, it had decided to focus on waste disposal instead. Similar to many of the other firms around this time, it would purchase companies with its stock. In the early 1970s, SCA absorbed 87 independent contractors. As part of the deals, SCA would keep the current management in control. The Harvard-educated Steir naively acquired New Jersey trash companies, with disguised ownership, which subsequently caused SCA problems. Berton Steir left the company in 1976.Mafia and Criminal Connections Emerge
SCA was the first major trash hauler to enter New JerseyNew Jersey
New Jersey is a state in the Northeastern and Middle Atlantic regions of the United States. , its population was 8,791,894. It is bordered on the north and east by the state of New York, on the southeast and south by the Atlantic Ocean, on the west by Pennsylvania and on the southwest by Delaware...
, which proved to be highly unstable for the company. To combat this, Tom Viola and his firm were enlisted to soften up the market. Viola also brought his criminal connections with him, but despite this, he was made SCA's vice president.
Another waste hauler, based out of Utica, New York
Utica, New York
Utica is a city in and the county seat of Oneida County, New York, United States. The population was 62,235 at the 2010 census, an increase of 2.6% from the 2000 census....
, was owned by Anthony Bentro. Anthony was infamous for his connections to Anthony Provenzano
Anthony Provenzano
Anthony Provenzano also known as Tony Pro was a Caporegime in the Genovese crime family of New York City...
, a mobster linked with plots to murder Fidel Castro
Fidel Castro
Fidel Alejandro Castro Ruz is a Cuban revolutionary and politician, having held the position of Prime Minister of Cuba from 1959 to 1976, and then President from 1976 to 2008. He also served as the First Secretary of the Communist Party of Cuba from the party's foundation in 1961 until 2011...
, John F. Kennedy
John F. Kennedy
John Fitzgerald "Jack" Kennedy , often referred to by his initials JFK, was the 35th President of the United States, serving from 1961 until his assassination in 1963....
, and Jimmy Hoffa
Jimmy Hoffa
James Riddle "Jimmy" Hoffa was an American labor union leader....
. Months after Hoffa's assassination, prominent members of SCA's New York
New York
New York is a state in the Northeastern region of the United States. It is the nation's third most populous state. New York is bordered by New Jersey and Pennsylvania to the south, and by Connecticut, Massachusetts and Vermont to the east...
team were indicted for planning a $300,000 kickback to Mobsters and Teamsters.
Continued Expansion
SCA had grown to become the third largest waste hauler amongst all this internal turmoil. Its territory stretched from Boston, Massachusetts, all the way to CaliforniaCalifornia
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
. By 1976, its sales were $660,000,000 dollars, including all of its subsidiaries. SCA's fleet of Garbage Truck's had swelled to 1,800 in 90 cities. It had 39 Landfill
Landfill
A landfill site , is a site for the disposal of waste materials by burial and is the oldest form of waste treatment...
s, 100 municipal contracts, 110,000 commercial accounts, and 100,000 Dumpster
Dumpster
A dumpster is a large steel waste receptacle designed to be emptied into garbage trucks. The word is a genericized trademark of Dumpster, a American brand name for a type of mobile garbage bin...
s.
Hazardous Waste Activities
SCA had begun to diversify into the world of hazardous wastes. It owned sites in five states. One of these dumps in Niagara Falls, New YorkNiagara Falls, New York
Niagara Falls is a city in Niagara County, New York, United States. As of the 2010 census, the city had a total population of 50,193, down from the 55,593 recorded in the 2000 census. It is across the Niagara River from Niagara Falls, Ontario , both named after the famed Niagara Falls which they...
, near the infamous Love Canal
Love Canal
Love Canal was a neighborhood in Niagara Falls, New York, located in the white collar LaSalle section of the city. It officially covers 36 square blocks in the far southeastern corner of the city, along 99th Street and Read Avenue...
site, became a local terror. Lagoons of industrial waste would emerge during rainstorms, and highway officials reported of numerous explosions and fires. A 1976 incident was described as sending flames and exploding drums 80 feet in the air. Continued public protest made SCA prefer incineration of toxic wastes to landfill burial. These efforts appeared to pay off when President Carter banned hazardous waste burial, but the Reagan administration quickly reversed these policies.
The Fall Of SCA
The companies criminal connections would become known after the murder of several independent contractors who had challenged SCA in New Jersey. Immediately afterwards, the towns reverted back to SCA's services. In response to these accusations, SCA tried to dispose of all of its New Jersey operations, but it couldn't find a buyer. Due to the numerous troubles that Tom Viola had gotten the company into, he resigned in 1981. Viola was replaced by a far more reputable business leader, Henry RussellHenry Russell
Henry Russell may refer to:*Henry Russell , English pianist, baritone singer and composer*Henry Russell , English impresario, conductor, and singing teacher...
. In one of the strangest alliances in the companies history, SCA joined the Environmental Defense Fund to reinstate the ban of hazardous waste dumping. But these moves just forestalled SCA's inevitable demise.
BFI Vs. Waste Management
Houston based Browning-Ferris IndustriesBrowning-Ferris Industries
Browning-Ferris Industries was a North American waste management company that was disbanded in 1999. Its name is a licensed trademark of Allied Waste Industries. Its headquarters were located in the Eldridge Place 1 and 2 complex in the Energy Corridor area of Houston, Texas.BFI was founded in...
attempted to swallow the company whole in 1982. Many inside the company questioned if this would work. SCA had rejected an offer by Waste Management in 1977, and this was no different. What would have amounted to an $210 million dollar deal, was rejected by the company. Canadian waste hauler Laidlaw
Laidlaw
Laidlaw, organized as Laidlaw International, Inc. , was a predecessor corporation of First Student , a US subsidiary of the Scottish transport firm FirstGroup plc...
was going to purchase SCA, but the various scandals and criminal connections that the company had deterred the company from pursuing merger. Through a subsidiary, 60 percent of SCA was purchased by Waste Management, Inc
Waste Management, Inc
Waste Management, Inc. is a waste management, comprehensive waste, and environmental services company in North America. Founded in 1894, the company is headquartered in Suite 4000 at the First City Tower in Downtown Houston, Texas, in the United States....
.
Sources
- "Giants Of Garbage" By Harold Crooks, 1988.
- http://query.nytimes.com/gst/fullpage.html?res=9D00E5DA123CF930A15752C0A964948260
- http://query.nytimes.com/gst/fullpage.html?res=9D01E6DD1439F930A15755C0A962948260