Wednesday, November 12, 2008

A LETTER TO OUR CUSTOMERS IN RESPONSE TO EPA ALLEGATIONS

November 12, 2008


To our valued customers,

By now, you may have heard of the dispute Unelko has had with the EPA over some of the claims and label language we have made on our newly-patented Sani Shield®, Sani Scrub®, Stainless Shine™ and Clean & Shield® products.

The following Press Release represents our position and another response to the EPA’s complaint and the unwarranted “stop sale” orders for the products. The “stop sale” orders were directed to Unelko only, and do not apply to our distributors, retailers and end-users.

Unelko stands firmly behind the claims that we have made for the products, and has made all of the technical and test data available to the EPA for their review to support the product safety and performance claims. Like with most new technological advances, we have raised some eyebrows within the industry.

We appreciate your patience and understanding during this period, and we are confident that the dispute can be resolved shortly and we can begin shipping the products again.

Sincerely,

Steven F. Ohlhausen
President

EPA MISLEADS PUBLIC ABOUT UNELKO PESTICIDES

For Immediate Release:

EPA MISLEADS PUBLIC ABOUT UNELKO PESTICIDES
Prevents Hospitals, Schools & Public from using New Cleaning and “Barrier” Technology for Improved Surface Hygiene!


Scottsdale, AZ, November 12, 2008.

On September 24, 2008, the EPA issued a press release with the false and misleading headline, “U.S. EPA acts to protect public from Unelko Corporation’s unregistered pesticides.” The press release stated that the EPA had simultaneously filed a complaint against Unelko “for the alleged sale and distribution of seven unregistered pesticides in violation of the Federal Insecticide, Fungicide and Rodenticide Act (FIFRA).”

Unelko Corporation, a family run business for over thirty years, is focused on the research and development of a new class of innovative “barrier” cleaners for improved surface hygiene in homes and public facilities.

Unelko claims its newly-patented and patent-pending Sani-Shield®, Stainless Shine®, Sani-Scrub® and various Clean & Shield® products to be exempt from FIFRA (and EPA registration) under the provisions of FIFRA’s “treated article” regulation 40 CFR 152.25(a):

Unelko has supporting documentation that the long lasting, “antimicrobial” water and soil repellent “barrier” formed while cleaning is the “Treated Article” and the “barrier” is protected against the growth of bacteria, mold and mildew.

EPA and its Region IX enforcement office is using strong-arm, bullying tactics with unreasonable, wasteful litigation, and unfairly doing so in a public forum.
The EPA neglected to disclose that Unelko’s products have been extensively tested in accordance with EPA (OPPTS) and Consumer Product Safety Commission Guidelines under the Federal Hazardous Substances Act (FHSA) all of which is clearly set forth on each product label and the documentation provided.

There are six tests that are required by EPA and used under FHSA Guidelines to determine the hazards of a product. Unelko’s products passed all of those tests.

Thus it is misleading for the EPA to imply that the products are somehow harmful to users or the environment and that the public needs to be protected against them.

The EPA also failed to disclose that Unelko represents the cited “dual action” barrier products to clean everyday deposits of organic & inorganic soil and simultaneously apply an invisible water, soil & stain repellent coating that reduces the adhesion & buildup of re-soiling and bio-films for easier next-time cleaning and which inhibits the growth of bacteria, mold & mildew.

The “barrier coating” is what is protecting the surface and is automatically renewed every time the products are used. Unlike conventional sanitizers and disinfectants, the Sani-Shield, Sani-Scrub and Clean & Shield products leave no poisons on the surface and our “Zone of Inhibition” tests prove conclusively that the microbe-inhibiting “treated article” barrier contains no active biocides.

Unelko had been in ongoing discussions with the EPA since June 10, 2008 to settle EPA’s concerns and questions about the products. Unelko has fully cooperated with the EPA and has furnished whatever information the Agency has requested in order for them to understand the technology. This includes extensive explanatory documents, patent references, labels, independent test results, MSDS and samples of the products. The information is also available on Unelko’s website for the EPA’s and the public’s review.

EPA gave assurances that if Unelko cooperated and continued with good faith settlement discussions that no administrative complaint would be filed. Ignoring repeated requests by Unelko to meet with EPA to resolve the matter, Unelko believes the EPA “blind-sided” them by their filing of the complaint and damaging press release.

Then with more than two weeks left before Unelko had to respond to the complaint, the EPA hit Unelko with October 10, 2008 “Stop Sale” Orders and another false and misleading press release.
By issuing their complaint, the Stop Sale Orders and the misleading press releases, EPA has inaccurately characterized Unelko’s products and unfairly damaged Unelko’s reputation and ongoing business. They have intentionally done so without any evidence that the Unelko products are harmful to users or the environment, or that they are not exempt as treated articles. EPA classifies treaded articles, per 40 CFR 152.25(a), as “pesticides of a character not requiring FIFRA regulation, that are therefore exempt from all provisions of FIFRA when intended for use and used in the manner specified.”

EPA has lost sight of the larger issue that current FIFRA “antimicrobial” regulation is outdated and has not come close to solving the spread and impact of surface contact germs. Over 100,000 people die each year from acquired infection. EPA has failed to enforce the proper use of “EPA-registered” Sanitizers and Disinfectants: or its own edict that “It is a violation of Federal Law to use this product in a manner that is inconsistent with its labeling.”

Serious problems exist in maintaining clean and sanitary conditions, especially in medical, school and food facilities nationwide. We challenge the EPA – hospitals, schools and the public – to verify that they understand and are using such products as labeled. Other companies have misled the public with product advertisements, including performance claims that can only be achieved in laboratory conditions.

Unelko’s 1- Step products “take the guesswork out of cleaning” with straightforward “spray and wipe” or “scrub and flush” techniques and the ”barrier” protects against attack by microbes.

Unelko intends to defend the unique antimicrobial performance and “real world” benefits of its earth & user safe, efficacious products and remains willing to continue discussions with the EPA to resolve the matter.

For more information contact Steven Ohlhausen, Steven@Unelko.com, 480.991.7272