State Probes Arco on Fuel Tank Upgrades

California environment officials are looking into whether oil company Atlantic Richfield Co. falsified public records to conceal that it had not done required safety improvements to its underground fuel storage tanks. The costly state-mandated upgrades were designed to prevent fuel leaks that could threaten area drinking water, officials said. State Environmental Protection Agency spokesman Ed Fong said the agency decided to investigate Arco’s stations around the state after noting discrepancies in a number of stations in Northern and Southern California. “Potentially this could lead to significant financial penalties,” Fong said. “So far we’ve looked at Sacramento and Los Angeles County, and in both cases, we’ve found significant violations.” Arco officials denied the charge, which accused the company of endangering well water used by numerous communities. Arco, formerly based in Los Angeles, was taken over by BP Amoco in a $27-billion deal that closed last week, but the Arco name and logo remain on West Coast service stations.