Information Notice No. 86-45: Potential Falsification of Test Reports on Flanges Manufactured by Golden Gate Forge and Flange, Inc.
SSINS No.: 6835
NUCLEAR REGULATORY COMMISSION
OFFICE OF INSPECTION AND ENFORCEMENT
WASHINGTON, D.C. 20555
June 10, 1986
Information Notice No. 86-45: POTENTIAL FALSIFICATION OF TEST REPORTS
ON FLANGES MANUFACTURED BY GOLDEN GATE
FORGE AND FLANGE, INC.
All nuclear reactor facilities (including test and research facilities)
holding an operating license (OL) or a construction permit (CP).
This notice is provided to alert recipients to potential falsification of
certifications for piping flanges. It is expected that recipients will
review the information for applicability to their facilities. However,
suggestions contained in this notice do not constitute NRC requirements;
therefore, no specific action or written response is required. Further
efforts are underway and more definitive information and specific
requirements for licensee action may be issued in the future.
Description of Circumstances:
On March 7, 1986 the NRC received notification from Consolidated Pipe and
Valve Supply Company (CP&VS) of a potentially reportable condition under 10
CFR Part 21 regarding forged flanges fabricated by Golden Gate Forge and
Flange (GGF&F) Inc. located at Hunters Point, San Francisco, California.
Subsequently, some GGF&F management personnel and the president of a testing
laboratory (Westex) pleaded guilty and were sentenced in Federal Court on
criminal charges in connection with falsification of test certifications for
material supplied to the U.S. Department of Defense (DOD).
The convictions were based on falsifications of records and fraud related to
copper nickel forged flanges for marine applications. These activities
involved (1) altering independent laboratory test reports to make
unacceptable material appear acceptable, (2) delivering and representing
unacceptable or untested material from several heats as originating from a
single heat for which acceptable test results were available, and (3)
altering original material manufacturer mill test reports to make
unacceptable material appear acceptable. The NRC cannot conclude by the
currently available information whether any defective material ,has been
supplied for use at nuclear power plants. However, GGF&F certifications
furnished by Consolidated Pipe and Valve Supply Company to NRC for material
supplied to D.C. Cook and Midland appear to indicate that GGF&F
June 10, 1986
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failed to perform required heat treatment, testing of mechanical properties
after forging, and nondestructive examination (NDE). These licensees have
been separately informed.
Golden Gate Forge and Flange receives alloy materials in ingot or bar form
to forge and machine the flanges. The steel mills that produce the alloy
materials provide certificates of chemical and mechanical properties of
those materials before forging. In some cases, samples are required to be
submitted to independent testing laboratories to allow certification of
chemical and mechanical properties after forging. In the case of material
supplied to DOD, both of these types of reports were altered to make
unacceptable or unevaluated material appear acceptable.
Golden Gate Forge and Flange is incorporated in the State of Nevada; its
only place of business is at Hunters Point, San Francisco, California. GGF&F
produces a full range of flange sizes from 1/2 inch to 24 inches with
pressure ratings from 125 to 2500 psi. Materials available include carbon
steel, stainless steel, high nickle and copper alloys. The flanges are
supplied to specifications including ASTM, ASME Section III Class I, and
Current information indicates that the falsifications took place from or
before May 1983 and continued at least until June 1984.
No specific action or written response is required by this notice. If you
have any questions regarding this matter, please contact the Regional
Administrator of the appropriate NRC regional office or this office.
Edward L. Jordan, Director
Division of Emergency Preparedness
and Engineering Response
Office of Inspection and Enforcement
Technical Contact: O. P. Gormley, IE
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