FEMA trailer manufacturer knew of toxic trailers but sent them to Mississippi and Louisiana anyway

Wednesday, Henry Waxman (D-CA) levied strong charges against the manufacturers of the FEMA trailers used after Hurricane's Katrina and Rita. The trailers contained toxic levels of formaldehyde, a chemical used in the manufacturing of mobile homes. Congressman Waxman led hearings on the toxic trailers and came away blaming both governmental failure as well as industry greed for the horrible situation.

From the USA Today:

Gulf Stream, the main supplier of travel trailers for displaced victims of Hurricane Katrina, knew of high levels of formaldehyde in some of the trailers, but did not tell anyone because it regarded the situation as a public relations and legal matter, not a public health issue, the Democratic chairman of a House oversight committee said Wednesday.

Rep. Henry Waxman, D-Calif., who convened hearings on the trailer issue, said internal documents from Gulf Stream, which provided the trailers to the Federal Emergency Management Agency, showed the company had found "pervasive formaldehyde in its trailers, and didn't tell anyone."

Gulf Stream received over $500 million from FEMA for 50,000 trailers for Gulf Coast residents displaced by Hurricane Katrina in 2005.