E. Palestine derailment payments paused until alleged miscalculations are reviewed
EAST PALESTINE, Ohio - Residents in East Palestine said they were promised settlement payments following the toxic train derailment, but many still haven't received a dime and now, they're left with more questions after the abrupt removal of the company responsible for distributing the money.
Kroll Settlement Administration was removed by a federal judge for allegedly miscalculating payments.
That decision has halted the payment process and leaves many wondering what happens next.
21 News took those questions directly to the attorneys representing East Palestine households to get answers.
Alan Cohen lives just a half-mile from the derailment site. A former mayor and village council president, Cohen is among many residents who received a letter saying payment was ready to be approved and expedited to him, only to be met with silence.
"The court made this final in September of last year and ordered that they begin paying the money in October of last year," Cohen said, "and here we sit, all these people out there still don't have their money. We want our money."
Cohen said he received his determination about seven weeks ago.
He said the lack of follow-through and communication is weighing heavily on a community already traumatized by the disaster.
"This is on top of all of the anxiety we've all felt since the accident happened, about whatever medical problems we're going to have," he added.
Attorneys for the victims confirm payments are now on hold while the new court-appointed administrator transitions to take Kroll's place.
They said some residents may have been overpaid, others underpaid and want to ensure payments are accurate before restarting the process.
Importantly, they said residents who were overpaid will not be required to return any money.
The attorneys said payments will resume this summer, prioritizing residents who already received determination letters, but they have not provided a firm date.
They also said more information is expected to be released Friday.
In the meantime, they're seeking restitution from Kroll on behalf of the victims.
East Palestine Mayor Trent Conaway said the village was advised by its own legal counsel early on to avoid involvement, since it was not a direct party in the class action lawsuit.
However, Conaway admits that even he struggled to get answers when trying to contact the former administrator, Kroll.
Village leaders said they hope the transition to EPIQ will finally bring the transparency and communication residents deserve.
"You would think that the lawyers would, knowing that this was going to take place yesterday, give us some sort of a heads-up. Instead, they left us in the dark," Cohen added.
