A state administrative law judge has upheld fines against the company that demolished the Brooks-Scanlon crane shed last year without first removing hazardous asbestos.

In a decision issued Friday, Judge Todd Ainsworth determined that the Oregon Department of Environmental Quality correctly fined Crown Investment Group for almost all of the alleged violations related to the project.

The agency had initially issued a $64,500 fine against Crown last November for air quality and asbestos violations, but later reduced the amount.

Ainsworth, who works for the Office of Administrative Hearings, upheld the remaining agency allegations and penalties and issued a $24,000 fine against Crown.

Ainsworth also affirmed a $7,200 fine against Crown’s contractor on the project, Prineville-based SMAF Construction.

Jim Reckling, a partner in Crown Investment Group, declined to comment on the decision Monday.

”I have no comment on it,” said Reckling, whose partnership sold the crane shed property to another developer earlier this year for $5.1 million.

The company bought the property in October 2003 for $2.75 million.

Representatives of SMAF could not be reached Monday.

Both companies have an opportunity to appeal the decision to the Environmental Quality Commission in Portland. Appeal notices must be filed within 30 days of the ruling.

Crown Investment Group has already appealed a civil judgment issued by a Deschutes County Circuit Court judge awarding the city of Bend $100,000. As part of the judgment, the city is required to use the money to establish a memorial to the historic crane shed – once Bend’s most prominent monument to its timber history.

In a written summary of testimony from a two-day hearing held in Bend in June, Ainsworth said Crown explained that the demolition was carried out without a permit because the company feared opponents would obtain a restraining order to protect the building.

The summary of testimony also outlines SMAF’s role in the project. The company was retained by Crown and Reckling after local contractors Hooker Creek declined to take the job, the decision states.

Bend City Councilor Jim Clinton said Monday that the ruling is supported by the facts.

”Crown was irresponsible in that they exposed a lot of innocent people to hazardous materials. So I believe DEQ was justified,” he said.

However, Clinton said he was disappointed that the recent sale of the property shows Crown has apparently profited from the demolition. ”The Crown guys were playing a game, and they won. And the community lost,” Clinton said.