Fact Pattern 15-1 Gretta Is the CEO of a Paper Company Built near Company

Multiple Choice

Fact Pattern 15-1
Gretta is the CEO of a paper company built near a river used in interstate commerce although the state in which the company is located is land locked and not near the coast. Gretta determines that a significant amount of money needs to be spent to comply with the federal Clean Water Act. She is already in trouble with stockholders because of low profits and does not wish to spend extra money on pollution control. Therefore, she instructs employees to simply dump waste into the river. She was aware that she would be fired if the company received a heavy fine, but she decided to take the risk because she was in danger of being fired if profits did not come up anyway. Also, while Gretta believed that the Clean Air Act applied; Linda, a majority stockholder, told her that the Clean Water Act would not apply based upon the location of the plant.
-Refer to Fact Pattern 15-1.Does Gretta have any greater danger in this situation than being fired?

A) Yes, she can be held individually liable for the pollution since she knowingly violated the Clean Water Act; and she could face a fine as well as jail time.
B) Yes, she can be held individually liable for the pollution since she knowingly violated the Clean Water Act; but she could only be fined, not sent to jail.
C) So long as the majority shareholder approves of her actions, she cannot be fined or sent to jail for any environmental violation.
D) No.