THIS IS A PROPOSED ACTION IN THE CUYAHOGA WRECKING COR- PORATION BANKRUPTCY MATTER AS IT AFFECTS THE PUBLICKER CERCLA SITE. THE RECOMMENDATION IS THAT A COMPLAINT BE FILED IN THE BANKRUPTCY COURT FOR THE SOUTHERN DISTRICT OF NEW YORK, PURSUANT TO SECTIONS 104 AND 107 OF CERCLA AND SECTIONS 503 AND 506 OF THE BANKRUPTCY CODE, ALLEGING THAT THE UNITED STATES IS ENTITLED TO THE PROCEEDS OF THE DEL- AWARE AVENUE ENTERPRISES, INC.'S OPTION AGREEMENT WITH THE BANKRUPTCY TRUSTEE FOR THE OVERLAND CORPORATION ( A WHOLLY OWNED SUBSIDIARY OF THE BANKRUPT CUYAHOGA WRECKING CORPOR- ATION) AND WITH FREEDOM SAVINGS AND LOAN ASSSOCIATION (A SECURED CREDITOR OF THE BANKRUPT OVERLAND CORPORATION). THE PROPOSED CLAIM IS FOR REIMBURSEMENT OF CERCLA REMOVAL RE- SPONSE EXPENDITURES OF THE EPA. THIS CASE INVOLVES THE PUBLICKER SITE IN PHILADELPHIA, PENNSYLVANIA, A 37 ACRE, FORMER INDUSTRIAL ALCOHOL PRODUC- TION PLANT. ON JUNE 26, 1987, A FIRE OCCURRED AT THE SITE. DURING THE FIRE, THERE WERE NUMEROUS EXPLOSIONS AND FIRE. FLARES, LEADING FIREMEN AND EPA TO BELIEVE THAT CHEMICAL PRODUCTS WERE STILL PRESENT AT THE SITE. EPA PERFORMED A SITE INSPECTION ON JULY 9, 1987 AND OBSERVED THE PRESENCE OF HAZARDOUS SUBSTANCES THROUGHOUT THE SITE. SINCE JUNE 26, 1987, EPA HAS SPENT IN EXCESS OF 4 MILLION IN REMOVAL RESPONSE COSTS AND EXPECTS TO INCUR FURTHER COSTS. EPA BELIEVES THAT THE RESPONSE