NATURE OF THE CASE: THE CO DISCHARGES TOXIC POLLUTANTS INTO A SERIES OF LAGOONS. FOR MANY YRS, THERE HAS BEEN A BREAKOUT FROM THE FINAL LAGOON CAUSING A SUBSTANTIAL DISCHARGE OF TOXIC POLLUTANTS INTO THE STROUDWATER RIVER. AFTER THIS BREAK- OUT WAS DISCOVERED, THIS REGN ASKED THE CO, BY LTR 10/29/81, TO APPLY FOR AN NPDES PERMIT. THE CO HAS FAILED TO DO SO & IS CONTINUING TO DISCHARGE W/O A PERMIT. THE RESULTING PROBLEM HAS BEEN DESCRIBED BY THE DIRECTOR OF THE STATE OF MAINE'S BUREAU OF WATER QUALITY CONTROL AS ONE OF THE MOST SERIOUS WATER POLLUTION PROBLEMS IN THE STATE. STATE OFFICIALS HAVE BEEN WORKING W/THE CO BUT HAVE NOT OBTAINED ITS EXPEDITIOUS COOPERATION.