By Times Staff
The New England ice industry has heated up over the Gloucester water emergency.
In an e-mail to Mayor Carolyn Kirk's office, the Cape Ann Chamber of Commerce and the Times, Cape Pond Ice President Scott Memhard blasted what he called "slanderous" and "false scare" tactics on the part of a Cape Cod company, and assured customers and residents that the ice being distributed by Cape Pond Ice during the city's water emergency is safe.
In the letter, Memhard said that the head of Cape Cod Ice, based in Sandwich, had falsely told Gloucester customers that Cape Pond's product was tainted by the water crisis — an allegation Memhard vehemently denies, with the state Department of Health backing his stand.
"(Yesterday) morning, I was contacted by the frozen foods category buyer for Shaw's Supermarkets, Joe Castro," Memhard wrote. "Mr. Castro related that Joe Lillis, the owner of a major ice manufacturer (Cape Cod Ice) ... had informed him that the Cape Pond Ice packaged ice products in the Gloucester Shaw's Markets were unsafe and had resulted in personal illness. As a result of these apparently unsubstantiated allegations by Mr. Lillis, Mr. Castro and his Gloucester Eastern Avenue and Railroad Avenue Shaw's Market store managers were concerned about the safety of our company's ice products."
"I am personally and professionally very concerned that anyone, but particularly a major player and competitor in the ice industry, would maliciously cause disruption and concern in our community by claiming that Cape Pond Ice was causing sickness," Memhard continued. "I can confirm from direct conversation with Scott Allen and Kim Foley of the Mass. Department of Public Health ... that there have been no reported illness in Gloucester associated with the current water problem. Again, all the packaged ice being sold by Cape Pond Ice Company, including 5-pound bags being sold under the Cape Pond Ice Company name and logo, but manufactured for us by the Eastern Ice Company to the highest industry standards, in Fall River, is safe."
Lillis, whose ice company manufactures and distributes ice throughout New England, supplies most Massachusetts Shaw's and Stop & Shop markets with "private label" ice, meaning the packages bear a store label, but is actually manufactured by Cape Cod Ice Company. But the Cape Cod firm does not supply the two Gloucester Shaw's locations, on Railroad and Eastern avenues. These two local markets have been serviced by Cape Pond Ice Company for more than 15 years — "since they were Nick Psalidas' Cape Ann Markets," Memhard said.
Memhard noted that, while Lillis was visiting Gloucester on Monday, he "did not stop by our ice plant, and did not offer his assistance dealing with the challenges of Gloucester's ongoing water crisis." Memhard and Lillis are both former presidents of a New England ice industry trade organization.
"All I can think of is that this was just a tactic to try to take over as ice supplier of these (Gloucester) Shaw's or other markets," said Memhard, who said he is talking to state and other officials about Lillis' alleged actions.
Lillis could not be reached for comment yesterday and last night, and calls through Cape Cod Ice's automated phone system went unanswered.
In his e-mail, Memhard noted that Cape Pond Ice continues to take steps to assure his products' safety as the Gloucester water emergency continues.
"As the Gloucester Board of Health, the Massachusetts Department of Public Health, and the Gloucester mayor's office are aware," Memhard wrote, "and as has been publicized in the local and state media, Cape Pond Ice Company has responded to this Gloucester water emergency cautiously and responsibly, by reducing water consumption when requested, ceasing all production of packaged ice when directed, destroying suspect inventory, and by bringing into Gloucester, at considerable effort and expense, trailer-loads of ice from other reputable ice manufacturers.'
Those outside manufacturers, he said, include the Eastern Ice Company of Fall River, and the Laconia Ice Company based in Laconia, N.H.
"It is our primary concern as the local ice company, proudly in business on Cape Ann for 161 years," Memhard wrote, "to make the necessary arrangements as best we can to meet the ice needs of the community — homeowners, businesses and restaurants — during this unprecedented Gloucester water crisis."