On December 31, 1998, the Office of the Chief Counsel issued an Order to Metroline Industries, Inc. (Respondent) assessing a penalty in the amount of $15,000 and finding that Respondent had knowingly committed the following violations of the Hazardous Materials Regulations (HMR). Violation #1 - Offering for transportation in commerce compressed gas cylinders without preparing a shipping paper. Violation #2 - Offering for transportation in commerce compressed gas cylinders without providing the motor carrier with the required placards. Violation #3 - Allowing an employee to perform a function covered by the HMR without providing hazardous materials training and failing to maintain hazardous materials training records. The Order was issued after Respondent failed to respond to an August 5, 1998 Notice of Probable Violation (NOPV). I have determined that there is sufficient information to warrant mitigation of the civil penalty assessed in the Chief Counsel's Order. I find that a civil penalty of $11,800 is appropriate in light of the nature and circumstances of the violations, their extent and gravity, Respondent's culpability, Respondent's lack of prior offenses, Respondent's ability to pay, the effect of a civil penalty on Respondent's ability to continue in business, and all other relevant factors. Appeal granted, in part.