A TYRE recycling company whose business was destroyed in a huge inferno was 'mainly acting legitimately', it has been revealed.
A major investigation was launched following the fire, which ripped through the former Manner Sutton Street boiler works and foundry on Monday evening.
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One of the agencies involved in the investigation is the Environment Agency, which had uncovered thousands of waste tyres being stored at the building - by a different company - last year.
Officials visited the Blackburn site with Lancashire Fire and Rescue officers to inspect the impact the smoke caused to the environment, including the local watercourse.
Spokeswoman Sarah Mellodew said: "We have been investigating an alleged illegal waste activity and we found that a company occupying one of the units within the mill was mainly storing tyre products legitimately for future sale.
"We have been working with the company to resolve some issues related to waste tyres to ensure they comply with current regulations."
She continued: "Companies need a permit to store waste tyres but, because the majority of the tyres of this site were for resale, they did not need a permit and, as such, were not routinely regulated by the Environment Agency.
"We are however continuing to work with the company to ensure they store waste tyres correctly in the future. We will also continue to provide advice and guidance to assist with the clean-up from the fire to make sure the local environment is protected."
The large mill building will be partly demolished after the fire, which was tackled by more than 40 firefighters and could be seen for miles, left it unsafe.
The gable walls will be reduced in height to make them safe, Blackburn with Darwen Council said.
A spokesman yesterday said the building was home to three businesses, Green Island Recycled Tyres, an embroidery firm, and a toilet tissue company.
Fire Service spokesman John Taylor said the cause of the fire was still being investigated.
Social media was also being scoured for clues, and footage captured by the police helicopter was also being examined.
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