If you recycle paper, you end up with some sludge of degraded fibers. The sludge can be composted, it's just cellulose after all. Sounds like a good deal, doesn't it?
It is, until weird coated papers get into the recycled feed stock. Those are not supposed to be recycled, but who knows all the rules and their exceptions? So weird and wonderful chemicals get into the sludge, and then into the compost, and then onto agricultural land, and into the drinking water supply. One of these chemicals is PFOA (see todays story about the toxicology of perfluorinated compounds), another BPA.
I know of at least two instances where drinking water supplies in Germany were contaminated with PFOA through this route. Much finger pointing ensued, but nobody knows how to remove PFOA from either water or the affected land. But they said recycling is good, didn't they?