Questions about the safety of its California lead-recycling operation continue to haunt Exide Technologies Inc., a battery maker operating under bankruptcy protection, Dow Jones Daily Bankruptcy Review reported today. The company last week agreed to allow a $40 million lawsuit filed by the South Coast Air Quality Management District to move ahead in spite of the chapter 11 bankruptcy shield that protects companies from being targeted in litigation. The California agency, which regulates air quality in Los Angeles, Orange, Riverside and San Bernardino counties, says that Exide's operation means an elevated risk of cancer for workers and residents in Vernon, Calif.