I take it that you mean what to do with the Inks in paper recycling and what pollution is caused by paper recycling. Increasingly, however, soy inks are being used. These pose no pollution problems. Most US recycling mills have deinking operations built into their processes.
All paper production produces air emissions, recycled paper producing significantly less of it.
An old EPA report says that 58 lbs less per ton of virgin kraft paper production, but that is not necessarily a fair comparison. Bleaching is another source of major pollution. Whether bleaching with chlorine or an alternative, pollution is created in virgin and in recycled paper production.