Chevron: ‘We’re not paying’ $27b fine for Ecuador rain forest contamination

CHEVRON(RAW STORY)   U.S. oil company Chevron said Monday that it expects to lose a case which charges the company’s Texaco branch with polluting Ecuador’s rain forest with oil-contaminated water for nearly two decades.

An expert appointed by Ecuador’s courts assessed the damages to the locals’ health and environment to be $27 billion: A sum which Chevron spokesman Don Campbell bluntly toldThe Wall Street Journal, “We’re not paying and we’re going to fight this for years if not decades into the future.”

It will be the largest award ever in an environmental lawsuit, even if it goes uncollected.

“Chevron intends to fight enforcement by claiming the trial was unfair, in part because Ecuador’s president has publicly supported the plaintiffs,” noted Business Insider’s Erin Geiger Smith.

The Journal reported: “Chevron denies the allegations, arguing that Texaco’s operations in Ecuador met local and international standards, that a $40 million cleanup effort in the 1990s resolved any environmental liability the company had there, and that any remaining problems are the responsibility of Petroecuador, the state-run oil company that took over Texaco’s operations.”

The case was originally filed in U.S. courts, but Texaco pushed to have it moved to Ecuador because “the oil company thought it would be able to take advantage of Ecuador’s legal system,” wrote Smith.

Chevron said it plans an appeal to a higher court in Ecuador but does not expect a victory.

However, once the ruling is handed down from Ecuador’s courts, citizens in the South American nation will be forced to take their complaint to U.S. courts because Texaco ceased Ecuador operations in 1992, moving all its assets out of the country. Chevron purchased Texaco in 2001.

Only a ruling from a U.S. court would allow Ecuadorians to collect. A ruling from Ecuador is expected some time this year.

http://rawstory.com/08/news/2009/07/20/chevron-not-going-to-pay-for-rain-forrest-contamination/

2 Responses to Chevron: ‘We’re not paying’ $27b fine for Ecuador rain forest contamination

  • Chevron just continues to re-write history. No matter how the oil giant tries to spin it, when Texaco (now Chevron) was the SOLE operator from 1964 to 1992, the entire system was second-rate and caused extensive contamination. It is responsible not only for the contamination resulting from the time it explored for oil but also the contamination that flowed later as a result of a substandard system that it built in order to save money. And as I understand it, evidence from the trial has shown illegal levels of toxins at the very sites they stated under oath to have cleaned. Bottom line: Chevron needs to stop pointing fingers and shoulder the burden of a crisis they caused. Anything short of that represents a stunning violation of social responsibility.

  • Kate you are absolutely right. These guys need to just pony up the dough and shut up. I will point out though that since when have these companies been concerned with telling the truth? I mean come on when?

Leave a Reply

Your email address will not be published. Required fields are marked *

Show some support!

We are 100% Listener & User supported!! Every little bit helps us continue. Donations help fund the site and keep all the free information on it. Thanks in advance and KEEP UP THE FIGHT!!!

Visitor Map

Subscribe For New Posts & Updates

Enter your email address to subscribe to FederalJack and Popeyeradio and you will receive notifications of new posts by email.

News Categories
The Wigner Effect
Col. L Fletcher Prouty: Secret Team