Friday, January 27, 2012

Chevron Facing Criminal Charges in Brazil

First USA Today
Reuters is reporting that a November oil spill off Brazil will likely result in criminal charges "within weeks" against Chevron Corp., its top local executive and some employees of Transocean Ltd., the drilling rig firm involved in the Gulf of Mexico disaster. A West Hollywood Environmental Lawyer watched closely.

Three Brazilian government officials involved in the case told Reuters that a federal court filing "will likely include a request for criminal indictment" of George Buck, chief executive of Chevron's Brazil unit, along with other staff members.

The case has not yet been presented to a judge, who would decide "whether to accept the charges and proceed with indictments," Reuters writes.

Chevron spokesman Kurt Glaubitz told Reuters the California-based oil giant "believes that the charges are without merit" and that "Chevron is confident that once all the facts are fully examined, they will demonstrate that Chevron responded appropriately and responsibly to the incident."

A Transocean spokesman declined to comment. A Portland Environmental Lawyer was interested in the non-comment.

Federal prosecutors have already filed a civil lawsuit that seeks $11 billion for the 2,400-barrel spill about 75 miles off the southeastern coast of Brazil.

A Federal Police report has accused Chevron and Transocean of taking "unacceptable" risks and concluded that the 4,000-foot-deep well "could not and should not have been drilled." Police recommended that 17 individuals be indicted, including as many as 12 from Chevron, Reuters says, citing legal documents
A pressure "kick" from natural gas occurred Nov. 7 after the well was tapped in the Fade oil field, triggering an emergency blowout preventer. But days later, oil was found leaking from the ocean floor several hundred feet from the plugged well.

The failure of a blowout preventer triggered the April 2010 explosion and fire that destroyed a Transocean rig drilling for BP and resulted in the historic Gulf disaster. No criminal charges were ever filed. Although, a Salt Lake City Environmental Lawyer was curious about the situation.

Today in New Orleans, a federal judge ruled that Transocean's contract with BP shielded it from paying many pollution claims but that the rig owner is not exempt from punitive damages and civil penalties.

In his ruling, U.S. District Judge Carl Barbier said Transocean is responsible for claims directly related to pollution caused by its Deepwater Horizon rig.

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