Data Problems, Conflict of Interest At Heart of $27B Lawsuit Against Chevron
The case involves a $27 billion lawsuit against oil giant Chevron in Ecuador, in which the energy industry and even the Ecuadorian government is looking for a financial windfall by holding Chevron responsible for environmental carelessness by native companies. The very foundation of the suit, and even the settled-upon number for the damage award, relies upon research an evidence provided by a so-called “independent expert” appointed by the court. That expert, it turns out, never revealed that he is the co-founder, general manager and legal representative for Compañía Ambiental Minera-Petrolera S.A. (CAMPET), a contractor working with and providing remediation services for Petroecuador, the state-owned oil company in that country.
Court Appointee in Chevron Ecuador Lawsuit Tied to Ecuador State-Owned Oil Company
SAN RAMON, Calif., Feb. 9, 2010 – In a court filing today in Lago Agrio, Ecuador, Chevron Corp. (NYSE:CVX) provided newly discovered information showing that the author of a report recommending that Chevron be ordered to pay $27 billion in damages is the majority owner of an oilfield remediation company that stands to gain financially from a judgment against Chevron. Due to the remediation company’s relationship with Ecuador’s state-owned oil company, Petroecuador, Chevron called upon the court to immediately reject the work of Richard Cabrera on the grounds that he knowingly hid his relationship and that he stands to gain from what was supposed to be unbiased work for the court.
Chevron, Ecuador Plaintiffs Spar Over Arbitration In Court
QUITO -(Dow Jones)- Chevron Corp. filed a motion in U.S. federal court that seeks to block a lawsuit which would prevent arbitration hearings between the company and Lago Agrio litigationplaintiffs from taking place in the international court at The Hague.
Chevron’s motion to dismiss the lawsuit filed by plaintiffs was filed last week. The plaintiffs filed their lawsuit in January.
Crude fails to get to the bottom of Chevron-Texaco’s conduct in Ecuador
Last week, I finally managed to see Crude, having been told that Joe Berlinger’s film was a supreme work of investigative journalism about the alleged conduct of Texaco in the Ecuadorian Amazon. But watching two lawyers – one local, one New Yorker – struggle on behalf of 30,000 Amazonians in the affected region, it seemed the film had less to say about the workings of Big Oil than the tortuous nature of class action litigation against multinational companies.
The press release spewing Amazon Defense Coalition cries about free speech
The Amazon Defense Coalition, an organization that pumps out press releases almost every week, cries about free speech in its latest message to the masses. Karen Hinton, Amazon Defense Coalition’s prolific press release machine, leads her latest statement with the following headline:
“Chevron Facing Free Speech Problems In U.S. Over Defense of $27 Billion Ecuador Lawsuit”
Report Bolsters Support for Chevron in Ecuador
Some people wonder why I’ve shown so much interest — almost 30 posts to date — in the 16-year-old lawsuit Chevron Corporation has been battling in Ecuador. Aside from the fact that Chevron stands to lose as much as $27 billion if an Ecuadoran judge rules in favor of the plaintiff, part of my interest stems from the fact that a thick cloud of corruption surrounds Rafael Correa, a man who has been mentioned in a half-dozen posts (including the one you’re reading). And so I bring more news about the president of the South American banana republic country that bolsters my support of the San Ramon, Calif.-based oil giant.
Amazon Defense Coalition: Chevron Facing Free Speech Problems In U.S. Over Defense of $27 Billion Ecuador Lawsuit
SAN FRANCISCO – (Business Wire) Chevron is facing charges that its aggressive defense of a $27 billion environmental liability in Ecuador is crossing the line into violating the free speech rights of its critics in the U.S., according to news reports and publicly available court filings.
Lawyers for the Government of Ecuador Engage in Revisionist History – Myth of Jurisdiction Exposed
“In a lawsuit filed Thursday, the plaintiffs say Chevron broke a promise Texaco Inc. made in 1999 to a New York federal court to abide by the Ecuadorean legal system if the court dismissed the environmental case.” – Wall Street Journal, 1/14/10
Chevron has never operated in Ecuador, a fact that cannot be disputed. Texaco’s role in oil operations in the country ended in 1992. Since then, Ecuador’s government owned oil company, Petroecuador, has been the exclusive operator of the oil fields and has amassed a deplorable environmental record.
Lawyer Sued by Chevron Cries SLAPP
Trying to fend off a malicious prosecution lawsuit against a plaintiff lawyer who sued Chevron, lawyers at Kerr & Wagstaffe in San Francisco are saying the company is just trying to punish their client.
For its part, Chevron says Bonifaz has “publicly campaigned” for nearly 20 years on allegations that oil operations have harmed people’s health in Ecuador. But “when he was finally called upon to substantiate his allegations, he produced clients with false claims,” a Chevron spokesman said.
Chevron Asks Judge to Dismiss Ecuador’s Anti-Arbitration Move
Chevron Corp. asked a U.S. court to dismiss Ecuador’s attempt to block an international arbitration panel from deciding who should pay damages in a lawsuit seeking as much as $27 billion for environmental cleanup.
Ecuador filed a lawsuit in federal court in New York claiming Chevron has tried to move the case to arbitration since it was transferred to the South American nation’s courts in 2003. In a filing responding to the claim, Chevron asked a federal judge in New York to dismiss the lawsuit.
CHEVRON FILES MOTION TO HOLD GOVERNMENT OF ECUADOR ACCOUNTABLE UNDER INTERNATIONAL LAW
Chevron has submitted a legal motion and supporting authorities to dismiss a lawsuit that was filed by the government of Ecuador in an attempt to block a Chevron arbitration claim made under international treaty law.
The motion comes nearly four months after Chevron initiated a proceeding against Ecuador before the Permanent Court of Arbitration in The Hague under United Nations trade law. Chevron has accused the government of Ecuador of violating a bilateral investment treaty with the United States by participating in a $27 billion lawsuit brought against Chevron for alleged environmental damage in the Amazon. In 1998, Ecuador released Texaco – since acquired by Chevron – for any liability related to oil exploration and development in the Ecuadorian Amazon.
Ecuador Should Stop Interfering With International Arbitration Mandated by Treaty
In 1993 Ecuador and United States inked a bilateral investment treaty (BIT) designed to encourage private sector development in Ecuador and to protect U.S. investment in the country.
But the government of Ecuador has long sought to evade its BIT obligations. In fact, Ecuador clearly broke this treaty when the country pursued a bad-faith, coordinated strategy with the Lago Agrio plaintiffs to use them as “stalking horses” in an attempt to avoid its own remediation responsibilities and contractual obligations, and instead to impose public environmental liabilities on Chevron only a few years after having settled and released Chevron from such liabilities. Chevron was therefore compelled to file an international arbitration claim against Ecuador under the BIT.
Amazon Defense Coalition Watch: ADC spokesperson’s statement in a Financial Times article misleads readers
A statement by Karen Hinton, Amazon Defense Coalition’s spokesperson, misleads readers about her activities and attempts to discredit bloggers who are raising serious questions about the lawsuit against Chevron in Ecuador.
Point, counterpoint in an Amazonian publicity battle
As the Chevron case shows, the battle for public opinion in the internet age means companies may be less ready to back down so readily. The internet has given today’s activists a wider audience, and enabled plaintiffs to get their anti-Chevron message out, but it has also enabled the oil companies such as Chevron to hit back.
Fear of precedents drives Chevron fight against Ecuador claims
Chevron’s high-profile defense against a lawsuit seeking $27bn for environmental damages in Ecuador has ranged from YouTube postings to secretly-taped videos of the judge discussing the case in what it claims is evidence of political interference and corruption in the country. The nature of Chevron’s defence, which has included keeping those who did the secret taping away from media and the authorities, certainly is uncharacteristic of an oil major.
Rainforest Action Network “freaks out” about Chevron exercising its rights at Houston marathon
Last week the Rainforest Action Network (RAN) freaked out when they attempted to hijack the Chevron Houston Marathon Expo to further their own radical environmental agenda and spread misinformation about the lawsuit in Ecuador being pushed by leftwing ideologs.
Press releases by RAN were distributed fair and wide across the internet repeating Amazon Defense Coalition’s long list of lies about Chevron. One RAN press release repeated the big lie that 1,400 Ecuadoreans have died from cancer due to Chevron’s activities. There is no evidence to support that claim by the ADC.
An Amazonian publicity battle
In 2003, Silvia Garrigo, then a US lawyer for Chevron, was preparing to go into the Ecuadorian rainforest to collect soil samples for testing. She was accompanied by plaintiffs accusing the US’s second biggest oil company of having left a swathe of environmental destruction when it left the country in 1992.
“The plaintiffs’ entire technical team showed up in moon suits, with gas masks, put up red tape and said it was a dangerous zone,’’ recalls Ms Garrigo, now Chevron’s manager for global issues and policy.
“It was comical. The rest of the people who were in the ‘toxic zone’ did not have masks, including the judge. This was when we realised this was about theatrics, trying the case in the press.”
That day marked a turning point in Chevron’s strategy. It decided to come out fighting – in effect deploying similar tactics to the plaintiffs. In pursuing such an unusual strategy it hopes to harness public opinion.
Chevron Ecuador Lawsuit Myth-Makers; Amazon Watch’s Daniel Herriges propagates Karen Hinton’s myths at The Huffington Post
A December 2009 article on The Huffington Post originally written by Amazon Watch’s Daniel Herriges titled: “Chevron’s Blogger Propagandists: Accuse First, Ask (No) Questions Later,” repeats several Karen Hinton myths that were debunked way back in May. Herriges is a program associate at Amazon Watch and self described myth-debunker. Sadly, the myth-debunker has been employed by Amazon Watch to spread myths that are easily debunked.
Strange Bedfellows? Government of Ecuador and Amazon Watch Share Same PR firm
The government of Ecuador and the American trial lawyers behind the lawsuit have colluded yet again in their attempt to extort $27 billion from Chevron.
Fenton Communications, the public relations agency that the government of Ecuador has paid $30,000 per month to “polish” President Rafael Correa’s public profile in the United States, and to successfully lobby the U.S. Congress on its behalf, is now colluding with trial lawyers who are trying to extort money from Chevron Corporation.
Chevron Plaintiffs Ask U.S. Court for Action
Plaintiffs suing Chevron Corp. for $27 billion in alleged environmental damages in Ecuador are asking a U.S. court to halt the company’s bid to bring the case to international arbitration.
In a lawsuit filed Thursday, the plaintiffs say Chevron broke a promise Texaco Inc. made in 1999 to a New York federal court to abide by the Ecuadorean legal system if the court dismissed the environmental case. Residents of Ecuador’s oil-producing region sued Texaco in the U.S. court for damage allegedly caused by the company during its tenure there from 1964 to 1990.
Chevron, which inherited the dispute when it bought Texaco in 2001, denies the allegations. It has said it expects an unfavorable court ruling in Ecuador due to political pressure from the government. Ecuador has denied interfering with the lawsuit.
Amazon Defense Coalition Watch: Amazon Watch’s Han Shan promotes bogus cancer claims at The Huffington Post
Han Shan, hired campaign organizer, is promoting a new video produced by Amazon Watch that smears Chevron with cancer claims that have been proven false long ago. The video titled, “Message from Ecuador to Chevron CEO John Watson” spins together bogus claims concocted by the Amazon Defense Coalition to increase pressure on Chevron to settle a trial lawyer funded lawsuit.
Will the New CEO of Oil Giant Chevron Listen to the People of Ecuador? (VIDEO)
This is the message that Emergildo Criollo, leader of the indigenous Cofan tribe in Ecuador’s Amazon region, is sending to John Watson, the new CEO of Chevron, in a new video.
Just days into Mr. Watson’s tenure as Chairman and CEO of California-based Chevron Corporation, the affected communities in the Ecuadorian Amazon have recorded a heartfelt video message, in which they appeal directly to Watson to visit Ecuador, and address the oil company’s toxic legacy.
ECUADOR’S PRESIDENT CORREA: IF YOU DON’T PAY ECUADOR MONEY, WE WILL KILL THE AMAZON
Lastly, international business, legal and political observers are still shocked by the bribery scandal that rocked the Correa administration this last year and caused the judge in a case accusing Chevron of oil pollution to unexpectedly resign. It is widely believed that Ecuador’s judicial system is corrupt and that the new judge–who serves at the pleasure of President Correa–will find Chevron guilty of $27 billion in damages in Ecuador in a decade-long legal battle from when Texaco (later acquired by Chevron) operated as a minority partner with state-owned Petroecuador. Chevron is expected to appeal the monetary judgement, anticipated in the coming months, to an unbiased international court and win where the rule of law prevails, leaving the Correa administration and its justice system further tarnished.
Mr. Watson: Do the Right Thing in Ecuador!
Last week, John S. Watson took over as new Chairman and CEO of Chevron Corporation. EarthRights International’s allies at Amazon Watch are launching a major initiative to ensure that Mr. Watson hears the growing chorus of people demanding justice for the indigenous and campesino people of the Ecuadorian Amazon who have suffered from Chevron’s massive oil contamination of their rainforest communities. This case is indicative of Chevron’s global record of disregarding the land and people in their areas of operation.
Chevron’s New Heavies
Last year, Chevron Corporation released a video purporting to show an Ecuadorian judge in the act of being bribed and admitting bias in a pollution case against Chevron. The company has made the incident a centerpiece in an international legal campaign to void a multi-million dollar judgment against it.
Now Chevron has hired an outside law firm, Gibson, Dunn & Crutcher, to handle its Ecuador legal problem. That firm recently defended Dole Food Company in a workplace pollution suit by attacking the foreign judges, the plaintiffs and their U.S. lawyers. The similarity between the Chevron and the Dole suits and the way they’ve been handled so far is striking, and should serve as a warning to the plaintiffs in Ecuador.
Chevron’s Year of Uncertainty
The new year will be especially telling for one U.S. company under the gun for its activities overseas: Chevron, the oil and gas monolith currently embroiled in a $27 billion class action lawsuit in Ecuador over the company’s alleged pollution of the Amazon, which reportedly led to a spike in cancer rates and an untold number of deaths.
THE B-CAST: ECUADOR, HOLLYWOOD & TRIAL LAWYERS VS. CHEVRON = LIBERAL HYPOCRISY
Democratic Party operatives promoting Amazon Defense Coalition’s lawsuit against Chevron in Ecuador
Earlier this year the Amazon Defense Coalition (ADC) put out a press release announcing that “Four Senators Urge USTR to Ignore Chevron Petition on Ecuador Legal Case.” Then on December 3rd, the ADC announced that Rep. Linda Sanchez was among a group of “leading female environmental and human rights advocates” calling “for Chevron to clean up the company’s Ecuador environmental disaster…” And more recently, on December 15th an ADC press release proclaimed that, “Twenty-Six Members of Congress Ask USTR to Reject Chevron Interference in Landmark Ecuador Legal Case.”
So what do the “Four Senators” the “Twenty-Six Members of Congress” and Rep. Linda Sanchez all have in common? Surprise, surprise, they’re all Democrats. The cold, hard, political reality is that most of these Democrats are motivated by liberal ideology, a desire to shore up their left-wing base, and rake in campaign contributions before, what most political analysts agree, will be a disastrous midterm election for the Democratic Party next year. It’s an inside the Beltway tactic designed to target the anti-corporate and environmental extremists that make up the Democratic Party’s base.
Chevron Finishing Brutal Year On Ecuador Issue
Obama’s Extension of Trade Benefits Latest of Several Harsh Setbacks for Oil Giant Over $27B Liability
The signing this week by President Barack Obama of an extension of trade benefits for Ecuador – over strenuous objections from Chevron — caps a brutal year of legal and lobbying setbacks for the oil giant in its attempts to evade a multi-billion dollar liability for environmental damage in the Amazon rainforest.
What’s behind the $27 billion figure?
U.S. trial lawyers representing 48 Ecuadorian plaintiffs (not 30,000) are attempting to hold Chevron liable for more than $27 billion. Amazingly, this astronomical number mostly goes unquestioned. So what goes into creating a figure that is 10 times the cost to remediate the nation of Kuwait post Gulf War?
First, one must consider its origin. The $27 billion was presented by Richard Cabrera, a mining engineer with no oilfield remediation experience. Cabrera was named by the court to assess possible environmental damage in the former concession area and, if any, determine the cause and work needed to fix it. In addition to being unqualified, Cabrera ignored court instructions and improperly expanded his work scope to invent categories of damages unrelated to the issues raised by the lawsuit or with environmental remediation. Not surprisingly, his appointment was fully supported by the plaintiffs’ representatives who ultimately paid Cabrera more than $200,000 for his work. Perhaps most egregious, however, is the fact that Cabrera staffed his technical team with plaintiffs’ representatives and portions of his “independent” report were developed by organizations affiliated with the plaintiffs [click here] and [here].
Alex Thorne: Anti-Chevron bloggers at The Huffington Post fail research 101 & mischaracterize my articles
Yesterday I was named in an article at The Huffington Post. I wrote an email to the editors which read in part:
An article was posted yesterday on your site in which I was mentioned by name and my activities completely mischaracterized… You’ll notice that the author never links to any of my articles when describing my work, indicating that the author doesn’t want your readers to judge my statements in their full context.
Bob McCarty: I’ve Been Trashed by the Huffington Post
Last night, I learned my blogging efforts had provoked a virtual attack by the folks at the ultra-liberal Huffington Post.
Eight months ago, I began reporting on the bogus lawsuit Chevron Corporation has been fighting in Ecuador for more than 16 years. To date, I’ve published more than a dozen posts about the case — a no-holds-barred attempt by the plaintiff Amazon Defense Coalition to fleece $27 billion from the San Ramon, Calif.-based oil giant. Apparently, I’ve gotten under their thin skin.
Under the Thursday-evening headline, Chevron’s Blogger Propagandists: Accuse First, Ask (No) Questions Later, I was one of four pro-Chevron bloggers excoriated in a byline-free piece posted — but not written — by Paul Paz y Miño that first appeared on the barely-visible ChevronInEcuador blog, a propaganda site run by the ADC’s hired-cap gun PR flak Karen Hinton.
Ecuador, Hollywood, and Trial Lawyers vs. Chevron Equals Liberal Hypocrisy
It was nice to see a slice of the commentariat point out the gaudy display of hypocrisy coming from the left in Copenhagen, where the limos and private planes of the emissaries of climate change emitted their requisite greenhouse gases so everyone could talk about how to reduce emissions. But is just the tip of the iceberg. And, global warming or not, when it comes to liberals’ double standard, this metaphorical iceberg is hardly shrinking.
Thousands of miles away, on a different continent, the tangible results of such hypocrisy are being manifested by a handful of environmental and “human rights groups.” These self-proclaimed “activists,” along with their Democratic accomplices in Congress, have teamed up with corrupt left-wing Ecuadorian President Raphael Correa in a massive civil lawsuit against Chevron. If all goes according to plan, they will divide the $27 billion they extract from the company with American trial lawyers.
Chevron’s Statement on the Extension of Ecuador’s Trade Preferences Under the Andean Trade Preferences Act (ATPA)
Chevron supports the legislation passed today to extend trade preference programs including GSP and the Andean Trade Preferences program. We have long supported trade preference programs for the important benefits they bring to U.S. firms, workers and to the beneficiary countries. We are pleased that Congress has seen fit to include an accelerated review of Ecuador’s compliance with the program, which will provide the Administration with the opportunity to continue to monitor the issues raised about Ecuador in its June 30th report to the Congress on the operation of the Andean Trade Preferences Program.
If Ecuador wants free trade with the U.S., it should earn it
The South American nation should not be rewarded for demonstrating its hostility to U.S. interests and the rule of law, says a Chevron official.
The Times’ Dec. 3 editorial, “Trading with Ecuador,” ignores evidence of Ecuador’s hostility to the United States and misleadingly asserted that Chevron is calling for an end to beneficiary status for Ecuador under the Andean Trade Preferences Act.
While more than one organization has called for “halting the trade agreement” with Ecuador, Chevron is not. Chevron is arguing that countries should not be unconditionally rewarded with unilateral trade benefits even as they flout commercial obligations with the United States. Because Ecuador has taken a series of actions to undermine trade and investment rules, Chevron is calling for treating Ecuador differently under the Andean Trade Preferences Act than the other two countries included in the bill, Peru and Colombia. Chevron has proposed several ways for Congress and the administration to treat Ecuador differently, including statutory periodic reviews or limiting preferences to private entities and firms in Ecuador, not to government-owned entities such as the state-owned oil company, Petroecuador.
Story of Ecuador oil disaster exposes sleaze beyond the slicks
“Crude” makes you want to wash your hands, but you can’t because the water is oily with petroleum goo.
The documentary, about how oil drilling in the Ecuadorean Amazon has fouled the land and poisoned the water, may at first seem like yet another tree-hugger movie, with a great corporate villain and a hero found in its indigenous victims. But as the film unspools, there is more than enough smarmy ooze to coat every hand.
Trial Lawyer Finally Tells the Truth about Remediation Costs
“It will be very expensive to clean up, but far less than the profits they took out of Ecuador.” – Steve Donziger, lead trial attorney. Commondreams.org: 10/29/09.
Mr. Donziger’s math is finally adding up and, perhaps unintentionally, Mr. Donziger has exposed one of the most fraudulent aspects of the Ecuador trial – the $27 billion damage recommendation known as the “Cabrera Report.”
Trial Lawyers Bankroll Lawsuit, Bank on Payday
“This lawsuit started in the United States and is financed by a law firm.” – Julio Prieto, plaintiff’s attorney.
In a December 7th interview with Ecuadorian radio station Majestad, plaintiff’s attorney Julio Prieto makes mention of a law firm bankrolling the environmental lawsuit currently pending against Chevron in Ecuador.
The referenced firm is Kohn, Swift & Graf PC of Philadelphia, the primary entity providing a majority of, if not all of the funding for the lawsuit against Chevron.
When U.S.-based trial lawyer, Cristóbal Bonifaz, first concocted the original lawsuit against Texaco in 1993, he contacted Harold Kohn, a Philadelphia class-action lawyer. Shortly thereafter, Kohn’s son, Joe, who later became a partner at Kohn Swift & Graf, signed on. Subsequently, Kohn enlisted Steven Donziger, a New York-based trial lawyer who went to law school with Bonifaz’s son.
When asked about his motivation for taking on the case against Chevron in the movie Crude, Joe Kohn candidly stated, “it was not taken as a pro bono case, you know, a lot of my motivation is, at the end of the day… it will be a lucrative case for the firm.”
The Media’s Top 10 Worst Economic Myths of 2009
10. CBS, NY Times Support Ecuadorian Shakedown of U.S. oil company.
Media myth: Chevron is responsible for abandoned oil wells across Ecuador.
A South American country is trying to squeeze $27 billion out of Chevron for environmental cleanup from discarded oil wells – all with the help of the U.S. news media.
CBS “60 Minutes” and The New York Times took the side of “eco-radicals” at the Amazon Defense Coalition who have filed suit against Chevron, even though the government of Ecuador signed off on the company’s cleanup actions more than 10 years ago.
What does Howard Glaser know about the lawsuit against Chevron in Ecuador? Answer: Only what his wife tells him.
Why did Howard Glaser, a financial services industry analyst, write an article for The Huffington Post about the lawsuit against Chevron in Ecuador? It seems to be a bit off-topic for him. Well, it turns out that he’s married to Karen Hinton, the thoroughly discredited spokesperson for the Amazon Defense Coalition, the organization suing Chevron for $27 billion. Maybe the financial angle is appropriate due to the fact that Karen Hinton has already made a small fortune from representing the ADC.
Ecuador’s Trade Preferences: The Real Story
A recent Los Angeles Times editorial on Ecuador’s trade preferences with the United States curiously ignores evidence of Ecuador’s hostility to the United States and erroneously asserted that Chevron is calling for an end to beneficiary status for Ecuador under the Andean Trade Preferences Act. While more than one organization is calling for “halting the trade agreement” with Ecuador, Chevron is not. Chevron argues that countries should not be unconditionally rewarded with unilateral trade benefits even as they flout commercial obligations with the United States. Because Ecuador has taken a series of actions to undermine trade and investment rules, Chevron is calling for treating Ecuador differently under the Andean trade act than the other two countries included in the act, Peru and Colombia. Chevron is proposing several ways for Congress and the administration to treat Ecuador differently, including statutory periodic reviews or limiting preferences to private entities and firms in Ecuador, not to government-owned entities such as Ecuador’s state-owned oil company, Petroecuador.
Ecuador Files Frivolous Lawsuit Against Chevron To Evade International Arbitration Hearings
“By commencing the arbitration, it is Chevron that is trying to escape its commitments,” – Eric Bloom, attorney representing the Government of Ecuador.
On the contrary, the Republic of Ecuador’s complaint against Chevron in the Southern District of New York is frivolous in much the same way as the lawsuit against Chevron in Ecuador. Both are based on the made-up idea that Chevron agreed in 2001 to submit itself to the jurisdiction of Ecuador’s courts.
Ecuador Asks U.S. Court to Block Chevron
Ecuador asked a U.S. federal court to prevent Chevron Corp. from forcing international arbitration of claims over alleged environmental damages in the country’s Amazon region in the early 1990s.
“The government of Ecuador has long sought to evade its contractual obligations to Chevron and, through its intervention in the Lago Agrio case, corrupted the proceeding,” a Chevron spokesman said in a statement. “With today’s filing, the government of Ecuador is simply seeking to delay the arbitration and avoid ever having to own up for its abrogation of the rule of law and violation of its treaty obligations to the United States.”
Ecuador sues Chevron in US over arbitration claim
The government of Ecuador has asked a U.S. judge to stop Chevron Corp from pursuing an international arbitration claim in response to allegations of environmental pollution in Ecuador.
The lawsuit, filed in Manhattan federal court in New York on Thursday, follows a Sept. 23 arbitration claim by the second-largest U.S. oil company, Chevron, which opened a new front in its defense of a $27 billion lawsuit over accusations of Amazon rain forest and river pollution.
Chevron has complained of government interference in the 16-year-old case, in which indigenous communities have accused Texaco, bought by Chevron in 2001, of damaging the environment and their health while operating petroleum facilities in the region.
Chevron files suit against environmental plaintiff’s lawyer
SAN FRANCISCO – Chevron has filed a malicious conduct lawsuit against an attorney who took the oil giant to court in 2006.
The lawsuit alleges Cristobal Bonifaz, who once represented Amazon Defense Coalition (ADC), knowingly put witnesses on the stand who falsely claimed they had contracted cancer from oil contamination.
The Other L.A.
The hot and humid impoverished region of Lago Agrio has unusual tourism traffic these days. Its renowned Toxic Tours have attracted many American journalists, politicians and celebrities, including Daryl Hannah, Bianca Jagger, Sting’s wife, Trudie Styler, and most recently, Robert Kennedy’s daughter, Kerry. The other L.A. has been spotlighted in both American newspapers and in Joe Berlinger’s documentary Crude.
Ecuador’s L.A. is indeed a real-life drama. Thousands of crude oil spills have taken place in the Amazonian region, and there’s no end in sight. Lago Agrio’s residents live surrounded by heavy oil and 60% of them make $2 a day or less, so they are unable to cover their basic needs or to relocate. The whopping poverty rate has remained unchanged and the government has provided little aid during the last decade, despite Ecuador having more than tripled its oil income since 1999. Oil riches, exclusively located in the Amazon, fuel 40% of the national budget and represent half of all exports.
Inequities in Ecuador
U.S. trade preferences should not be awarded to nations where corruption runs rampant and American companies are preyed upon. Today, the Senate Finance Committee becomes the second congressional committee this week to consider whether to renew the Andean Trade Preference Act. The committee ought to exclude the government of Ecuador from some or all of the act’s benefits.
Ecuador also has engaged in what amounts to almost extortionate tactics in a $27 billion lawsuit against American oil company Chevron about supposed environmental damage for which Ecuador’s government already absolved Texaco (now part of Chevron) back in 1998.
This summer, the Ecuadoran judge who had been presiding over the case was forced to step down after being caught on videotape in an alleged bribery scheme that purportedly involved Mr. Correa’s sister, Pierina.
Chevron Files Malicious Prosecution Suit Against Plaintiffs Lawyer
Chevron is suing one of the architects of a massive environmental torts case against the company for his role in filing a separate civil suit against the energy giant in April 2006.
In a 15-page complaint filed Friday in U.S. district court in San Francisco, Chevron accuses Cristobal Bonifaz of malicious prosecution and seeks $4 million in legal fees and unspecified damages for his role in filing the April 2006 civil suit. A federal judge tossed the bulk of that suit in August 2007 after finding that plaintiffs’ attorneys “manufactured” illness claims.
Chevron sues former lawyer in Ecuador case
Chevron Corp. has sued a lawyer who used to represent the plaintiffs in a $27 billion pollution lawsuit against the oil company in Ecuador, hoping to cast doubt on the case.
Chevron on Friday filed a complaint for malicious prosecution against Cristobal Bonifaz, who worked on both incarnations of the long-running lawsuit up until 2006. The oil company, the nation’s second largest, is seeking more than $4 million.
Above Board?
In a statement from the pages of Politico.com, Amazon Defense Coalition PR representative, Karen Hinton asserts that the ADC’s tactics are “above board.” Does Hinton’s definition of “above board” include repeatedly lying about a murder to gain the sympathy and support of a well-intentioned, unsuspecting public? Hinton once again misrepresents a subject we’ve covered here before: the 2004 murder of Wilson Fajardo, brother of plaintiffs’ lawyer Pablo Fajardo.
Petroecuador Responsible for Oil Field Infrastructure
The U.S. trial lawyers behind the environmental lawsuit in Ecuador consistently assert that Chevron, a company that has never operated in Ecuador, is somehow responsible for the current state of Petroecuador’s environmental mismanagement. Moreover, when confronted with the reality of Petroecuador’s reckless performance over the last two decades, the lawyers try to claim that Petroecuador’s pollution is Chevron’s responsibility because (as they put it) Petroecuador “inherited” a “flawed production system” from Texaco Petroleum.
The Latest ‘Crude’ Review, Wrong Like Most of The Others
But it’s not a class-action suit and it wasn’t filed by 30,000 Amazon tribespeople.
Even the Amazon Defense Coalition’s PR person, Karen Hinton, eventually admitted this basic fact — a basic fact that the Globe gets wrong.
Chevron Defends Use of Tapes by American With Felony Conviction
Chevron Corp., facing a $27 billion pollution lawsuit in Ecuador, said revelations that an American who secretly recorded the judge overseeing the case was convicted of a drug-smuggling conspiracy won’t affect its reliance on information in the recordings given to the company.
Chevron, the second-largest U.S. oil company, said Aug. 31 that California resident Wayne Hansen was an “American businessman” whose tape recordings of meetings in Ecuador in May and June show that the judge is biased against the company and may have been involved in a $3 million bribery scheme.
“The content of the tapes is what’s really egregious here,” Don Campbell, a Chevron spokesman, said in a phone interview.
Group attacks Chevron ally
Two months ago, Chevron released statements and videotapes provided by two men that it said cast doubt on the integrity of a court in Ecuador, where the company is fighting demands that it pay billions of dollars to fix damage done years ago by oil exploration in the Ecuadoran Amazon.
Cullen rejected the notion that Chevron had recruited Hansen to make the videotapes. “I’m going to go out and recruit someone for this job and I’m going to go out and get that guy? It’s baloney,” Cullen said. “We didn’t recruit Borja or Hansen. We didn’t put any words in their mouths. We didn’t give them a plan. We didn’t tell them what to do or say.”
Web of Influence Shows Financial, Political Ties of the Government of Ecuador, U.S. Attorneys and Their Efforts to Sway Justice in the Case Against Chevron in Ecuador
An elaborate series of relationships between the Ecuadorian government, U.S. trial lawyers and activist groups show that strong economic and political ties exist in their efforts to put pressure on a small rural courtroom in Lago Agrio, Ecuador, to find Chevron guilty in an environmental lawsuit.
Felon involved in clandestine videos in Ecuador
A man who made clandestine video recordings used to discredit Ecuador in a $27 billion oil contamination lawsuit is a convicted felon with a history of legal troubles, The Associated Press has learned.
Chevron Denies Role in Recording of Judge in Pollution Case
Chevron Corp. said it didn’t request or encourage an Ecuadorean contractor, who it later assisted with a stipend and housing, to meet with a judge presiding over a pollution lawsuit against the company.
“Chevron did not initiate or participate in the meetings and had no advance knowledge that they would occur,” Thomas Cullen, a lawyer for San Ramon-California-based Chevron, said in a letter dated Oct 26 to Ecuador Solicitor General Diego Garcia.
Massachusetts Congressman Blasts Chevron
“CRUDE” is not only the name of an anti-Chevron film by Joe Berlinger, but it aptly describes the behavior of ultra-liberal Rep. James McGovern (D-Mass.) during the film’s Washington, D.C., premier Friday at the E Street Theater.
A telling audio clip, courtesy Carter Wood at the Shop Floor blog, reveals how McGovern began by “licking the boots” of Luis Yanza and Steven R. Donziger, principals on the plaintiff’s side of the Amazon Defense Coalition’s $27 billion lawsuit against Chevron Corporation, before spreading more of the group’s lies and baseless accusations about the San Ramon, Calif.-based oil giant.
Against Chevron, the Strategy Has Always Been Political
The movie “Crude” was again used to promote the anti-Chevron cause last week when a Congressman and the U.S. trial lawyer appeared at a Washington, D.C. showing alongside the film’s director, Joe Berlinger. Their comments in the Q&A demonstrated again that the litigation against Chevron for its predecessor Texaco’s operations in Ecuador is a matter of politics and public relations — not law – designed to force the company into a settlement.
The latest Amazon Defense Coalition smear, Karen Hinton is at it again
Karen Hinton, paid Washington, DC based PR representative for the Amazon Defense Coalition, is leveling a new baseless accusation against bloggers who are raising legitimate questions about the organization’s lawsuit against Chevron.
What 30,000? Etc. It’s Still Not a Class-Action Lawsuit
In a response to our post (”What 30,000?“) debunking the claim that 30,000 Amazonian Indians have sued Chevron, the Amazon Defense Coalition’s PR person, Karen Hinton, writes:
Most of the time I don’t bother to read this blog, much less respond. But like so many others, this post is way over the top. The lawsuit is a class-action lawsuit. That means it covers any and all people living in the Texaco concession area who have been harmed by the contamination. As with class-action lawsuits filed in this country, names of specific individuals are included in the lawsuit but that does not mean the lawsuit is limited to those individuals.
We’ve read the lawsuit. The plaintiffs are 48 Ecuadorians. There’s no mention of a “class” or a citation of the Ecuadorian law that defines class-action litigation. No judge has certified the class, that is, recognized anyone’s standing to sue for damages on behalf of the supposed 30,000 Amazonians.
CNN's Sanchez Blasts America First, Asks Questions Later in Chevron/Ecuador Dispute
Features left-wing eco-activist Kerry Kennedy’s attack on oil giant; postpones Chevron defense until after commercial break.
If MSNBC is the “place for liberal politics,” CNN is the place for latent America bashing, especially its corporations.
On his Oct. 22 CNN program, Rick Sanchez wore his American guilt like a badge of honor and said he wasn’t going to stand for America to look bad because of what a corporation had been accused of doing, in this case Chevron (NYSE:CVX), whether they did it or not.
Myth 5: Texaco Petroleum is solely responsible for the problems in Ecuador’s Oriente region
Chevron is being blamed for a situation that is the sole responsibility of the Ecuadorian government and Petroecuador.
Petroecuador, Ecuador’s state-owned oil company, was the majority partner in the consortium with Texaco Petroleum. Today, Petroecuador still owns and operates the oilfields in the former Concession area as well as other fields in the Amazon. Petroecuador took over consortium operations in 1990 and became the sole owner of the consortium fields and installations when Texaco Petroleum’s concession contract expired in 1992. Since that time, Petroecuador has developed a widely acknowledged record of operational and environmental mismanagement, due to, among other things, widespread corruption, a lack of investment in, or proper maintenance of its equipment and installations, and numerous spills.
Petroecuador’s environmental record is alarming. The company has been responsible for more than 1,400 spills between 2000 and 2008. According to media reports, Petroecuador has spilled over 4.4 million gallons of oil at oil production and storage sites and along its various pipelines.
Ecuador Judge Rejects Chevron Request To Annul Recent Rulings
A new local judge in Ecuador’s region of Lago Agrio rejected Chevron Corp.’s (CVX) request to annul all rulings in a multi-billion dollar environmental lawsuit made by the judge’s predecessor, who recently recused himself from the case amid a scandal.
Judge Nicolas Zambrano officially took over the Chevron case on Wednesday, after a provincial court accepted the recusal of judge Juan Nunez. Nunez withdrew from the case after Chevron released videos in August that it says implicated the judge in improper dealings. Nunez, though, has denied any wrongdoing, and said the videos were doctored. Chevron maintains that the videos are authentic and haven’t been manipulated.
Ecuador Delays Picking Arbitrator In Chevron Case
Despite a looming deadline, Ecuador hasn’t chosen an arbitrator for the claim that Chevron Corp. (CVX) filed last month against it with the Permanent Court of Arbitration in the Hague, and will take some time to appoint a representative.
“The deadline to appoint our representative is today. We are analyzing names and the process could take some weeks,” a high government official told Dow Jones Newswires Thursday.
Myth 4: Oil contamination in water is the biggest health threat facing the Oriente
There is no question that the people of the Oriente region of Ecuador face a series of challenges regarding health in their communities. However, they are being deceived by the trial lawyers and activists who have brought this lawsuit.
The major health concerns in the Oriente region are not the result of oil operations, but are related to a lack of water treatment infrastructure, a lack of sufficient sanitation infrastructure and inadequate access to medical care.
The Merits of ‘Crude’: Trial Lawyer Excesses on Display
The publicity machine has geared up for the umpteenth premiere of the anti-Chevron movie, “Crude,” this time at the E Street Cinema Friday just a few blocks down from NAM-HQ. Joe Berlinger, the director, will be at the premiere, perhaps proclaiming his objective distance as he did in this San Francisco Chronicle interview:
I have maintained throughout the entire production period and release an arms-length relationship with everybody involved, so that the film is treated as a piece of objective journalism—because it is.
Berlinger will be appearing at the DC showing with Luis Yanza, an Ecuadorian activist, and Steven Donziger, the American trial lawyer who is directing the lawsuit.
Now that’s objective distance!
Big oil stains the Amazon in the documentary film 'Crude'
For the indigenous people of Ecuador’s blemished Amazon, it doesn’t matter whether Chevron is to blame, or Texaco, or the state-owned company Petroecuador. All that matters is that the kids have rashes, the chickens are dying, the people have cancer and the earth around many of their villages is soaked with oil.
Myth 3: The judicial system in Ecuador is fair and independent
The judicial system in Ecuador is not fair and is far from independent.
Since assuming office in January 2007, President Correa has consolidated his power over all of Ecuador, including its political, financial, and media institutions:
Correa consolidated political power when the Constituent Assembly, which is dominated by his political party, Alianza PAIS, drafted a new constitution, dissolved the National Congress and announced that its decisions were superior to any other ruling by the judicial system.
He threatened that “[j]udges and tribunals that process any action contrary to the decisions of the Constituent Assembly shall be dismissed from their post and subject to corresponding prosecution” and has since made clear that this threat extends to judges that rule against state interests.
Chevron Responds to Kerry Kennedy Attacks
In a telephone press conference today, Kerry Kennedy accused the Chevron Corporation of causing an ecological disaster in Ecuador. According to Chevron, Kennedy is incorrectly blaming Chevron subsidiary Texaco for problems caused by PetroEcuador, the oil company owned and run by the Ecuadoran government.
Chevron Spokesman Kent Robertson told The Minority Report Blog that Chevron itself has never actually operated in Ecuador. From 1972 to 1992, Texaco held 37.5% equity in a joint venture with PetroEcuador, producing oil in the Oriente region of Ecuador. According to Robertson, “Texaco was a minority partner in the consortium. It was governed and regulated by the government of Ecuador.” Chevron acquired Texaco in 2001.
Myth 2: There have been over 1,400 cancer deaths as a result of oil pollution
The cancer claims made by Richard Cabrera is one of the most shocking examples of the absurdity of his work. Cabrera, a mining engineer with no experience or training in oilfield remediation work, was appointed by the court to assess possible environmental damage.
This is an environmental remediation case, and none of the 48 named plaintiffs have claims for cancer or related damages.
But Cabrera assessed more than $9.5 billion in damages for “excess cancer deaths,” yet failed to identify a single victim or provide any corroborating documentation, such as death certificates or medical diagnoses.
Trial lawyers seeking a major payday don’t often want the facts to get in the way of a good story
And they’ll keep telling their story over and over again with more and more embellishment until someone either confronts them with the truth or pays them to stop.
Here is one of the major myths the US-based trial lawyers and environmental activist groups have spun in a naked attempted to tarnish Chevron’s reputation in the U.S. and pressure the company into an unjust settlement in the lawsuit against Chevron in Ecuador:
Myth 1: Chevron is responsible for $27 billion worth of damages to the Amazon.
The $27 billion assessment against Chevron was concocted by Richard Cabrera, a mining engineer with no experience or training in oilfield remediation work.
Will Wray '10: Crude justice
The plaintiff’s case is hopeless. The Amazon Defense Coalition is clinging to “Crude” as a last ditch effort to embarrass Chevron into paying a handsome settlement.
Claims of Indigenous Extinction in Amazon Region Proven False
In yet another fabrication put forth to mislead the public, the American trial lawyers behind the Chevron case in Ecuador and their activist NGO partners continue to claim that the indigenous tribes in the former consortium region are “near extinct.” However, this claim could not be any further from the truth.
More Smoke from the paid Amazon Defense Coalition Bloggers
The folks at the anti-Chevron blog The Chevron Pit, who describe themselves as “the team suing Chevron” a.k.a., hacks funded by trial lawyers, were at it again this week. In a well written, but utterly misleading article full of lies, the paid anti-Chevron bloggers personally attack Carter Wood for exposing the only tools they have: character assassination and manufactured outrage.
Lobbyist’s Disclosure Documents Raise Serious Questions in Chevron-Ecuador Lawsuit
Today, I offer evidence suggesting Ben Barnes, lobbyist for the plaintiff in a lawsuit that could cost San Ramon, Calif.-based Chevron $27 billion, has been reading this blog. It takes a while to explain, but I think you’ll find it offers worthwhile and relevant information about the Chevron lawsuit now being tried in a thoroughly-corrupt Ecuadoran legal system.
Let the Personal Attacks Continue
The activist/trial lawyer combine driving the $27 billion lawsuit against Chevron loves to wield the personal attack, demonizing the company, its employees and anybody else who argues that the litigation is baseless. At first blush the attacks look like an attempt to cow critics, but by now everybody has read Saul Alinsky — pick a target, freeze it, personalize it, and polarize it — and once recognized as tactics, the attacks lose their power to intimidate.
Plaintiffs’ Lawyers’ Statements on Groundwater Contamination Misleading and Incorrect
In virtually every public statement and news release, the plaintiffs’ lawyers and their activist NGO partners claim that the remediated sites that Texaco was responsible for under the 1998 Remediation Action Plan (RAP) “contain cancer-causing toxins at levels hundreds of times higher than U.S. and Ecuadorian law allows.”
Hidden Deal in Ecuador Case: Lawyers suing Chevron Strike Agreement That Spares Petroecuador From Litigation and Ensures Government Support
Information has been recently uncovered that suggests the plaintiffs’ lawyers in Chevron Corporation’s Ecuadorian lawsuit promised the Quito government they would not sue Ecuador’s state oil company Petroecuador over environmental damage in the Amazon if officials backed their litigation against the U.S. company.
Blogger says NY Times uses misleading photo to blame Chevron in Ecuador case
Two bloggers, Carter Wood of ShopFloor.org and Jeff Poor of Business & Media Institute are pointing a finger at the New York Times for using a photo and a story that seems to blame Chevron for environmental damage from oil production in Ecuador. Chevron has not operated in Ecuador since 1992. It turned over its production to the state-run company Petroecuador.
NY Times Plays Photo Tricks to Condemn Chevron in Ecuador Dispute
In the Oct. 9 issue of the Times, an article by Simon Romero and Clifford Krauss examined the events in a decade-and-a-half-long legal battle between a left-wing environmental group, supposedly representing the people of Ecuador, and Chevron over pollution allegedly left behind by Texaco.
However, the Times took liberty with a photo of “murky” polluted water with its Oct. 9 story, one that could lead a reader to Chevron is really at fault for pollution in Ecuador. The photograph, taken for the Times by Moises Saman, was captioned “a pool of oil in Lago Agrio, an Ecuadorean town in the Amazon where Texaco left contamination.”
What Photo Do You Use to Illustrate Misleading Journalism?
The New York Times features a longish piece today about the litigation brought by a New York trial lawyer and the Amazon Defense Coalition against Chevron over claims of environmental damage in Ecuador, “Ecuador Oil Pollution Case Only Grows Murkier.”
Well, maybe it’s murky because the paper doesn’t bother to report basic facts, like who actually brought the lawsuit. It’s as if the $27 billion in legal claims just appeared.
Ecuador Oil Pollution Case Only Grows Murkier
The multibillion-dollar legal case between Amazon peasants and Chevron over oil pollution in Ecuador’s rain forest keeps unfolding more like a mystery thriller than a battle of briefs.
Ever since the oil giant released videos in August that were secretly taped by two businessmen who seemed to have the ambition of feasting off the expected $27 billion in damages sought, Ecuadorean officials and Chevron have accused each other of gross improprieties, including espionage.
Coalition of Prominent Business Associations Voice Serious Concern Over Continued Deterioration of the Rule of Law in Ecuador
On October 8th, six major U.S. business organizations- Business Roundtable, National Association of Manufacturers (NAM), U.S. Chamber of Commerce, Nation Foreign Trade Council (NFTC), Emergency Committee for American Trade (ECAT) and the U.S. Council for International Business (USCIB) sent a letter to key Congressional offices and the Obama Administration calling for the cancelation of Ecuador’s trade preferences under the Andean Trade Preferences Act (ATPA).
Recent Surge in Lawsuits Filed Against Ecuador Underscores Government Interference, Politically Tainted Judicial System in Chevron Case
A recent article in El Comercio, a major Ecuadorian newspaper, exposes a telling increase in the number of lawsuits filed against the country of Ecuador. These lawsuits are being put forward by foreign companies that have invested millions in the South American nation.
It was not until 2001 that the country of Ecuador was sued for the first time by a foreign company. By 2008, the year after President Rafael Correa took office, a large number of foreign companies began to file lawsuits. Currently, Ecuador is 2nd in the world in terms of pending international arbitration claims against the country; so much so that the cumulative sum of the 11 pending lawsuits would now equal nearly one-half of the country’s budget of approximately $21 billion.
Berlinger Bombs at Box Office with Crude
Don’t believe the hype being spread by Amazon Watch and the Amazon Defense Coalition about Crude. As of October 4th, Crude’s box office ranking has plummeted from its opening “high” of 64 down to 94 and is currently being shown on only 4 screens – down from a whopping 6 nationwide! After four weeks the movie has just grossed $81,257.
Crud
“Crude” ostensibly relates the story around a lawsuit filed by U.S. trial lawyers against Chevron for pollution caused during the operations in Ecuador by Texaco decades ago. (Chevron bought Texaco in 2001.) And “Crude” is a well-made, even compelling movie. Too bad it’s only loosely related to the truth.
Chevron Ecuador case has new judge; Nicolas Zambrano
Ecuador’s lawsuit (which it can now be called officially since Ecuador would get any award money Chevron would have to pay) has a new judge after Judge Juan Nunez officially stepped down in the wake of the alleged video bribery scandal. He is Judge Nicolas Zambrano.
Chevron Ecuador Lawsuit Blog: Amazon Defense Coalition PR Follies
When a credible organization publishes a press release that is later shown to contain inaccurate information, it releases a correction or retraction to inform the public of its error. So what does the Amazon Defense Coalition do when its press releases are proven to contain inaccurate information? Absolutely nothing.
And when the Amazon Defense Coalition’s blog posts articles containing baseless accusations that are later proven false, do they admit their mistake? No, in fact ADC’s blog deletes all comments by readers challenging the organization’s baseless accusations while leaving the original inaccurate blog post on its website. Does this sound like a credible organization to anyone?
Chevron claims denial of justice in investment-treaty claim against Ecuador
The world’s second largest oil company, Chevron Corporation, has served the government of Ecuador with a notice of arbitration for alleged breaches of the United States-Ecuador Bilateral Investment Treaty.
Chevron’s claim relates to a multi-billion dollar lawsuit lodged in an Ecuadorian court, in which Ecuadorian citizens seek compensation for health and environmental harm in connection with oil-drilling in the Amazon.
Ecuador probes Chevron bribe charge
Ecuadorean authorities said on Tuesday they were looking into accusations by Chevron that the judge involved in a $27 billion (16.7 billion pound) environmental lawsuit against the U.S. oil company is guilty of misconduct and involvement in a bribery scheme.
New Ecuadorean judge named to hear Chevron case
A court in the Ecuadorean jungle region where giant U.S. oil producer Chevron Corp (CVX.N) faces a $27 billion environmental damages suit has named a new judge to hear the case, after the previous one quit amid a bribery scandal.
Chevron Swings Back at Ecuador
In essence, by filing the suit, Chevron is requesting arbitration through a procedure established by a United Nations commission specializing in international trade law. That procedure is separate from the core lawsuit, although under the 1997 pact, Ecuador is required to recognize arbitration as binding.
In blow to plaintiffs, judge is replaced in Chevron pollution lawsuit in Ecuador
An Ecuadorean court dealt the plaintiffs a setback Tuesday in a $27 billion environmental contamination lawsuit against Chevron Corp., accepting the presiding judge’s request to be removed from the case.
Judge Juan Evangelista Nunez asked to be recused earlier this month so the government could investigate Chevron’s allegations that he was involved in a bribery scheme.
Pablo Fajardo continues to misrepresent brother’s death, lies about Chevron’s involvement
Whatever the case may be, official police reports, investigations and news reports lack any suggestion that Texaco (Chevron) was involved. Fajardo himself admitted that Chevron had no role in these events. Nonetheless, Fajardo continues to make misleading public statements about his brother’s murder and Chevron’s involvement.
Chevron Asks Court to Remove Ecuador Judge From Pollution Case
Chevron Corp., the second-largest U.S. oil company, asked a court in Ecuador to remove the judge presiding over a $27 billion environmental lawsuit against the company there, saying he is biased.
Echoing allegations it first made Aug. 31 about alleged judicial misconduct, Chevron claimed Judge Juan Nunez was involved in a bribery scheme to steer government contracts and disclosed his intention to rule against the company before the case was completed, according to a document Chevron said it filed yesterday in court in Lago Agrio, Ecuador.
Chevron goes on the attack in Ecuador
Chevron argues that this lawsuit represents an attempt by the Ecuadorian government to avoid the environmental obligations of its state-owned company. After the Texaco contract ended and after a release from further obligations was extended to this company by the Ecuadorian government, the state-owned company, PetroEcuador, continued operations in the area and kept drilling oil wells. In fact, PetroEcuador has now drilled more than 400 wells in the area, more than Texaco ever did and has contributed significantly to environmental damages due to its low quality of operations. Chevron argues that the Ecuadorian judicial system is no longer fair and autonomous and is acting under the influence of the executive power. President Correa, Chevron further argues, has publicly committed to support the plaintiffs. This support, by the way, has been open and is well documented. Other allegations by Chevron are related to the murky activities of the Attorney General office of Ecuador, that has been conspiring with plaintiffs’ lawyers to change the integrity of the contracts signed with Texaco in 1995 and 1998 and with the illegal behavior of the judge, who has been found, in video and tape recordings, to be prejudiced against the company.
Remarks the Amazon Defense Coalition doesn’t want you to Read
On September 18th, the Amazon Defense Coalition blog published an article titled, “More Smoke from Chevron Bloggers.” Bloggers accused of being paid by Chevron in the article, including myself, fought back and by September 24th, the Amazon Defense Coalition blog completely deleted our comments from the article.
Chevron Files International Arbitration Against the Government of Ecuador
“As has been widely recognized, the government of Ecuador has seriously diminished the independence and integrity of its own judiciary. The government is using the legal process in Lago Agrio to avoid the environmental obligations of its state-owned oil company,” said Hewitt Pate, Chevron’s vice president and general counsel. “Because Ecuador’s judicial system is incapable of functioning independently of political influence, Chevron has no choice but to seek relief under the treaty between the United States and Ecuador.”
The current Ecuador lawsuit is an effort to force Chevron to pay for Petroecuador’s own misdeeds. In collusion with trial lawyers suing Chevron, the government of Ecuador has violated its contracts with Texaco Petroleum as well as protections afforded to investors under the United States-Ecuador Bilateral Investment Treaty:
• Ecuador’s President has publicly committed to support the plaintiffs;
• Representatives of the Attorney General’s office have conspired with plaintiffs’ lawyers to undermine the integrity of the 1995 and 1998 contracts;
• Ecuador’s Prosecutor General has manufactured illegitimate criminal indictments against Chevron counsel, and
• The judge presiding over the trial has publicly revealed his bias and pre-judgment of the case in media interviews and recorded meetings with individuals who had been solicited by officials of Ecuador’s ruling political party to pay a bribe in exchange for the award of contracts to be funded with the proceeds of an anticipated verdict against Chevron.
He’s back – Judge Núñez Reinstated to Preside over Chevron/Ecuador Case
In yet another twist in the Chevron case in Ecuador, Judge Juan Núñez has been reinstated as the presiding Judge in the Lago Agrio court.
The U.S. State Department, in its Investment Climate Statement on Ecuador released in February 2009, has found that Ecuador’s “courts are often susceptible to outside pressure and bribes. Neither Congressional oversight nor internal judicial branch mechanisms have shown a consistent capacity to effectively investigate and discipline allegedly corrupt judges.”
Should Judge Núñez continue to preside over the case, it would further validate the State Department’s findings and reinforce that the rule of law in Ecuador has been compromised.
Chevron Ecuador The Amazon Post » Blog Posts
- Conflict of Interest – Cabrera’s Financial Ties to Petroecuador Exposed February 9, 2010
- Lawyers for the Government of Ecuador Engage in Revisionist History – Myth of Jurisdiction Exposed January 21, 2010
- Ecuador Should Stop Interfering With International Arbitration Mandated by Treaty January 20, 2010
- Strange Bedfellows? Government of Ecuador and Amazon Watch Share Same PR firm January 15, 2010
- What’s behind the $27 billion figure? December 17, 2009
Chevron on Trial
- Chevron Caught Misrepresenting Facts about Expert Report in Ecuador Trial February 9, 2010
- Chevron Facing Free Speech Problems In U.S. Over Defense of $27 Billion Ecuador Lawsuit January 26, 2010
- Amazon Tribes Sue Chevron in U.S. Federal Court to Stop Arbitration over $27 Billion Lawsuit January 15, 2010
- Ecuadorean Communities to New Chevron CEO: "We Don't Want to Continue Dying from Cancer" January 13, 2010
- Chevron Finishing Brutal Year On Ecuador Issue December 30, 2009
