Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Sioux Nation -- Ignore unavailable to you. Want to Upgrade?

To: Wharf Rat who wrote (181725)	12/4/2009 6:37:40 PM
From: stockman_scott	Respond to of 362052

Ecuador Sues Chevron in U.S. to Block Arbitration (Update3) By David Glovin Dec. 4 (Bloomberg) -- The Republic of Ecuador asked a U.S. judge to block Chevron Corp. from pursuing arbitration in a $27 billion environmental lawsuit against the oil producer. Lawyers for Ecuador made the request in a lawsuit filed yesterday in federal court in Manhattan. The environmental suit, initially filed in New York in 1993, was later transferred to Ecuador. Secret recordings made by a Chevron contractor and an American businessman in May and June led Chevron to claim that the Ecuadorean judge overseeing the case was involved in a bribery scheme and planned to rule against the company. Chevron, based in San Ramon, California, on Sept. 23 filed an international arbitration claim against the South American country’s government. Ecuador is seeking to block the claim with yesterday’s lawsuit, saying Chevron has tried to move the case to arbitration since getting it transferred to Ecuador in 2003. The arbitration bid “is now Chevron’s fifth bite at the same apple,” according to the complaint. “This court should not tolerate such tactics.” Amazon Basin residents claim in their lawsuit that Chevron, the second-largest U.S. oil company, is responsible for toxic waste from oil drilling in the jungle from 1964 to 1990, or later. The plaintiffs claim the pollution was left by Texaco Inc., which Chevron acquired in 2001. The case is now being handled by a court in Lago Agrio, a town 20 miles (32 kilometers) south of the Colombia border and near the former Texaco oil fields. PetroEcuador “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,” Chevron said today 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.” Chevron has said that Texaco cleaned up its share of any lingering spills in exchange for a release from future liability before state-owned PetroEcuador took control of the operations almost two decades ago. Chevron said in a Sept. 23 statement that it wants to enforce prior settlement and release agreements the company said Ecuador made with Texaco. Chevron was unchanged at $77.96 at 12:24 p.m. in New York Stock Exchange composite trading. The shares have gained 1.9 percent this year. The new case is Republic of Ecuador v. Chevron, 09-cv-9958, U.S. District Court, Southern District of New York (Manhattan) To contact the reporter on this story: David Glovin in U.S. District Court in Manhattan at dglovin@bloomberg.net. Last Updated: December 4, 2009 12:32 EST