The ongoing battle between oil giant Chevron and the Ecuadorian government just got a whole lot messier.On Tuesday an arbitration board ruled that Ecuador violated international law against Chevron. The tribunal located in The Hague concluded that the South American country “illegally delayed” commercial rulings between officials and Chevron-owned subsidiary Texaco. Though the oil company had sought a payment of $1.6 billion, the board ruled that Ecuador would instead have to pay $700 million.
Ecuadorian authorities said that they would appeal the ruling; the country’s Attorney General accused Chevron of employing “a well orchestrated strategy” designed to distract from the multibillion-dollar environmental damage suit. As Shelia McNulty wrote on the Financial Times website, however, the decision was a “major win” for Chevron:
The commercial arbitration is separate from - and secondary to - the arbitration Chevron has sought to resolve a $27bn claim by indigenous people who charge that Texaco (which Chevron bought in 2001) left an environmental disaster in its wake when it withdrew from the country. But it appears to support Chevron’s underlying claim, which is that the company is being unfairly treated by the court system generally…Chevron and Ecuador have pulled all the stops in the ugly environmental case between them; last September the oil firm accused the then-presiding judge of bribery while Chevron was accused of using dirty tricks as part of their public relations offensive.
Indeed, the $700m is unlikely to ever be paid. But for Chevron, the win is being able to feed off the symbolism.
Image- Huffington Post
Online Sources- Reuters, FT.com, BusinessWeek, UPI, The Latin Americanist,
2 comments:
Something like this look easy in terms of "this is the end of a long long intrigue history" But not. This reflects a parasite politic management. The weak that a development country could be in hands of transnationals and that money for a few counts less that good living of 12 million people. Let's face that development countries in latin america, does not have enough economical power to fight over transnationals like Chevron.
There are indigenous claiming for environmental damage, and stating that USD 27 billion is the amount. First question, do they really know how precisely means 27 billion? Second. In current arbitration as a result of international decision, are they (the judges) clear of what is the meaning of 700 million for the entire population who lives in Ecuador. I think from both sides, it`s time to become humans, it´s time to think about life. I bet that no one will use their hundreds of USD millions in grave as in other side, living with less than one dollar a day and facing a stupid debt of 58 dollars (by now) is unfair.
Dreaming of a civilized and really humanitarian solution is a paradox.
Kai.
Thank you Kai on behalf of my ancestors for your compassion.
I am part-Ecuadorian. My father was made an orphan during the Texaco construction and adopted by a contractor from the USA from California.
The issue is the Ecuadorian Chernobyl that was caused by Chevron.
It scares me that Chevron's PR company spends 40% of it's marketing budget on social forum media aka twitter, youtube, facebook, chatrooms, blog sites.
Has anybody else seen the documentary "CRUDE"? It is the tale how Texaco (now owned by Chevron) has created an environmental apocalypse. Chevron (Texaco) is responsible for an oil spill the size of which puts the Exxon Valdez to shame and refuses to accept any responsibility, employing a legal strategy based on delay until everyone is dead.
After seeing "Crude", visiting the non-profit site "Amazon Watch", viewing the 60 Minutes piece, and reading the voluminous documentation at the Chevron Toxico site, I wonder if anyone
else feels a spark to action like I do.
http://www.youtube.com/watch?v=kmpFrtXVHOc
http://en.wikipedia.org/wiki/Pablo_Fajardo
http://www.washingtonpost.com/wp-dyn/content/article/2009/04/27/AR2009042703717.html
http://articles.latimes.com/2009/aug/29/opinion/ed-chevron29
http://chevrontoxico.com/
http://www.chevroninecuador.com/2009/12/east-bay-express-article-case-against.html
http://www.goldmanprize.org/2008/centralsouthamerica
http://www.pddnet.com/blog-amazon-chernobyl-060909/
http://www.vanityfair.com/politics/features/2007/05/texaco200705
Chevron spends untold amount of money denying their responsibility and blaming everyone but failing to look into a mirror. I know that expecting Chevron to put the interests of the world and be good corporate citizens at the cost of pennies to their stock price is too much to hope for. But, even though it may be like rolling a heavy rock uphill, I believe that it is a fight worth fighting.
Will my post remain here or will I be it be down down by Chevron? Local newspapers stand by and see.
God bless the truth finding it's way through Chevron's PR. And bless people like Kai who have hearts. Mine is broken for ay ancestors. +++++++++Peace
mary grass roots B
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