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Wednesday, December 24, 2008

ExxonMobil ordered to pay $6.1 million for 2006 oil spill

— A criminal information was filed today in federal court charging a wholly owned subsidiary of ExxonMobil Corporation with violating the criminal provisions of the Clean Water Act in connection with a spill of approximately 15,000 gallons of diesel oil into the Mystic River from ExxonMobil’s oil terminal in Everett, Mass.

No wonder prices were going through the roof that summer

Photo not provided by ExxonMobil

No wonder prices were going through the roof that summer

United States Attorney Michael J. Sullivan announced today that ExxonMobil Pipeline Company has been charged with a criminal violation of the Clean Water Act in connection with the January 2006 spill and has signed a plea agreement in which it will pay a total monetary payment of more than $6.1 million and agree to have the Everett terminal monitored by court appointed observer. The plea agreement is subject to court approval.

According to the charge, at approximately 4:30 A.M. on Jan. 9, 2006, total of approximately 2,500 gallons of kerosene and 12,700 gallons of LSD poured into the Mystic River, causing a visible blue-green sheen on the river that eventually spread up the Island End River and down to Boston Harbor, and prompting several reports to the Coast Guard. ExxonMobil personnel did not discover the ruptured coupling and the full containment pan on Berth 1 until approximately 11:00 A.M. on January 11, when the Coast Guard arrived at the facility to ask questions about the origin of the sheen.

As part of its plea agreement, ExxonMobil has agreed to pay the maximum possible fine of $359,018 (twice the cost of the clean up), the clean up costs of $179,634, and a community service payment of $5,640,982 to the North American Wetlands Conservation Act fund to be used to restore wetlands in Massachusetts.

Source: U.S. Department of Justice



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snowboard9, says:

Ouch. That costs them 56.48 minutes in profits.

http://tinyurl.com/9gngww

Anonymous

11 months, 2 weeks ago
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alexander troup, says:

That is cheap after sucking from the land with straws to fillup cars, such Fossil juice.....this is the era, great Historian's cant comment much on, but the News headline will..A/T, Out of juice.

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11 months, 2 weeks ago
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Scott Doyle, says:

snowboard, I calc it to be just over 64 mins in profits for 1st three quarters of 2008.

Regardless, just dastardly! Wonder if they offered any aid before the suit?

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11 months, 2 weeks ago
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Scott Doyle, says:

Oh, and pic makes me lol considering I just filled up at $1.48/gallon and smiled since it was less than $20. =p

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11 months, 2 weeks ago
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snowboard9, says:

Scott - pretty close. I was using 3Q08 profits as the basis. I wonder if their penalty is tax deductible? Never mind, I don't want to know!

Anonymous

11 months, 2 weeks ago
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Scott Doyle, says:

I don't believe most legal fees are deductible for individuals, and I hope same would apply for corps.

Although, there's no doubt it's an expense that reduces profit...which is (under)taxed. Remind me to stab the next oil-man I see.

So, when's the next PN event?

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11 months, 2 weeks ago
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Clay213, says:

I'm sure they will just add it to their tab

Anonymous

11 months, 2 weeks ago
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What do you think?

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