Complaint details apparent breaches of ethical duties to the citizens
of the State of New York
SAN RAMON, Calif.--(BUSINESS WIRE)--Nov. 20, 2012--
Chevron Corp. (NYSE: CVX) filed a complaint
before the New York State Joint Commission on Public Ethics today,
seeking an investigation of New York State Comptroller Thomas DiNapoli
as well as current and past members of his staff for multiple violations
of New York Public Officers Law.
Chevron’s complaint relates to ongoing litigation in Ecuador and
demonstrates how Comptroller DiNapoli, who oversees the New York State
Common Retirement Fund, which, according to SEC filings, owns more than
$800 million of Chevron stock, apparently breached his ethical and
fiduciary duties. Under New York Public
Officers Law, public officials are prohibited from having “any
interest, financial or otherwise…which is in substantial conflict with
the proper discharge of his duties in the public interest.” Evidence
shows that Comptroller DiNapoli used his office to support the
Ecuadorian plaintiffs’ lawyers’ scheme to pressure Chevron into settling
the lawsuit in exchange for benefits received from the plaintiffs’
representatives.
The plaintiffs’ supporters, amongst other things, have made direct
financial contributions to DiNapoli’s campaign in excess of $60,000
and have given him other political benefits. In an apparent quid pro
quo exchange, DiNapoli has given his unwavering support and used his
public office to take actions on behalf of the plaintiffs, such as
sponsoring shareholder resolutions and making public statements against
Chevron that were explicitly intended to pressure the company to settle
the fraudulent lawsuit.
“The Comptroller’s continued advocacy has come despite repeated findings
by U.S. federal courts that the Ecuador litigation is tainted by fraud,”
said Hewitt Pate, Chevron vice president and general counsel. “Mr.
DiNapoli’s actions serve only his political patrons, not the citizens of
the State of New York or the beneficiaries of the Common Retirement
Fund. This type of quid pro quo behavior is an apparent breach of
ethical and legal responsibilities that warrants investigation.”
Comptroller DiNapoli took office in 2007 after his predecessor, Alan
Hevesi, left office under allegations of misconduct, including a
pay-for-play scandal that ultimately resulted in prison time.
Note to Editors:
Chevron is defending itself against false allegations that it is
responsible for alleged environmental and social harms in the Oriente
region of Ecuador. Chevron never conducted oil production operations in
Ecuador, and its subsidiary Texaco Petroleum Co. (“TexPet”) fully
remediated its share of environmental impacts arising from oil
production operations, before leaving Ecuador in 1992. After the
remediation was certified by all agencies of the Ecuadorian government
responsible for oversight, TexPet received a complete release from
Ecuador's national, provincial, and municipal governments that
extinguished all claims before Chevron acquired TexPet in 2001. All
legitimate scientific evidence exonerates Chevron and proves that the
remediated sites pose no significant risks to human health or the
environment.
More information on the plaintiffs' lawyers' fraud can be found here.
Additional background on the Ecuador litigation can be accessed here
and here.
Chevron is one of the world’s leading integrated energy companies, with
subsidiaries that conduct business worldwide. The company is involved in
virtually every facet of the energy industry. Chevron explores for,
produces and transports crude oil and natural gas; refines, markets and
distributes transportation fuels and lubricants; manufactures and sells
petrochemical products; generates power and produces geothermal energy;
provides energy efficiency solutions; and develops the energy resources
of the future, including biofuels. Chevron is based in San Ramon, Calif.
More information about Chevron is available at www.chevron.com.
Source: Chevron Corporation
Chevron Corp.
Kent Robertson, 925-790-3819
