Written by Leslie Taylor
Patrick Juneau, court-appointed administrator of the BP Deepwater Horizon oil spill claims settlement program, came out swinging in a response to BP allegations that his payment program is rife with fraud, charging the company with making "spurious allegations of breaches of duty" and "broad, unfounded criticisms of the program's internal controls and fraud detection processes."
Juneau was responding to an Aug. 5 BP motion asking U.S. District Judge Carl Barbier to suspend payments in the claims program -- which has averaged payouts of $100 million a week -- until an independent investigation of fraud allegations involving the program by former FBI Director Louis Freeh is completed. That investigation is still underway.
BP has repeatedly raised allegations of improper payment of claims during the past few months. It filed an earlier request for Barbier to suspend the payments, which the judge rejected when BP could provide no evidence of improper payments.
The company also has asked the U.S. 5th Circuit Court of Appeals to overturn an earlier Barbier ruling upholding the way Juneau is approving large business claims, contending that the method is allowing many firms, including trial lawyers, to receive multimillion-dollar settlements without proof of actual damage from the 2010 Deepwater Horizon blowout or the ensuing three-month oil spill.
The company has increased its estimates of the cost of the settlement from $7.8 billion to at least $9.6 billion, and said it could go higher if Barbier's ruling is upheld. The company says it's already spent $42 billion in associated Deepwater Horizon costs, and has paid out or committed all but about $300 million of a $20 billion trust fund it had set up for court-related damages immediately after the accident.
But in their filing, Juneau's attorneys insist that BP has gone too far in its allegations that the claims payment program is improperly run. "Ultimately, BP asks the court to safeguard it from imagined harm at the expense of the settlement claimants without submitting any evidence that it has paid or will have to pay any improper claims as a result of the issues raised in its renewed motion," said the response filing.
Read the full story at Times-Picayune>>
National Fisherman Live: 3/10/15
In this episode, Online Editor Leslie Taylor talks with Mike McLouglin, vice president of Dunlop Industrial and Protective Footwear.
National Fisherman Live: 2/24/15
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Oregon LNG project could disrupt fishing
NOAA tweaks gear marking requirement
N.C. launches first commercial/recreational dock
Spiny lobster traps limits not well received
Alaska Gov. Bill Walker is required by state statute to appoint someone to the Board of Fisheries by today, Tuesday, May 19. However, his efforts to fill the seat have gone unfulfilled since he took office in January. The seven-member board serves as an in-state fishery management council for fisheries in state waters.
The resignation of Walker’s director of Boards and Commissions, Karen Gillis, fanned the flames of controversy late last week.
Keith Decker, president and COO of High Liner Foods, will take over for the outgoing CEO, Harry Demone, who will assume the role as chairman of the board of directors. The Lunenburg, Nova Scotia-based seafood supplier boasts sales in excess of $310 million (American) for the first quarter of the year.Read more...