By Emma Reynolds
Last updated at 9:04 AM on 29th December 2011
BP employees could be charged with attempting a cover-up over the Deepwater Horizon oil spill, it emerged today. Several Houston-based engineers and at least one supervisor may have provided false information to regulators about the risks associated with the drilling, according to sources. The staff members could be charged early next year over the April 2010 disaster, Fox News reported.
Investigation: BP’s staff could be charged individually, with the firm already facing up to $36.6million in fines and potential criminal charges as a company. Eleven workers were killed and four million barrels of oil were dumped into the Gulf of Mexico during the environmental catastrophe. If the BP employees are convicted, they could face up to five years in prison and a fine.
The U.S. Department of Justice may decide not to bring charges, however. It is not unusual for prosecutors to threaten charges to pressure people into cooperating in investigations, according to the news channel. BP itself is expected to face broader criminal charges, including violations of the federal Clean Water Act. There are also said to be questions over the accuracy of BP’s drilling permit applications. The company is already appealing against what could amount to $36.6million in administrative fines by U.S. regulators for safety violations.
Disaster: BP engineers may have tried to hide information from authorities in a cover-up
BP spokesman Daren Beaudo declined to comment on the potential for charges against employees or the company. The company has said it believed the accident was caused by a combination of events that involved multiple parties, not just BP.
A Justice Department spokeswoman declined to comment.
The accident has been under investigation by a federal task force in New Orleans for the past 18 months. Prosecutors have reviewed thousands of documents and conducted dozens of interviews, bringing some people before a grand jury, sources close to the investigation told Fox. The investigation recently looked into a key safety measure in deep-water drilling – the difference between the minimum amount of pressure that must be exerted in a well’s bore by drillers to keep the well from blowing out, and how much pressure would break apart the rock formation containing oil and gas. The narrower the margin between those two points, the more difficult a well is to control.
Federal regulations do not define what margin qualifies as safe, but companies are supposed to identify the margin in their applications for permits to drill. When a company cannot maintain that safety margin, it is supposed to suspend drilling and remedy the problem. Prosecutors have apparently asked whether information gathered during drilling – which helped determine the safety margin in the Deepwater Horizon situation – was properly reflected in amended drilling permit applications that had to be submitted to federal regulators.
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http://www.npr.org/blogs/thetwo-way/2011/12/29/144421391/report-criminal-charges-being-prepared-against-bp-for-gulf-oil-spill
NPR: Criminal Charges Possible Against BP Engineers For Gulf Oil Spill
07:40 am December 29, 2011
by MARK MEMMOTT
The Deepwater Horizon oil rig burned on April 21, 2010.
“U.S. prosecutors are preparing what would be the first criminal charges against BP PLC employees stemming from the 2010 Deepwater Horizon accident, which killed 11 workers and caused the worst offshore oil spill in U.S. history,” The Wall Street Journal reports this morning, citing “people familiar with the matter.”
[9:45 a.m. ET: See update below from NPR’s Carrie Johnson, who reports no decision has been made on whether to go ahead with charges.]
According to the Journal, the prosecutors are focusing on evidence that some BP engineers and supervisors may have given regulators false information about the risks associated with the drilling.
The Journal (longer excerpt posted here, by Fox News; both news outlets are owned by News Corp.) says that “a Justice Department spokesman declined to comment.” That version of the Journal report also notes that “Justice still could decide not to bring charges against the individuals, people familiar with the situation said. It’s not unusual for prosecutors to use the threat of charges to pressure people to cooperate in investigations.”
Bloomberg Businessweek says that “Scott Dean, a spokesman for BP in Chicago, and David Nicholas, a London-based spokesman for the company, declined to comment on the report.” It adds that:
“BP faces at least 350 lawsuits by thousands of coastal property owners and businesses claiming damages from the more than 4.1 million barrels of oil that gushed from its well off the Louisiana coast.”
As we’ve reported, all the companies involved in the spill have been trading accusations about which was most responsible.
Update at 9:45 a.m ET. “No Final Decisions About Charges Have Been Made”:
NPR’s Carrie Johnson reports that sources familiar with what’s happening say no final decisions about charges have been made. As she tells the NPR Newscast Desk:
“The Justice Department task force that has been investigating the spill is starting to wrap up its work. And while prosecutors are looking into criminal charges against engineers at BP who may have under-estimated the dangers of drilling in the Gulf of Mexico, they haven’t yet decided whether to prosecute. Even if they do go ahead, defense attorneys for the engineers will have the option of appealing to higher ups at Justice.
“An attorney for one of the engineers said a decision to prosecute would be the beginning of the legal process, not the end.
“Meanwhile, the head of the task force, longtime Brooklyn prosecutor John Buretta, has stepped up his meetings with supervisors at Justice in Washington in recent weeks. Observers expect some decisions about criminal charges to come before a civil trial over liability for the spill begins in February.”
Now that we’ve added Carrie’s reporting, we’ve also tweaked the headline on this post. It originally read: “Report: Criminal Charges Being Prepared Against BP For Gulf Oil Spill.”
Special thanks to Richard Charter