Quantcast

Exxon Fined $2M for 'Reckless Disregard' of Sanctions During Tillerson Era

Popular
Greenpeace / PolluterWatch

By Jessica Corbett

"It's time Rex Tillerson step down or be removed," said Gigi Kellett of Corporate Accountability International, following an announcement on Thursday that ExxonMobil will pay $2 million for violating U.S. sanctions against Russian officials while the now-secretary of state was the company's CEO.

"ExxonMobil demonstrated reckless disregard for U.S. sanction requirements," according to enforcement filing released by the Treasury Department's Office of Foreign Assets Control (OFAC), which issued the penalty. Though the fine is reportedly the maximum penalty allowed, it's pittance to one of the world's most profitable and powerful corporations, which last year reported a profit of $7.8 billion.


"This is nothing more than a parking ticket," Kellett said.

OFAC said ExxonMobil violated sanctions against Russian officials in May 2014, by "signing eight legal documents related to oil and gas projects in Russia with Igor Sechin, the President of Rosneft," Russia's state-owned oil company. The sanctions were established two months earlier by then-President Barack Obama, in response to the Russian government's actions in Ukraine.

In a statement Thursday, ExxonMobil claimed it "followed the clear guidance from the White House and Treasury Department when its representatives signed the documents," and that "OFAC is trying to retroactively enforce a new interpretation" of the sanctions, adding, "OFAC's action is fundamentally unfair."

The OFAC filing, however, says the company's "senior-most executives knew" the sanctions barred them from signing deals with Sechin, calling ExxonMobil "a sophisticated and experienced oil and gas company" that routinely navigates U.S. sanctions and export rules. Tillerson stepped down as CEO of ExxonMobil in December 2016 to lead the Trump administration's State Department. After the department refused reporters' requests for comment on Thursday, Foreign Policy's Robbie Gramer took to Twitter:

In addition to calling for Tillerson's resignation, Kellett said: "At every level, ExxonMobil and the rest of the fossil fuel industry must be held accountable for their abuses. That may start with this $2 million fine, but it will end when all Big Polluters are held liable for their abuses and cast out of policymaking for good."

Celebrating Thursday's small victory against the world's largest oil company, Greenpeace USA Climate Director Kelly Mitchell said, "Even with Rex Tillerson leading the State Department, people in this country can hold powerful corporations accountable and must continue to do so."

"This move should embolden United States attorneys general in their investigations into what ExxonMobil and Rex Tillerson knew about the risks of climate change and the company's potential withholding of that information from the public and shareholders," Mitchell added.

The attorneys general of New York and Massachusetts have launched probes to investigate reported that the company, for decades, misled its investors and the public about the dangers of climate change. The allegations have also lead to calls for Tillerson to resign from his position as head of the U.S. State Department.

Reposted with permission from our media associate Common Dreams.

EcoWatch Daily Newsletter

We need our government to do everything it can to stop PFAS contamination and exposure from wreaking havoc in communities across the country. LuAnn Hun / Unsplash

By Genna Reed

The EPA announced last week that it is issuing a preliminary regulatory determination for public comment to set an enforceable drinking water standard to two of the most common and well-studied PFAS, PFOA and PFOS.

This decision is based on three criteria:

  1. PFOA and PFOS have an adverse effect on public health
  2. PFOA and PFOS occur in drinking water often enough and at levels of public health concern;
  3. regulation of PFOA and PFOS is a meaningful opportunity for reducing the health risk to those served by public water systems.
Read More
Charging EVs in Stockholm: But where does a dead battery go? Ranjithsiji / Wikimedia Commons

By Kieran Cooke

Driving an electric-powered vehicle (EV) rather than one reliant on fossil fuels is a key way to tackle climate change and improve air quality — but it does leave the old batteries behind as a nasty residue.

Read More
Sponsored
U.S. Secretary of the Treasure Steven Mnuchin arrives for a welcome dinner at the Murabba Palace in Riyadh, Saudi Arabia on Feb. 22, 2020 during the G20 finance ministers and central bank governors meeting. FAYEZ NURELDINE / AFP via Getty Images

Finance ministers from the 20 largest economies agreed to add a scant mention of the climate crisis in its final communiqué in Riyadh, Saudi Arabia on Sunday, but they stopped short of calling it a major economic risk, as Reuters reported. It was the first time the G20 has mentioned the climate crisis in its final communiqué since Donald Trump became president in 2017.

Read More
Aerial view of Parque da Cachoeira, which suffered the January 2019 dam collapse, in Brumadinho, state of Minas Gerais, Brazil — one of the country's worst industrial accidents that left 270 people dead. Millions of tons of toxic mining waste engulfed houses, farms and waterways, devastating the mineral-rich region. DOUGLAS MAGNO / AFP / Getty Images

By Christopher Sergeant, Julian D. Olden

Scars from large mining operations are permanently etched across the landscapes of the world. The environmental damage and human health hazards that these activities create may be both severe and irreversible.

Read More
Participants of the climate demonstration Fridays for Future walk through Hamburg, Germany on Feb. 21, 2020. Axel Heimken / picture alliance via Getty Images

By Andrea Germanos

U.S.-based youth climate activists on Friday drew attention to the climate protest in Hamburg, Germany, where organizers said roughly 60,000 people took part, and hoped that Americans took inspiration from their European counterparts.

Read More