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Shell Guilty of Fraud to Pay $50 million in Punitive Damages

In 2006, a Los Angeles Superior Court jury found Shell guilty of intentional fraud and concealment, awarding Atallah $1.65 million in compensatory damages, Gwire said, who added that the jury also found that Shell had acted with “oppression, malice or fraud”, clearing the way for the jury to award punitive damages.

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Another housing estate poisoned by a Shell legacy of toxic contamination

Since the contamination was discovered almost four months ago, most of the 275 homeowners in the Carousel tract have signed on to a lawsuit against Shell Oil. The Carousel development is north of Lomita Boulevard, between Marbella and Panama avenues.

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Shell Must Pay $19.5 million judgment for Environmental Violations at California Stations

OAKLAND, Calif. — After finding “hundreds of environmental violations” at Shell gas stations statewide, California attorney general Edmund G. Brown Jr. said that his office has secured a $19.5 million judgment against the oil company and its affiliates, which will ensure compliance with the state’s hazardous waste and underground fuel storage laws.

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Calif AG: Wins $19.5 Million Court Judgment Vs Shell Gas Stations

THE WALL STREET JOURNAL

By Cassandra Sweet, Of DOW JONES NEWSWIRES

Nov 6, 2009

SAN FRANCISCO -(Dow Jones)- A California court has ordered gasoline stations owned by units of Royal Dutch Shell PLC (RDSA, RDSB, RDSB.LN) to pay California agencies $19.5 million for violating the state’s hazardous waste and underground fuel storage laws, the state attorney general said Friday.

The ruling adopts a settlement reached in September between Attorney General Jerry Brown and Shell Oil Products Co. LLC, Equillon Enterprises LLC, and TMR Co., formerly Texaco Refining & Marketing Inc.

“Shell Oil Co. disregarded the state’s underground fuel storage and hazardous waste laws, committing hundreds of environmental violations at its gasoline stations across California,” Brown said in a statement. “This judgment requires the company to pay $19.5 million in penalties, comply with state law and improve its spill monitoring, employee training and hazardous waste management.”

The attorney general’s office launched an investigation three years ago of more than 1,000 Shell gasoline stations, after San Diego and Riverside County district attorneys settled cases with the company over alleged violations of underground fuel storage regulations, Brown said.

In the lawsuit, Brown accused the Shell gasoline stations of failing to maintain required health and safety permits at their California service stations, tampering with or disabling leak detection devices or alarms, failing to keep an up-to-date chemical inventory, failing to store incompatible hazardous materials separately, and not properly labeling hazardous waste containers, among other alleged violations of state regulations.

The regulations are intended to prevent spills of hazardous materials.

The judgment, by the state Superior Court in Alameda, adopts a settlement reached by Brown, Equillon, Shell and TMR Co.

-By Cassandra Sweet, Dow Jones Newswires; 415-439-6468; cassandra.sweet@ dowjones.com

(END) Dow Jones Newswires
11-06-091506ET

SOURCE ARTICLE

Shell to pay $19.5 mln for California violations

Reuters

* California AG investigated 1,000 Shell gasoline stations

* Shell failed to maintain gasoline tanks properly -AG

* Shell admits no liability, pleased to reach settlement

OAKLAND, Calif., Nov 6 (Reuters) – California was awarded $19.5 million in a settlement against Royal Dutch Shell Plc’s (RDSa.L) U.S. unit for not storing fuel properly at filling stations in the state, Attorney General Jerry Brown said on Friday.

“Shell Oil company disregarded the state’s underground fuel storage and hazardous waste laws, committing hundreds of environmental violations at its gasoline stations across California,” Brown said in a statement.

The attorney general’s office, along with the California State Water Resources Control Board, investigated more than 1,000 Shell stations.

In 2007, an inspector in Martinez, California, found that a Shell station next door to the Contra Costa County Hazardous Materials Program’s office failed to properly maintain the required leak detection monitoring system for its gasoline tanks, the attorney general’s statement said.

Apart from paying $19.5 million in penalties to government agencies and legal costs, Shell must take a series of steps to improve spill and alarm monitoring and hazardous waste management at its stations, according to the judgment signed in Alameda County Superior Court in Oakland.

“While admitting no liability, Shell is pleased to reach this settlement and has been working cooperatively with the State of California since 2006 to resolve this matter,” Shell said in an emailed statement.

The company said it had made great strides to improve its underground storage tanks, and that many of the measures outlined in the settlement had already been implemented.

(Reporting by Braden Reddall; Editing by Bernard Orr)

© Thomson Reuters 2009 All rights reserved

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Shell Oil paying millions for tank violations

Los Angeles Times

November 6, 2009

Shell Oil Co. will pay $19.5 million in civil penalties and fees to settle a state complaint involving hundreds of environmental violations at its California gas stations.

A state investigation found problems with leak detection and monitoring of underground storage tanks, as well as hazardous waste handling at Shell gas stations across the state, according to the attorney general’s office. One of the gas stations was next door to the office of the Contra Costa County hazardous materials program.

An Alameda County Superior Court order released today also requires the company to improve its spill and alarm monitoring.

Leaking underground tanks can be a significant source of pollution, contaminating groundwater supplies.

–Bettina Boxall

Photo: A Shell station in Northern California. Credit: Los Angeles Times / Bob Chamberlin

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Shell slammed for breaching environmental legislation

Written by Lauren Steadman

Petrochemical company Shell has been cited for violating environmental legislation for a second time in less than a year.

The US Environmental Protection Agency (EPA) has issued both a complaint – in which it proposed a penalty of $153,057 (£93,795) – and a compliance order against Shell Chemical Yabucoa in Puerto Rico for disregarding the federal Clean Water Act.

Acting regional administrator George Pavlou said that the EPA will continue to hold to account anyone who violates the laws that protect the island’s waters.

“Water is central to the health of Puerto Rico’s economy and its people and Shell’s violation of the Clean Water Act is unacceptable,” he said.

The complaint alleges that Shell broke the Clean Water Act by inappropriately maintaining its deep ocean outfall equipment and discharging illegal pollutants, while the compliance order requires the company – which employs 102,000 people in more than 100 countries and territories – to rectify its actions.

SOURCE ARTICLE (From International Environmental Technology)

Corruption: Landmark cases flounder as crime team is purged

For its part, the EFCC said it was probing payments made by the oil companies Chevron and Royal Dutch Shell to MER Engineering, a company owned by Mr Ibori, purportedly for hiring houseboats to oil industry workers. Chevron said it believed it had complied with anti-corruption laws, while Shell said MER was on its list of contractors but declined to say what work the company had done.

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Shell fined record sum for fire safety breaches

LONDON FIRE BRIGADE

02 June 2009

Shell International Ltd. was fined £300,000 and ordered to pay £45,000 in costs after pleading guilty to serious breaches of the Regulatory Reform (Fire Safety) Order 2005 (the “RRO”).  This fine is the largest imposed under the RRO.

The London Fire Brigade prosecuted Shell following two small fires in the space of three weeks at the Shell Centre on York Road, SE1 7NA. These fires resulted in an inspection being carried out on 12 January 2007. The Inspecting Officers found extensive breaches including blocked escape routes and fire exits, defective fire doors and excessive fire loading. The fire loading in the Shell Tower had been dramatically increased because of refurbishments taking place in the upper floors.

The deficiencies were so severe the London Fire Brigade served a prohibition notice on Shell which restricted the use of the Shell Tower and basement levels. Under the prohibition notice, only people working to remedy the fire safety deficiencies were allowed to enter those parts of the building. All employees and members of the public were prevented access until the affected areas were considered to be safe enough to occupy. A further inspection was carried out on 15 January 2007 – all the fire safety failings were remedied and the prohibition notice was lifted.

It was also discovered that Shell’s own fire risk assessment had not been reviewed or updated since March 2003. The 2003 fire risk assessment had identified  some of the same failings that were observed during the 2007 inspection. For around 3 and a half  years, the condition of the general fire precautions within the Tower deteriorated with the matters identified by the 2003 fire risk assessment getting worse. On average a new risk assessment should be updated every year.

Assistant Commissioner Steve Turek said; “Shell failed to respond properly to their risk assessment for three and a half years and had it not been for the fires which led to the inspection, it could have been considerably longer. Had Shell acted upon the findings of the 2003 risk assessment at the time, they would have avoided putting their staff at risk.”

London Fire Commissioner Ron Dobson said; “This conviction shows that major companies are not exempt from prosecution and must take their responsibilities under the RRO seriously. The London Fire Brigade continues to work with companies to make sure they comply with the order. Failure to do so can, as this case has shown, result in a substantial fine.”

Sentencing of Shell International Limited took place at Inner London Crown Court on 2 June 2009 after they pleaded guilty to three breaches of the RRO.

London Fire Brigade Article

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Corporate Reputation: Royal Dutch Shell Plc

BOOK TITLE: CORPORATE REPUTATION (12 Steps to Safeguarding and Recovering Reputation) 

AUTHOR: DR LESLIE GAINES-ROSS (Chief Reputation Strategist, Weber Shandwick)

Chapter: REPUTATION LOSS

EXTRACTS FROM Pages 19 & 20

Although not all deserve labels such as reputation bandits and Robin Hoods, these groups all have the potential to undermine reputations and plant doubt in customers’ and other audiences’ minds as to a company’s integrity, purpose and practices, and quality of products and services.

One such empowered activist is arch Shell critic Alfred Donovan. No one was more surprised than Royal Dutch Shell PLC to learn that this 88-year-old British army veteran had purchased the Internet domain name www.royaldutchshellplc.com . The gadfly Donovan was a well-known, though underestimated, critic of the company. By acquiring the domain name, Donovan obtained the perfect platform to voice his criticisms of the oil giant. Who would have thought a decade ago that such an unlikely individual could stand up to a corporate powerhouse, waging a war of words against one of the world’s largest companies?

Michael Moore, another example of an individual activist, exemplifies the new twenty-first-century microinfluencer. Moore rode to fame by taking on major organizations such as General Motors (Roger & Me), the gun lobby (Bowling for Columbine), and the health care industry (SiCKO).

ISBN-13: 9780470171509
ISBN-10: 0470171502
Publisher: John Wiley & Sons
Date: January 2008
Page Count: 183