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Group Flays Shell On $1.5bn Compensation

AllAfrica.com: Group Flays Shell On $1.5bn Compensation

“This stance of Shell is not surprising. They never accept liability until they are truly boxed into a corner”: “As long as there is room for argument, they will kick, scream and resist any form of settlement”.

This Day (Lagos)

Andrew Ahiante And Chinazor Megbolu

Posted 3 September 04

Environmental Rights Action/Friends of the Earth, Nigeria (ERA/FOEN) has condemmed Shell’s stance on the directive from the Senate to pay a $1.5 billion compensation to the the Ijaw Aborigene in Bayelsa State for gross environmental and social abuses committed since 1956 when the company began operation in the area, even as SHELL denied plans to sue the Senate.

ERA in a press statement signed by its Head of Lagos office, Mr. Doifie Ola has described Shell’s position that the directive from the Senate did not follow due process and is illegal “as yet another proof of the disrespect which the oil corporation holds Nigeria’s institutions of democracy, governance and the people”.

“This stance of Shell is not surprising. They never accept liability until they are truly boxed into a corner”, Ola quoted the ERA Executive Director, Nnimmo Bassey as saying. “As long as there is room for argument, they will kick, scream and resist any form of settlement”.

However, Shell Petroleum Development Company (SPDC) Tuesday denied reports that it planned to institute legal action against the Senate over a recent resolution by the upper chamber directing the oil firm to pay $1.5 billion compensation to Ijaw Aborigines over oil spillage.

Media reports (not THISDAY) had alleged that SPDC might take the National Assembly to court if the Senate forced it to pay the $1.5 billion compensation to Ijaw communities for alleged environmental degradation.

In a press statement signed by SPDC’s Corporate External Relations Manager, Mr. Don Boham, the company said, “the allegation is both misleading and false.”

http://allafrica.com/stories/200409020725.html

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