Townhall.com, Where Your Opinion Counts
Talk Radio:   Bill Bennett   Mike Gallagher   Dennis Prager   Michael Medved   Hugh Hewitt   
BREAKING NEWS  LeftArrow - Townhall.com : Conservative, Political, Republican   RightArrow - Townhall.com : Conservative, Political, Republican  
Columns, funnies & more in your inbox!
  • Check the boxes and send us your email address to receveive your free newsletter
  • Your daily must-read of conservative columns, cartoons and news. Coulter, Sowell, Krauthammer and more.
  • Townhall.com’s weekly inside scoop on what’s happening behind the scenes in the world of politics. When news breaks, we report.
  • Signup to receive the latest daily Townhall cartoons
Friday, May 08, 2009
Dan Gainor :: Townhall.com Columnist
Ecuador Tries Crude Form of Justice
by Dan Gainor
Vote on It:
Average Vote:
[+] Text [-]
 
Poll
Will the Dems' health care Christmas Present to America be an improvement or detriment to our health care system?


What do you do if your country is too incompetent to drill for oil effectively? Drill an oil company instead.

That’s exactly what tiny Ecuador is trying to do to oil giant Chevron – with the help of brain-dead American celebs, left-wing front groups and American lawyers – including one of Obama’s law school buddies. That select group is trying to rob Chevron and its shareholders of $27 billion.

Yes, that’s Billion with a “B” – the middle letter of the SeeBS network. SeeBS was the latest in a string of media outlets – like The Washington Post – giving a biased view of the issue, instead of actual journalism.

The May 3 episode of “60 Minutes” was a typical example of the media misinformation. Correspondent Scott Pelley, who already has a reputation as a biased environmental reporter, only pretended to give both sides of a lawsuit that spans 16 years and two countries.

It’s the classic green battle – not green for Mother Earth, green for the cold, hard cash Ecuador is trying to steal. Chevron calls this case a “fraud” and they are being kind. And SeeBS’s version of history waited nearly six minutes to show the only person they allowed on to back Chevron. She was up against six different spokespeople for the other side – from the plaintiff’s lawyer to natives living in the area to the technical expert for the plaintiff.

Buried in the 13-minute segment were softball questions for the plaintiffs and curveballs for the one Chevron speaker. Pelley never addressed some of the most basic points of the story like PetroEcuador’s patethic environmental record – more than 1,000 oil spills since 2000 – or how plaintiffs paid $200,000 to the supposedly neutral court expert to write his report. Pelley also left out the corruption in the Ecuadoran judicial system – so bad that a report by the U.S. State Department gives the Ecuadoran judiciary very low marks.

“Systematic weakness and susceptibility to political or economic pressures in the rule of law constitute the most important problems faced by U.S. companies investing in or trading with Ecuador,” the State Department report said. No kidding. Our own government says Ecuador uses judicial intimidation against foreign firms. The International Bar Association and the United Nations Commission on Human Rights have also criticized Ecuador’s concept of law.

SeeBS didn’t bring up any of that. Pelley called the judge “serious and thoughtful.” Perhaps he can teach those qualities to Pelley.

In short, the network treated the Chevron case like most lawsuit stories – wildly favoring the plaintiff and giving almost no time or credence to the Big Evil company on the other side.

It all began when Texaco Petroleum drilled for oil in Ecuador decades ago as the smaller part of a consortium with the state-run PetroEcuador. Oil is a messy business and when TexPet went to leave the country, it worked out a clean-up deal. TexPet spent $40 million cleaning up 40 percent of the sites – equal to its share of the consortium. It did a thorough job with the clean-up and the government of Ecuador signed a paper absolving TexPet of all obligations.

But that wasn’t good enough for some in Ecuador. They got American lawyers and began suing. When Chevron bought Texaco, it also bought was should be a non-issue. But thanks to a sleazy Ecuadorian justice system, it’s not.

Now, the Ecuadorans are close to a victory of some sort. Their justice system, if you can call it that, is expected to rule on the case by November. No one seems to think the ruling is in dispute. If Chevron loses, they will appeal, claiming, quite rightly, that the rule of law has nothing to do with this case.

But this is more than just an international travesty. It’s also a view of how journalists look at the world and how they skew everything you see. In his report, Pelley did what most journalists would do. He glossed over the plaintiff’s unsubstantiated claims of cancer ($9 billion worth of the settlement claim) and looked for heart-tugging victims – Amazonian natives in colorful tribal dress or the man who claimed the oil operation poisoned his well.

“Manuel Salinas’ house is next to one of those pits,” Pelley said. “He’s one of 30,000 people suing Texaco’s owner, Chevron. He says the pollution leaked into his water well.” “We couldn’t drink the water,” Salinas said. Trouble is, Salinas lives next to one of the pits PetroEcuador – not TexPet – was supposed to clean up.

And then there’s the water. Remember when they tell you not to drink the water on trips abroad? Here’s why. Tests from both Chevron and the plaintiff show Salinas’ well was contaminated with fecal coliforms.

In other words, Salinas’ claim was full of the same thing his well was. And SeeBS put him out there like some sort of victim. Sure he’s a victim of bad drinking water – but that has nothing to do with oil and everything to do with poor local hygiene – and poor journalism.

Share:
Vote on It:
Average Vote:
 
About The Author
Dan Gainor is The Boone Pickens Free Market Fellow and director of the Media Research Center’s Business & Media Institute.
 
TOWNHALL DAILY: Sign up today and receive Townhall.com daily lineup delivered each morning to your inbox.
Pelley
was a loser when he was a local reporter in Dallas years ago. Obviously, once freed from the few restraints Texans placed on him, he has gotten even worse.

someday liberals...
... are gonna end up killing the golden goose!

the saddest part is....
The saddest part of all of this is that if
Ecuador would promote rule of law and industrial
development, it would gain far more economically
and people would have good infrastructure and
would not have to drink fecal contaminated water. That's the huge story CBS News missed.
Murrow would be saddened.

Wiki page for Philip Agee
"Inside the Company identified 250 alleged CIA officers and agents.[3] The officers and agents, all personally known to Agee, are listed in an appendix to the book.[16] While written as a diary, it is actually a reconstruction of events based on Agee's memory and his subsequent research.[17]

Agee writes that his first overseas assignment was in 1960 to Ecuador where his primary mission was to force a diplomatic break between Ecuador and Cuba, no matter what the cost to Ecuador's shaky stability, using bribery, intimidation, bugging, and forgery. Agee spent four years in Ecuador penetrating Ecuadorian politics. He states that his actions subverted and destroyed the political fabric of Ecuador.[5]"

I MUST HAVE MISSED SOMETHING
What does the Wiki page for Philip Agee have to do with an American oil company accused, apparently spuriously, of bad behavior?

America the Self Destructive
No War for Oil?

Just wait...

The demonization of the oil companies is largely just a factor of the northeast and west coast not having their fingers in that particular pie. Note the disparity between how the Enron scandal was handled and how the banking fiasco is being handled.

Dan, thanks for the story
.
Very few of our readers give a big damn what goes on in Latin America and the five puny reader responses you have to here go to prove my observations.

Yes, Ecuador is a beatiful country now out on a rickety limb called a socialist president just relected. The peopla are good workers but politics stinks. No matter how many bribes or honest offers you make to one official, the next one will come looking for you with some wild claim that only more money will possibly satisfy. Dishonest indeed. Now we find that our reporters and lawyers are just as bad. Well, that just takes the cake.

If our people are going down that prolific tube to Hades then we might just as well pack it up and head out. The fox guarding the hen house.

Maybe it's just as well that I am getting older and don't need to "believe" in anything or anyone. A few years back we still had enough good people to leave breathing room for "believing". I am nearly seventy and have a fifteen year old. What am I supposed to teach him that will help him to future success.??.
.

The rule of law is important
to all peoples in whatever country. As we see Equador's government abusing the law and interpreting it to benefit the politicians, we really can identify with our own politicians today. We are fast becoming just another banana republic under Obama's leadership.

Thanks for the summary, Dan
I haven't watched 60 Minutes, much less SeeBS, for years so I wouldn't have been aware of this load of bovine excrement.

We been victims of this kind of "reporting" for decades but most of us have only recently become aware of how the Richard Craniums at SeeBS, MSLSD, NBC, ABC, NYT etc. have been shoveling out their statist and radical agenda in the guise of "news."

Not me - I think my email address has been blocked by the major TV networks because I've been letting them know for years just what I think of their distortions, duplicity and deception. I used to get nasty, snarky responses, but no more. They are NEVER going to change because like The One, they're full of the certitude of always knowing what's best, for us and especially, them.

Been there, done that...
I am an American who has lived in Ecuador for 20 years. It is a beautiful country with many wonderful people, but is corrupt from top to bottom. Eighteen years ago we bought a home there with every intention of staying. A few years ago we were approached by two thugs who came to inform us that part of the new oil pipeline then being built would be going through our back yard. Like good Americans we protested and were told to suck it up, it would happen with our without our permission. After a great deal of sparring back and forth we were offered a pittance in compensation. We hired a lawyer (one of the very few honest ones down there) and were eventually able to make them cough up a more realistic number, but still nowhere near a just compensation for the resultant drop in the value of our home, and the six months of misery that we had to suffer while the work was being done. There was the usual medieval equipment that kept breaking down, men who urinated and threw trash all over our yard, and various disasters, the worst of which was a hastily-constructed bridge over an irrigation channel which subsequently overflowed and inundated our neighbor's home. Now the oil company has markers all over our yard and the legal right to enter our property at any time to do "maintenance" which refers, of course, to the inevitable day when the wretched thing will burst. The 60 Minututes piece was cringe-worthy, but totally predictable in our EPA-driven mad society. The fact is that Ecuador is now more than ever on the edge of bankruptcy and is flailing in any and all directions to find a way to fill its empty coffers. We would not be surprised if one day we wake up to find more than an offensive oil pipeline in our back yard...

My only question is
Why would anyone even bother watching anything purporting itself to be a news program, on the Big 3 Obama Networks?

You have to remember their audiences are lefties, you know, Democrats, you know, morons.

Good news

Coherence is very rare merchandise these days. To be coherent, we have to see this as good news.

We really don't want muslim women in this country being treated like a man's property, regardless whether they do or don't object to it. Meaning, if you want to live in this society, you will obey rules, laws, customs that you don't like. And if you dislike it so much (or treating a woman as a property is so important to you), you can pack your luggage and move where you like rules/laws/customs.

Same thing applies to American corporation that wants to set business in a country where they don't like rules (corruption), laws (nonexistent) and customs (if I know important guy, no laws apply to me). So, pack the tent and come back to invest where you like the rules, namely U.S.

You can't have it both ways - enough with enforcing a stupid belief that free lunch exists anywhere in the world.

We are no different
The courts in the U.S. are no better when it comes to the use of junk science to extract large settlements from hapless manufacturers or to block block production of useful products in the name of the environment. Look at all of the bogus absestos cases, or the banning of DDT, CFCs, PCBs, Alar, dioxin, various paints, plastic teething rings, etc. The list is endless and the scenario is always the same: Manufacture a 'crisis' with a bogus 'scientific' study, scare the public with endless stories about it in the witless and compliant media, sue in a friendly legal jurisdiction, reap big bucks and more donations for the enviro cause.

Greed
This is greed by the environmentalist lawyers in the US, and the Ecuadorans. It will result in higher energy costs for consumers and no one from the US will invest there again. I hope Texaco can sue PetroEcuador for failing to clean up its pits and putting it in financial jeopardy.

This was a hit piece from SeeBS. How sad that the real victims will be little old ladies who's pensions are in Texaco stock, and US consumers. I doubt that any citizen in Ecuador will get anything - it'll go to corrupt government officials.

I'm surprised
That Jesse Jackson or Al Sharpton weren't brought in as legal advisors for the plaintiffs. When you do a shakedown you go to the best.

Silly Boys, Tricks Are For Obama!

If you don't believe this is occuring right this moment in the US, then I have news for you. After a Federal judge, who was prompted by the O.Ad., ordered that all offshore leases in the GOM and Alaska dated January 1, 2007 and all dates forward be rescinded, I personally know of one operator that lost his $500M investment in the test wells it had drilled and the infrastructure that it had caused to be built and installed on the lease.

Unfortunately, this company is the rule rather than the exception in this thugocracy.
Sign Up to Post Your CommentsSign Up to Post Your Comments
If you are already registered, click here to login. Otherwise, please take a few seconds to register with Townhall.com. Once you sign up, you’ll be able to post your comments immediately, use the action center, get podcasts, and more!
Note: Fields marked with a red asterisk (*) are required.
Salutation:
First Name:
*
Last Name:
*
Email:
*
Nickname:
*
Note: Nick name will be shown when you post comments.
Address 1:
*
Address 2:
City:
*
State:
*
Zip:
*
Phone:
      
Your daily must-read of conservative columns, cartoons and news. Coulter, Sowell, Krauthammer and more.
(Bi-Weekly) We highlight the best opportunities from our partners for surveys, action items and more.