AMERICA - Gulf Oil Spill Update, BP Fined $4.5 Billion (updated)

"BP to pay record fine in Gulf oil spill; 2 to face manslaughter charges" by AP, CBS News 11/15/2012

Excerpt

BP said Thursday that it will pay $4.5 billion in a settlement with the U.S. government over the massive 2010 oil spill and will plead guilty to felony counts related to the deaths of 11 workers and lying to Congress.

The figure includes nearly $1.3 billion in criminal fines — the largest such penalty ever — along with payments to several government entities.

Meanwhile, a source close to the case confirmed to CBS News Thursday that two BP employees face manslaughter charges over the 11 deaths in the explosion of the Deepwater Horizon oil rig that triggered the massive spill.

"We believe this resolution is in the best interest of BP and its shareholders," said Carl-Henric Svanberg, BP's Chairman. "It removes two significant legal risks and allows us to vigorously defend the company against the remaining civil claims."

The settlement includes payments of nearly $2.4 billion to the National Fish and Wildlife Foundation, $350 million to the National Academy of Sciences and about $500 million to the Securities and Exchange Commission.

London-based BP PLC said in a statement that the settlement would not include civil claims under the Clean Water Act and other legislation, pending private civil claims and state claims for economic loss.

The charges BP will plead guilty to include 11 felony counts of misconduct or neglect of ships officers, one felony count of obstruction of Congress and one misdemeanor count each under the Migratory Bird Treaty Act and the Clean Water Act. The 11 counts related to the workers' deaths are under a provision of the Seaman's Manslaughter Act.

The obstruction charge is for lying to Congress about how much oil was pouring out of the ruptured well.

Attorney General Eric Holder was scheduled to discuss the settlement at an afternoon news conference in New Orleans.

BP made a profit of $5.5 billion in the third quarter.

The largest previous corporate criminal penalty assessed by the Department of Justice was a $1.2 billion fine imposed on drug maker Pfizer in 2009.

"BP to Pay Largest Fine in U.S. History, Admit Guilt in Gulf Oil Spill Settlement"
PBS Newshour 11/15/2012