Citgo Can't Justify Lowering $81M Spill Fine, US Says

Law360, New York (April 17, 2017, 4:24 PM EDT) -- The federal government told the Fifth Circuit on Friday that Citgo Petroleum Corp. has no legal basis to request that an $81 million civil penalty issued for a Louisiana oil spill be lowered, and urged the court to increase the penalty instead.

Citgo has asked the appeals court to lower the penalty, but the government said in a reply brief that the amount is actually less than the company’s economic benefit — $91.7 million — that came from its failure to prevent a leak at a Lake Charles refinery. And it said Citgo has failed to provide any evidence that there...

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