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OpEdNews Op Eds    H2'ed 5/27/10

US Inspector General Report: Falsified Oil Rig Inspections and Other Improprieties

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According to one inspector, what oil and gas companies got in return was a "better working relationship." Indeed so, including letting them prepare their own audits in pencil, inked over by inspectors to look legitimate - a practice far worse than gross mismanagement.


It's a crime demanding prosecutions of industry and government offenders. They're not coming. Informed about the Inspector General's report, the US Attorney's Office for the Western District of Louisiana declined further action, absolving serious offenses.


One or more inspectors also used cocaine and methamphetamine, may have been under the influence on the job, and not for the first time according to an internal 2008 investigation, prepared by Inspector General Earl E. Devaney.


On May 11, AP noted a "culture of substance abuse and promiscuity" by MMS inspectors and other workers. The agency has a duel role - collecting over $10 billion in annual royalties while enforcing drilling regulations, a clear conflict of interest.


Devaney found MMS royalty collection personnel having sex and using drugs with energy company employees, besides inspectors on the take. He described a "culture of ethical failure" in an agency rife with conflicts of interests, including the longstanding practice of being too cozy with the oil and gas industry.


On May 24, New York Times writer Ian Urbina headlined, "Inspector General's Inquiry Faults Regulators," saying:


MMS "inspectors (also) accepted meals, tickets to sporting events and gifts from at least one oil company (from 2005 - 2007) while they were overseeing the industry," more evidence of lax oversight and cozy industry ties.


"At least seven inspectors cited in the report as having been involved in inappropriate or illegal activities were still employed by the agency when the report was completed in March." No surprise under Ken Salazar's watch at Interior, a man rife with conflicts of interest.


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