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BP (BP), Shell (RDS.A), Statoil (STO) and others have been sued for allegedly conspiring to fix...

BP (BP), Shell (RDS.A), Statoil (STO) and others have been sued for allegedly conspiring to fix the price of Brent Crude oil and futures contracts. The lawsuit, which was filed by Chicago-based commodity trading house Prime International, is the first such action following news of a European investigation into possible oil-price manipulation.
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Comments (12)
  • stocknerd
    , contributor
    Comments (1399) | Send Message
     
    This is a tough lawsuit. Unless they have messages and secret information the suit goes nowhere, plus suing the richest companies in the world is not a financially wise idea. Settlement? Not in this case. It is do or die. How can you rig a futures contract anyway?
    26 May 2013, 03:44 AM Reply Like
  • Worn out 123
    , contributor
    Comments (439) | Send Message
     
    If one can fix boxing, baseball, bike & horse racing there must be ways to fix almost anything else, but, someone on the inside must be corrupt and therein lies the flaw: if that individual would be exposed and reveal the entire scheme and all participants in a plea bargain to save his/her hide from suffering the weight of punishment alone.
    Investigators & others must be certain it was fixed. However, proving which corporate entities were involved and to what degree is another matter. I'm certain there will b an epic battle of attorneys, and that will likely end up in months or even years of further investigation, denial, coverup, and likely be settled with a not guilty verdict or much more likely a cash settlement.
    Merrill Lynch is a good example. They plead guilty to acts of defrauding clients (I was one) as well as several other illegal activities. No one went to prison, or was even fined as part of the "settlement". Leona Helmsley is another. She conspired to cheat on her taxes, then bragged to her "friends" about having done so. The IRS was embarrassed and so investigated and charged her. Of course, she just paid a fine.
    White collar crime is rarely a punishable offense. This is nothing new. The rich and powerful just do not punish one of their own. I believe Samuel Clemens said it best: "A man steals a loaf of bread, he goes to jail. A man steals a railroad, he goes to congress." If the pps drops I'll certainly buy RDS, they too are "too big to jail."
    26 May 2013, 08:57 AM Reply Like
  • Ludo5312
    , contributor
    Comments (115) | Send Message
     
    The vultures are alive - as always - but this is indeed one tough nut to crack. At first view there seem to be no whistle blower and suspicion is very different from fact. There is not always fire, where there is smoke... often it is just fog.
    26 May 2013, 09:41 AM Reply Like
  • philsoil
    , contributor
    Comments (47) | Send Message
     
    Did you miss FNMA! if you oops. I sold some SIRI stock @3.20.Bought FNMA@.85 timing everything.
    26 May 2013, 12:33 PM Reply Like
  • Herr Hansa
    , contributor
    Comments (3085) | Send Message
     
    I would not mind picking up some RDS.A and STO on weakness, though this lawsuit may not be enough to do that.
    26 May 2013, 03:30 PM Reply Like
  • Veritas1010
    , contributor
    Comments (1974) | Send Message
     
    Rubbish! Poppycock!!!

     

    Truly, just use the opportunity to "buy on dips" and if anyone looks to get hammered, which I truly believe is remote - buy some-more!

     

    disc.: long STO.
    26 May 2013, 03:33 PM Reply Like
  • john001
    , contributor
    Comments (903) | Send Message
     
    "The lawsuit, which was filed by Chicago-based commodity trading house Prime International". There is so damn much stock price manipulation going on in today's market by hedge funds, so-called analysts, and commodity traders that I wouldn't believe a word they say. I'm not saying PI's lawsuit is without merrit, but I would rather give RDS the benefit if the doubt.
    26 May 2013, 06:11 PM Reply Like
  • daphnex2
    , contributor
    Comments (130) | Send Message
     
    Chicago based???? I have no trust in that.
    27 May 2013, 12:16 AM Reply Like
  • Worn out 123
    , contributor
    Comments (439) | Send Message
     
    john, Especially in view of the bevy of attorneys that will b representing RDS. They will frustrate the court into a small settlement rather than drag this out ad infinitum. That's SOP for these cases; a big splash in the papers, then a small settlement. I've seen this a hundred times. Unless someone was very careless or breaks and confesses, the settlement is relatively small. Just the cost of doing business. Ho-hum.
    27 May 2013, 08:51 AM Reply Like
  • Ludo5312
    , contributor
    Comments (115) | Send Message
     
    How about thrown out of court, as so many recently?
    28 May 2013, 08:30 AM Reply Like
  • combatcorpsmanVN
    , contributor
    Comments (1087) | Send Message
     
    Bringing Suit against a Super Major sounds like the pot of gold at the end of the rainbow. Well, like the pot of gold at the end of the rainbow, it's a hard thing to find.

     

    There is a ton of expense, time, stress, and frustration ahead from the date the lawsuit is filed and the day the plaintiff cashes the judgment proceeds.

     

    As far as pre-trial settlements --- if that occurs at all - it will be about a decade from now.
    27 May 2013, 12:14 PM Reply Like
  • Worn out 123
    , contributor
    Comments (439) | Send Message
     
    combatcorpsmanVN, -- Me too. 66, 67, 70, 71.
    Long PPL, AVIV, AEE Luck 2 u doc.
    29 May 2013, 10:12 AM Reply Like
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