SEC Files Settled Books and Records and Internal Controls Charges Against El Paso Corporation for Improper Payments to Iraq Under the U.N. Oil for Food Program

07 February 2007 Publication

The Securities and Exchange Commission filed Foreign Corrupt Practices Act books and records and internal controls charges against El Paso Corporation, alleging that the NYSE-listed Texas energy company indirectly paid nearly $5.5 million in illegal surcharges to Iraq in connection with its purchases of crude oil from third parties under the United Nations Oil for Food Program. The Commission’s complaint alleges that 25 to 30 cents per barrel purchased by El Paso was illegally kicked back to Iraq in the form of a secret oil surcharge and that El Paso knew, or was reckless in not knowing, that illegal surcharges were made.

For more information, please view the full summary on the SEC’s Web site. You can also view the complaint in its entirety.