A separate civil decree is pending on Transocean, with a record $1 billion Clean Water Act penalty.
Transocean Deepwater pleaded guilty today to a violation of the Clean Water Act for its illegal conduct leading to the 2010 Deepwater Horizon disaster. The drilling company was sentenced to pay $400 million in criminal fines and penalties, Attorney General Holder announced today.
In total, the amount of fines and other criminal penalties imposed on Transocean are the second largest for environmental crimes in U.S. history. The dubious distinction of holding the record belongs to BP, following its $4 billion criminal sentence imposed in connection with the same disaster.
Eleven men died, and the Gulf’s waters, shorelines, communities and economies suffered enormous damage as a result of the blowout at the Macondo well site, which resulted the pumping at least 5 billion gallons of crude oil into the Gulf of Mexico.
“Most of the $400 million criminal recovery – one of the largest for an environmental crime in U.S. history – will go toward protecting, restoring and rebuilding the Gulf Coast region,” said Holder.
Transocean’s guilty plea was accepted, and the sentence was imposed, by U.S. District Judge Jane Triche Milazzo of the Eastern District of Louisiana. During the guilty plea and sentencing proceeding, Judge Milazzo found, among other things, that the sentence appropriately reflects Transocean’s role in the offense conduct, and that the criminal payments directed to the National Academy of Sciences and National Fish and Wildlife Foundation are appropriately designed to help remedy the harm to the Gulf of Mexico caused by Transocean’s actions. The judge also noted that the fines and five-year probationary period provide just punishment and adequate deterrence.
Transocean pleaded guilty to a charge previously filed in federal court in New Orleans, charging the company with violating the Clean Water Act. During the guilty plea proceeding today, Transocean admitted that members of its crew on board the Deepwater Horizon, acting at the direction of BP’s well site leaders were negligent in failing to investigate fully clear indications that the Macondo well was not secure and that oil and gas were flowing into the well.
A separate proposed civil consent decree covering Transocean, which resolves the United States’ civil CWA penalty claims, imposes a record $1 billion civil Clean Water Act penalty, and requires significant measures to improve performance and prevent recurrence, is pending before U.S. District Judge Carl J. Barbier of the Eastern District of Louisiana.
