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About POGO's Federal Contractor Misconduct Database (FCMD)
The government awards contracts to companies with histories of misconduct such as contract fraud and environmental, ethics, and labor violations. In the absence of a centralized federal database listing instances of misconduct, the Project On Government Oversight (POGO) is providing such data. We believe that it will lead to improved contracting decisions and public access to information about how the government spends hundreds of billions of taxpayer money each year on goods and services. Report an instance of misconduct »
Royal Dutch Shell PLC
Underpayment of Gas Royalties on Gulf of Mexico Leases
Date: 09/28/2000 (Date of Announcement)
Misconduct Type: Government Contract Fraud
Enforcement Agency: Interior
Contracting Party: Interior
Court Type: Civil
Amount: $56,000,000
Disposition: Settlement
Synopsis: Shell Oil agreed to pay $56 million to resolve claims that it underpaid royalties owed on natural gas produced from federal leases. The government alleged that Shell systematically underreported the value of natural gas that it produced on federal leases in the Gulf of Mexico from August 1, 1986 to December 31, 1999 and paid less in royalties than it owed to the Minerals Management Service of the U.S. Department of the Interior.
