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March 4, 2014

Judge Calls Ecuadorian Ruling Corrupt

Chevron says a $9.5 billion Ecuadorian verdict against it was racked with fraud, and, on Tuesday, a judge agreed.

“The decision in the Lago Agrio case was obtained by corrupt means,” U.S. District Judge Lewis Kaplan wrote in the ruling. “The defendants here may not be allowed to benefit from that in any way.”

The ruling bars the plaintiffs from trying to enforce the Ecuadorian verdict in the United States. Chevron claimed that the plaintiffs’ lawyers in the case bribed an Ecuadorian judge and ghostwrote the ruling. It has been fighting to keep the plaintiffs from enforcing the judgment in other jurisdictions, including Canada, Argentina, and Brazil.

More details on the ruling at Bloomberg.

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