Chevron Corporation (UN Oil-for-Food Programme)

In 2007, Chevron entered into a Non-Prosecution Agreement with US authorities, in relation to the UN Oil-for-Food scheme.  According to the agreement, Chevron admitted that it had "obtained Iraqi oil under the Program from third parties that paid secret, illegal surcharges to the former government of Iraq, in violation of United States wire fraud statutes and administrative regulations that prohibited transactions with the former Government of Iraq. Pursuant to the Agreement, CHEVRON will make the following payments totaling $27,000,000:

(1) forfeiture of $20,000,000 to the U.S. Attorney's Office for the Southern District of New York ("SDNY"), which will seek to transfer that money to the Development Fund of Iraq (established on May 21, 2003, by United Nations Security Council Resolution 1483) to be paid as restitution for the benefit of the people of Iraq;

(2) $5,000,000 to the New York County District Attorney's Office ("DANY") to be distributed as DANY shall deem appropriate; and (3) $2,000,000 to OFAC in settlement of civil penalties. In a separate agreement, CHEVRON agreed to pay an additional monetary penalty of $3,000,000 to the Securities and Exchange Commission ("SEC"), and to pay disgorgement of $25,000,000, which will be satisfied by their payments to SDNY and DANY. (Source: United States Attorney Southern District of New York Press Release, "Chevron Corporation Agrees to Pay $30 Million in Oil-for-Food Settlement," November 14, 2007.)