Thursday, September 17, 2009

Amazon Watch claims Ecuador's not a party to Chevron lawsuit? Think again!

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In the ongoing legal battle between Chevron and Ecuador (regarding the lawsuit filed against the oil giant for estimated alleged environmental damage done while Chevron Texaco was producing oil in the Amazon until 1992), there is charge made by some Chevron opponents, specifically the activist group Amazon Watch, that Ecuador should not be mentioned as a "party" to the lawsuit.

Before I continue, let's get the definition of "party to a lawsuit" out of the way. It's actually more complicated that the lay reader knows.

The common standard defintion of "party" is the plaintiff or defendant in a lawsuit. But even then, it depends on the nature of the case. According the Connecticut Supreme Court State of Conneticut v. Ralston Salmon, a "party" definition can be established by a court and is not "fixed", the "swing point" in the determination of who's has the right to be considered a "party" to a case and is "aggrieved".

"Aggrieved" means "Feeling distress or affliction." As I will demonstrate, Ecuador, from President Correa's statements and involvement, has established itself as an aggrieved party.

The actual legal name of the lawsuit commonly referred to as "Chevron v. Ecuador" is "Aguinda v. Chevron Texaco" and was originally filed in 1993. Because of this, Chevron opponents claim that Ecuador should not be written as if it was a party to the lawsuit, as I have done. Amazon Watch representatives have even went so far as to pressure SFGate.com editors to have me change my blogs to reflect their point of view.

Fortunately, the SFGate editors have resisted and asked me to provide this blog post and for good reason.

This is what Amazon Watch claims:

"The government of Ecuador is not the architect of the Chevron lawsuit, is not a party to the lawsuit, and will not be the recipient of any judgment paid by Chevron. This is a civil suit by private citizens."

That very broad and dangerous paragraph leaves much room for error.




President Correa is careful to publicly say that the lawsuit is "private" as in its not filed by the government of Ecuador. But in practice his actions - and those of other political operatives - prove that the Ecuadorian government is very much involved in the lawsuit and could be identified as a party to it in court.

For example, President Rafael Correa is commonly listed as a supporter of the lawsuit in several blogs and news sites, from Forbes, to Latin American Thought, to Gonzalo Raffo to Bob McCarty's Blog, where he reports that plaintiff attorneys visited the palace of President Correa, writing:


A reliable source, whose identity I cannot reveal for his own security, informed me today that at least three ADC principals — Steven R. Donziger, Pablo Fajardo and Luis Yanza, all attorneys — were in the South American nation’s capitol city of Quito Wednesday and met with tinpot dictator Correa at his presidential palace at 4 p.m. local time (same as U.S. Central time zone).


McCarty writes that he obtained the cell phone number of Steve Donziger, the lead lawyer who filed the lawsuit in 1993; Donziger did not return his call. McCarty says that Karen Hinton, who frankly has done a terrific job in this case, did "leave the door open" to confirming the meeting. McCarty writes:


She (Hinton) did, however, leave the door cracked open just a bit regarding whether or not such a meeting took place (i.e., she said she would get back to me with answers).


I’m not, however, going to hold my breath while waiting for it. I would advise you against doing it as well. Nearly two hours have passed since my phone call with Hinton. Don’t really expect a reply anytime soon.


And if one needs another example of Ecuador's involvement and why I and others recognize it as a party to this case, I point to the now famous set of hidden camera videos. But not the one with Judge Juan Nunez in them. No.

The one that refers to President Correa's sister as the one of the recipients of the "bribe" of $3 million for two environmental consultants to get work from the then-anticipated $27 billion award against Chevron.

In this video,



As I wrote after the bribery allegations were issued:


The second part of the video was filmed at Alianza PAIS (which means "Proud and Sovereign Fatherland" according to the Wikipedia listing) Offices June 22, 2009. PAIS is a political movement led by President Correa. Who Patricio Garcia is beyond his appearance in this video and his role in PAIS is still basically unknown as of this writing.


Garcia says that the President's sister Pierina will be helpful (presumably in making sure that the businessmen get their piece of the planned $27 billion pie) and will meet with "The Gringo" (that's Hansen). I checked and "Prierina" is indeed described here as "Pierina Correa, the president's sister and an Alianza PAIS leader in Guayas province". That confirms my assertion that Garcia is tied to the President and his family as he states in the video.


Now someone, perhaps from Amazon Watch, would counter, "That has nothing to do with the lawsuit award," but even that's not true. While the "cover story", as I call it, is that 30,000 indigenous tribes are represented in the lawsuit, the question of who collects the money and how has not been publicly answered. But it has been privately.

The Amazon Defense Coalition has been identified as but one "fiscal agent" of the award, should the court case go against Chevron. And the lawsuit has been paid for by the Philadelphia law firm of Kohn, Swift, and Graf, not "the indigenous tribes" of Ecuador.

Steve Donziger has worked on behalf of Kohn, Swift, and Graf apparently as far back as 2003 in the matter of this lawsuit.

But it's not clear who will get the award money and how it will get to the people of an area that the government has not only supported for oil production but seems clear to have it remain as a place for it. So far, the only clear Ecuadorian-based organization that is likely to be involved is Alianza PAIS, which is led by, again, President Correa, who's claimed the country has been aggrieved by Chevron Texaco.

(Opponents should be very careful here; the challenge statement would be to prove that Ecuador has not been damaged at all.)

Messy.

Now, in fairness, Donziger has met with some of the people in the region, but he's openly stated he is aware that he stands to become a billionaire from this legal fight, even as he's stated he and his team would "likely" take a smaller percentage than the common one-third of the award.

<h3>Ecuador's people lose in the end </h3>

The legal battle obscures the real issue of poor economic development in Ecuador and of a country that's not getting its petrodollars or development investment to the people who need it the most, yet participating in the harm of the region of the country where they live. 

It also masks the more complex issue of class warfare in Ecuador and how its in some cases a life-threatening task to help some of the tribes in the Amazon. But that's another story for another blog post.


Ecuador's involved alright: headfake politics


Ecuador is trying to play both sides of the political economic fence. It wants to gain from a court victory against Chevron but not antagonize the oil industry with an officially public government lawsuit.

It's the perfect "head fake" politics of of the brilliant President Correa, using American activists to do his political dirty work, while leaving the Ecuadorian Amazon region 65 percent zoned for oil production and initiating a government takeover of privately held oil production.

Regardless of words, in reality Ecuador's a party to the lawsuit, alright. Believe it.

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