Disclosure forms from 2008 reveal Louisiana district judge held shares in Transocean, Halliburton, and a host of oil firms

BusinessGreen.com Staff, BusinessGreen, 23 Jun 2010

 

The judge who yesterday overturned the Obama administration's six-month ban on deepwater oil drilling in the Gulf of Mexico previously held shares in Transocean and a number of other oil firms.

According to reports, Louisiana district judge Martin Feldman's most recent financial disclosure forms relating to calendar year 2008 reveal he received dividends from shares in Transocean, the owner of the Deepwater Horizon rig that exploded on April 11.
He reportedly held nearly $15,000 worth of Transocean shares.

The forms also revealed that Feldman held shares in a host of oil and energy firms, including Ocean Energy, Quicksilver Resources, Prospect Energy, Peabody Energy, and Parker Drilling.

In addition, the documents confirmed Feldman sold shares in Halliburton, the engineering company that provided the concrete casings for the Deepwater Horizon wells.

The judge is yet to respond to the reports and it is not yet certain whether he still holds any oil industry shares. A number of Louisiana judges are reported to have sold shares in oil companies in recent weeks in order to rule in cases relating to the Gulf spill.

However, environmental groups were quick to condemn the potential conflict of interest.

Josh Reichert, managing director of the Pew Environment Group, told the Press Association that Feldman's decision to lift the ban on drilling should be immediately reversed if he is found to still hold oil industry shares. "If Judge Feldman has any investments in oil and gas operators in the Gulf, it represents a flagrant conflict of interest," he said.

The revelation comes as the Obama administration today prepares to launch an appeal against the judge's decision to lift the six month ban on deepwater drilling while the court case regarding the legality of the moratorium is heard.

Judge Feldman ruled yesterday that the ban was excessive and would cause unnecessary harm to large numbers of businesses in the region.

But Interior Secretary Ken Salazar issued a statement yesterday insisting the ban was required at least until the investigations into what caused the Deepwater Horizon explosion are completed. He added that he would impose a new moratorium on deepwater drilling in the Gulf within days.

"We see clear evidence every day, as oil spills from BP's well, of the need for a pause on deepwater drilling," he said. "The evidence also continues to mount that industry needs to raise the bar on blowout prevention, containment, and response planning before deepwater drilling should continue."