State of Tennessee sues Chevron, claims ‘scheme’ began in ’76

Gas Pump Generic
(Photo: WKRN)

NASHVILLE, Tenn. (WKRN) – The Tennessee State Attorney General is suing Chevron Corporation for more than $18 million.

Hebert Slattery lll wrote in the 157-page lawsuit that Chevron received taxpayer money when it wasn’t supposed to.

Over 100 gas stations that Chevron either owned or supplied gasoline to in Tennessee are named in the lawsuit.

It says gasoline stored in underground storage tanks can sometimes leak or spill out. The state provides money to gas stations that can’t afford to clean the contamination or that don’t have insurance with the “Underground Storage Tank Fund,” or UST Fund.

The state’s attorney general says Chevron received money from that fund even though it had already received insurance money.

Money for the UST Fund comes from a gas tax that everyone in Tennessee pays at the pump. That money is important because if an underground tank spills or leaks and the gasoline aren’t cleaned up, it becomes a public health threat.

The state alleges Chevron was involved in a “prolonged” and “costly scheme” of taking those public funds illegally. The lawsuit alleges that the “scheme” started back in 1976.

Chevron wrote News 2 a statement saying, “Chevron respects the investigative functions of the Tennessee attorney general, and takes seriously any allegation that it made misrepresentations or otherwise acted improperly. Chevron, through ongoing dialogue with state officials and production of more than 200,000 pages of documents, is committed to demonstrating that it acted in good faith at all times when seeking reimbursements from the Tennessee UST Fund for the costs of corrective action.

The company is confident that an impartial and transparent review of the facts surrounding its reimbursements from the Tennessee UST Fund will result in a favorable outcome for Chevron.”

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