$6.9 Million Settlement reached in Whistleblower case with Dominion Resources Inc and Marathon Oil Corp

Date Filed:

Monday, August 23, 2010

Settlement Amount:

$6,900,000

A settlement has been reached in a whistleblower class action lawsuit brought against Dominion Resources Inc and Marathon Oil Corporporation who are accused of knowingly underpaying royalties from federal and Indian leases.

Dominion Resources Inc and Marathon Oil Corp agreed to pay $2.2 million and $4.7 million, respectively. Whistleblower Harold Wright is now deceased but his heirs will receive a $1.8 million share of the settlement.

The originally filed lawsuit alleges that they deflated gas earnings to avoid paying extra royalties to the government and that the companies fraudulently charged for costs of boosting pipeline pressures, which should not have been factored into the royalty revenue.

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$6.9 Million Settlement reached in Whistleblower case with Dominion Resources Inc and Marathon Oil Corp

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