Tag Archives: Scandal

Drill Baby Drill

From the New York Times: a sex, bribes, collusion and drugs scandal at the governmental department responsible for collecting money from oil companies:

As Congress prepares to debate expansion of drilling in taxpayer-owned coastal waters, the Interior Department agency that collects oil and gas royalties has been caught up in a wide-ranging ethics scandal — including allegations of financial self-dealing, accepting gifts from energy companies, cocaine use and sexual misconduct.

You have to read the whole story to get a full grasp of the piggishness, but one character who stood out was Gregory Smith, a director of the Denver office of the Minerals Management Service. As the Times details:

The report said that from April 2002 to June 2003, Mr. Smith improperly used his position with the royalty program to help a technical services firm seek deals with the same oil and gas companies. The services firm paid Mr. Smith more than $30,000 for asking the oil companies to hire it, the report said.

Mr. Smith requested and received approval to take on the outside work, but the report says he misled the office into thinking he would be performing technical consulting, rather than marketing the firm to companies with which he also conducted official business

The report accuses Mr. Smith of improperly accepting gifts from the oil and gas industry, of engaging in sex with two subordinates, and of using cocaine that he purchased from his secretary or her boyfriend several times a year between 2002 and 2005. He sometimes asked for the drugs and received them in his office during work hours, the report alleges.

The report also says that Mr. Smith lied to investigators about these and other incidents, and that he urged the two women subordinates to mislead the investigators as well.

But don’t worry–it’s not like he’ll face any repercussions for his actions.

[Smith and another worker] retired during the investigation, rendering them safe from any administrative punishment, and the Justice Department has declined to prosecute them on the charges suggested by the inspector general.