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US: $16.5 million settlement reached in oil price manipulation lawsuit

 |  June 4, 2015

Two London-based companies and certain employees involved in trading West Texas Intermediate crude oil and oil futures have agreed to pay $16.5 million to settle a lawsuit accusing the defendants of artificially manipulating the price of oil in order to reap huge profits.

Parnon Energy and Arcadia Petroleum and other defendants will pay the $16.5 million into a fund to compensate oil futures traders and others who lost money as a result of the scheme, although the companies continue to deny the plaintiffs’ claims.

“We believe that this is a very good outcome for those businesses and individuals who were harmed by this market manipulation,” says Warren Burns, co-lead counsel for the plaintiffs and name partner in Dallas’Burns Charest. “This was an extremely hard fought case. Settling now ensures that class members will receive compensation once the court approves the settlement.”

Full content: Reuters

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