BUSINESS: Shell admits it misled investors, page 1

posted on Apr, 20 2004 @ 12:34 AM

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The Guardian is reporting that in an internal inquiry released yesterday, the World's Third Largest Oil Company misled investors about the financial health of the Company.

The Anglo-Dutch oil company sacked its chairman Sir Philip Watts and his exploration director Walter van de Vijver earlier this year after admitting it had overstated the amount of oil and gas reserves it had in the ground by more than 20%.

Yesterday it said the figure was nearer 25% and admitted Sir Philip and Mr Van de Vijver had known about the problems for at least two years and possibly for as long as seven.

Extraordinary messages between senior directors, revealed yesterday, must increase the likelihood of them facing criminal charges from the US justice department which is investigating events.

The most damning statement comes in an email from Mr Van de Vijver to Sir Philip dated November 9 2003, which says: "I am becoming sick and tired about lying about the extent of our reserves issues and the downward revisions that need to be done because of far too aggressive/optimistic bookings."

Shell admits it misled investors

Ocelot

posted on Apr, 20 2004 @ 12:38 AM

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LONDON (Reuters) - Royal Dutch/Shell executives knowingly hid an oil and gas reserves shortfall for years and feared the game was up as far back as 2002, an independent review revealed on Monday.

The news came as the oil giant cut reserve estimates again and sacked a third senior executive, Chief Financial Officer Judy Boynton, for her part in the scandal, which shocked investors when it finally became public in January this year.

Shell added 300 million barrels to total booked reserve cuts for 2002, to make a total reduction of 4.35 billion barrels of oil equivalent (boe) -- more than 22 percent of reserves originally booked for that year.

Shell Report Exposes Lies, CFO Sacked

Ocelot

posted on Apr, 20 2004 @ 12:40 AM

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The Associated Press
LONDON - The chief financial officer of the Royal Dutch/Shell Group of Cos. stepped down Monday as the company further downgraded estimates of its oil and gas reserves.

Shell said it believed its new statement should close the controversy over reserves, which has badly shaken the energy giant.

Shell's chief financial officer resigns

Ocelot

posted on Apr, 20 2004 @ 12:42 AM

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Shell admits deceiving shareholders; Sacked chairman savaged in report

20 April 2004

Shell was embroiled yesterday in Britain's biggest corporate scandal for almost 20 years after it admitted a three-year plan to deceive its shareholders.

The City reacted with astonishment after the crisis-stricken multinational released details from an internal report that exposed how the company had deliberately overstated its oil and gas reserves for several years.

Judy Boynton, the finance chief, became the third boardroom casualty of the furore that followed the shock 20 per cent downgrade in reserves three months ago. The Shell affair, the most damaging scandal in the UK since the Guinness debacle 18 years ago, has already led to the departure of the chairman, Sir Philip Watts, and the head of exploration and production, Walter van de Vijver.

Lies, cover-ups, fat cats and an oil giant in crisis

Ocelot

posted on Apr, 20 2004 @ 12:44 AM

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Shell executives knowingly hid the company's oil and gas shortfalls as far back as 2001, an independent review has revealed.

In its most damning piece of evidence it quotes one of the firm's former executives writing about "lying" and how the firm had "fooled" the market.

Following the review, Shell downgraded its reserves for the third time in 2004 and its finance officer resigned.

Judy Boynton became the third casualty of the company's reserves crisis.

Although she was not herself accused of wrongdoing, her position was said to be untenable.

Shell bosses 'fooled the market'

heelstone

posted on Apr, 20 2004 @ 01:13 AM

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When you have the third largest oil company lying about its oil supply, you can only wonder about the situation for the rest of them. It seems as though the oil crunch is coming very soon.

Joe Cat

posted on Apr, 20 2004 @ 06:27 AM

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What was suposed to hapen in 20 years, my start a lot sooner than it was predicted.......not good at all!