Thursday, December 14, 2006
Administration Oversight

Government Reform Leaders Call for Evaluation of Authority to Recover Billions from Oil Companies

Representatives Henry A. Waxman, Tom Davis, Darrell Issa and Diane E. Watson wrote to U.S. Attorney General Gonzales to ask him to review a legal analysis concluding that the Administration has legal recourse to recover billions of dollars in lost revenue on defective oil and gas leases issued in 1998 and 1999. According to the analysis, the Minerals Management Service exceeded its authority in issuing the leases, and the Administration has the authority to set aside the leases and seek recovery of lost taxpayer revenues.