Total Appeals Oil Spill Ruling but Pays Victims
Date: 29-Jan-08
Country: FRANCE
Author: Marie Maitre
"Total has decided to immediately pay compensation to the victims of pollution, in full and final settlement, as ordered by the court," it said in a statement.
A Paris court ruled last week that Total was responsible for the sinking of the rusting tanker Erika which it had chartered, and ordered it to pay damages for one of France's worst environmental disasters.
The Erika broke up and sank in heavy seas in the Bay of Biscay some 70 km (45 miles) off the French coast on Dec. 12, 1999, pouring 20,000 tonnes of toxic fuel oil into the sea.
The accident fouled 400 km of beaches and shoreline, crippled local industries including fishing, tourism and salt production and killed tens of thousands of seabirds.
Total, the world's fourth largest oil group, was fined 375,000 euros (US$549,500) and told to pay nearly 200 million euros in damages awarded to civil parties, including the French state.
In its statement, Total said it was committed to paying the court-ordered compensation to "any of the third parties who are willing to accept it."
Such parties would have to renounce any appeal in exchange for the compensation, a Total spokeswoman said. "If we compensate someone, this person renounces any appeal after that," she said.
Total also said it would "appeal (against) a verdict that it deems unfair and that runs counter to the intended aim of enhancing maritime transportation safety."
Total said it could not be blamed for causing the sinking of the Erika as it had been "misled by certificates that masked the fact that the ship's structure was severely deteriorated."
The court fine and compensation ruling is in addition to the 200 million euros spent by Total after the sinking to help clean up the coastline, pump out the heavy fuel oil remaining in the wreck, and treat the waste collected along the coast.
(Reporting by Marie Maitre; editing by Rory Channing)
