Environmental Corporate Crime Prosecutions
What Are Environmental Corporate Crimes?
These crimes occur when companies knowingly violate laws designed to protect the environment, such as:
Illegal dumping of hazardous waste
Air and water pollution violations
Falsifying environmental records
Violations of the Clean Air Act, Clean Water Act, or Resource Conservation and Recovery Act (RCRA)
Important Environmental Corporate Crime Cases
1. United States v. Exxon Corporation (1989)
Facts:
The Exxon Valdez oil tanker spilled millions of gallons of crude oil into Alaska’s Prince William Sound.
Issue:
Did Exxon violate environmental laws through negligence leading to a major oil spill?
Outcome:
Exxon was prosecuted, resulting in criminal fines and civil damages. The company paid over $1 billion in cleanup and penalties.
Significance:
Showed the high cost and legal consequences of environmental negligence by corporations.
2. United States v. Volkswagen AG (2017)
Facts:
Volkswagen installed software (“defeat devices”) in diesel cars to cheat emissions tests.
Issue:
Did VW violate the Clean Air Act by falsifying emissions data?
Outcome:
VW pleaded guilty, paid over $2.8 billion in fines and civil penalties, and was required to fund environmental programs.
Significance:
One of the largest environmental fraud cases highlighting corporate deception.
3. United States v. Pacific Gas & Electric Company (PG&E) (2017)
Facts:
PG&E was implicated in causing deadly wildfires in California due to failure to maintain power lines.
Issue:
Did PG&E’s negligence violate environmental and safety laws contributing to wildfires?
Outcome:
PG&E pleaded guilty to criminal charges, paid fines, and agreed to safety reforms.
Significance:
Accountability for corporate roles in environmental disasters with public harm.
4. United States v. Dow Chemical Company (1997)
Facts:
Dow Chemical was accused of illegally dumping hazardous waste violating the Resource Conservation and Recovery Act (RCRA).
Issue:
Did Dow unlawfully dispose of toxic chemicals?
Outcome:
Dow paid significant fines and entered into consent decrees to improve waste handling.
Significance:
Emphasized corporate responsibility for hazardous waste management.
5. United States v. BP Exploration & Production Inc. (2012)
Facts:
Following the Deepwater Horizon oil spill, BP faced criminal charges for environmental violations.
Issue:
Did BP’s negligence lead to environmental damage and violate laws?
Outcome:
BP pled guilty to manslaughter and environmental crimes, paying billions in fines and settlements.
Significance:
One of the costliest environmental prosecutions, underscoring corporate liability.
6. United States v. Monsanto Company (1999)
Facts:
Monsanto was charged with falsifying data related to PCB contamination.
Issue:
Did Monsanto violate environmental laws by hiding pollution?
Outcome:
Monsanto paid millions in fines and undertook cleanup efforts.
Significance:
Shows consequences for falsifying environmental information.
Summary Table
| Case | Corporate Crime Type | Outcome | Importance |
|---|---|---|---|
| Exxon Valdez (1989) | Oil spill negligence | Criminal fines, civil damages | Accountability for environmental disasters |
| Volkswagen (2017) | Emissions cheating | Guilty plea, billions in fines | Environmental fraud |
| PG&E (2017) | Negligence causing wildfires | Guilty plea, fines, reforms | Corporate liability for disasters |
| Dow Chemical (1997) | Illegal hazardous waste dumping | Fines, consent decrees | Hazardous waste management |
| BP Deepwater Horizon (2012) | Oil spill, environmental violations | Guilty plea, billions in fines | Major environmental liability |
| Monsanto (1999) | Falsifying pollution data | Fines, cleanup efforts | Corporate deception consequences |
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