Fines vs. Penalties

Off to work they go...
Off to work they go…

So, today’s the day.

The big civil trial in New Orleans: BP vs. the world with all the lawyers, guns and money…all that kinda shit.

Course, both the government and British Petroleum been working hard, meeting and organizing and negotiating to try to find a settlement, a way out of this whole trial mess, come up with the exact amount of money BP will have to pay…a figure low enough that BP will finally just write a check but also high enough so the Feds can claim justice has been served.

Word is that amount is right around $16 billion dollars to cover the Clean Water Act fines and environmental penalties related to the spill.

Fines vs. penalties…

There’s a big difference between fines and penalties, such as the following: British Petroleum has to pay the fines assessed, but the environmental penalties? Well, those are tax deductible which essentially means they are paid by the taxpayers. Yes, as those negotiations commence, and will more than likely continue even as the trial begins, BP is pushing to have lower fines and higher environmental damage penalties. And if this were to be the case, this would mean BP essentially puts the money out there to pay the penalty, but then reduces their taxes by that same amount so BP again breaks even, leaving the people, the taxpayers to pick up the slack in the economy.

Well now, isn’t that just like an oil company?

Have a nice day.

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