Donziger Still Defying Court In $9.5B Ecuador Fight: Chevron

The energy giant argued that new documents and testimony show Donziger signed over interests in the judgment to cover personal debts

Law360 - Shayna Posses 22/03/2019

Chevron Corp. told a New York federal judge Wednesday that new evidence proves attorney Steven Donziger flouted an order barring him from profiting off a fraudulent $9.5 billion judgment in an Ecuadorian environmental case, saying his “brazen” misdeeds warrant sanctions.

The energy giant argued that new documents and testimony show Donziger signed over interests in the judgment to cover personal debts, proving “beyond any conceivable doubt” that he should be sanctioned for violating U.S. District Judge Lewis Kaplan’s decision that the attorney and his colleagues had “ghostwritten” the Ecuadorian ruling and shouldn’t benefit from it.

“As a consequence, Donziger is in knowing, intentional contempt of this court’s [Racketeer Influenced and Corrupt Organizations Act] judgment, and this court should so hold,” Chevron said. “This is but the latest, and perhaps the most brazen, example of Donziger’s treatment of the Ecuadorian judgment as his personal cash cow, raising money off that judgment not to support foreign enforcement litigation, but rather to pay himself and his cronies.”

The court must take firm action to stop Donziger’s “abusive pattern,” Chevron asserted, urging Judge Kaplan to find the attorney in contempt for transferring interests and sanction him to avoid future violations.

But Chevron didn’t stop there. In a separate motion Wednesday, the company said Donziger should also be held in contempt for refusing to obey commands to turn over his electronic devices and account information for inspection.