Aubrey K. McClendon, part-owner of the Oklahoma City Thunder, has been charged by the Justice Department with conspiring to suppress prices paid for oil and natural gas leases. McClendon is charged with overseeing a conspiracy in which two oil and gas companies agreed not to big against each other for the purchases of leases in northwestern Oklahoma City between 2007 and 2012.
The indictment against McClendon was filed on Tuesday in the United States District Court for the Western District of Oklahoma. From the Justice Department’s statement (via the New York Times):
“McClendon instructed his subordinates to execute the conspiratorial agreement, which included, among other things, withdrawing bids for certain leases and agreeing on the allocation of interests in the leases between the conspiring companies,” the department said in a statement.
“His actions put company profits ahead of the interests of leaseholders entitled to competitive bids for oil and gas rights on their land,” said Assistant Attorney General Bill Baer of the Justice Department’s Antitrust Division. “Executives who abuse their positions as leaders of major corporations to organize criminal activity must be held accountable for their actions.”
McClendon served as the chairman and chief executive of Chesapeake Energy before being forced to resign three years ago. During his time as leader, Chesapeake along with other companies helped change dynamics of energy in the United States. McClendon became a billionaire before taking part ownership in the Oklahoma City Thunder, who play their home games in Chesapeake Energy Arena.
