The fund reimburses tank owners for expenses during spill clean-ups, but is intended as a last resort. Owners with private insurance must first seek clean-up costs from their insurance companies.The lawsuit alleges the companies used the fund to pay for cleaning up spills at more than 100 Tennessee gas stations, despite having private insurance that paid for the costs. It also accuses Chevron and its subsidiaries of filing falsified paperwork for millions of dollars to pay for leaks at storage tanks that occurred before the fund was operating.
Seeking $18 million
The state is seeking more than $18 million to be returned, as well as penalties ranging between $2,500 and $10,000 for each false claim filed.Chevron denies the allegations and is seeking to dismiss the lawsuit, claiming in some instances that it and its subsidiaries had sought state funds to make up the difference in their clean-up costs from the ‘pennies-on-the-dollar’ claim payouts from their insurers. Source: The Tennessean
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