Anchor ads are not supported on this page.

4S Ranch Allied Gardens Alpine Baja Balboa Park Bankers Hill Barrio Logan Bay Ho Bay Park Black Mountain Ranch Blossom Valley Bonita Bonsall Borrego Springs Boulevard Campo Cardiff-by-the-Sea Carlsbad Carmel Mountain Carmel Valley Chollas View Chula Vista City College City Heights Clairemont College Area Coronado CSU San Marcos Cuyamaca College Del Cerro Del Mar Descanso Downtown San Diego Eastlake East Village El Cajon Emerald Hills Encanto Encinitas Escondido Fallbrook Fletcher Hills Golden Hill Grant Hill Grantville Grossmont College Guatay Harbor Island Hillcrest Imperial Beach Imperial Valley Jacumba Jamacha-Lomita Jamul Julian Kearny Mesa Kensington La Jolla Lakeside La Mesa Lemon Grove Leucadia Liberty Station Lincoln Acres Lincoln Park Linda Vista Little Italy Logan Heights Mesa College Midway District MiraCosta College Miramar Miramar College Mira Mesa Mission Beach Mission Hills Mission Valley Mountain View Mount Hope Mount Laguna National City Nestor Normal Heights North Park Oak Park Ocean Beach Oceanside Old Town Otay Mesa Pacific Beach Pala Palomar College Palomar Mountain Paradise Hills Pauma Valley Pine Valley Point Loma Point Loma Nazarene Potrero Poway Rainbow Ramona Rancho Bernardo Rancho Penasquitos Rancho San Diego Rancho Santa Fe Rolando San Carlos San Marcos San Onofre Santa Ysabel Santee San Ysidro Scripps Ranch SDSU Serra Mesa Shelltown Shelter Island Sherman Heights Skyline Solana Beach Sorrento Valley Southcrest South Park Southwestern College Spring Valley Stockton Talmadge Temecula Tierrasanta Tijuana UCSD University City University Heights USD Valencia Park Valley Center Vista Warner Springs

Put that in your pipeline and smoke it

"California was AWOL in fighting against fraud, manipulation…"

Gas-distribution companies got the short end in today's Supreme Court ruling.
Gas-distribution companies got the short end in today's Supreme Court ruling.

The United States Supreme Court decided today (April 21) that companies can sue under state antitrust laws when they believe pipeline companies are committing fraud by manipulating indexes they use to figure the market price of gas.

A group of companies, including Learjet, originally sued a gas-distribution company, Oneok. The pipeline company lost and took the case to the Supreme Court, which today ruled for the gas-buying companies and against Oneok.

Sponsored
Sponsored

The irony is that the California Public Utilities Commission had a major investigation of such fraud earlier in this century.

"The central question is — where is California?" asks Loretta Lynch, who was president of the utilities commission, but was replaced by the business-cozy Michael Peevey in late 2002 because utilities pressured then-governor Gray Davis.

Now Peevey is under state and federal investigation for possible fraud of his own in making secret deals to protect the interest of utilities and pass costs on to ratepayers.

California, says Lynch, was "in the backroom, having made a deal to not take any action on the natural pricing manipulation and fraud for which we found substantial evidence during the time I was at the CPUC."

In the 2005-2006 period, the gas-fraud investigation was quietly dropped. Peevey headed the commission then, and Lynch suspects this is still another case of his back-channel dealings on behalf of corporations.

"California was AWOL in fighting against fraud, manipulation, and in fighting for its gas consumers," she says.

The latest copy of the Reader

Here's something you might be interested in.
Submit a free classified
or view all
Previous article

At Comedor Nishi a world of cuisines meet for brunch

A Mexican eatery with Japanese and French influences
Gas-distribution companies got the short end in today's Supreme Court ruling.
Gas-distribution companies got the short end in today's Supreme Court ruling.

The United States Supreme Court decided today (April 21) that companies can sue under state antitrust laws when they believe pipeline companies are committing fraud by manipulating indexes they use to figure the market price of gas.

A group of companies, including Learjet, originally sued a gas-distribution company, Oneok. The pipeline company lost and took the case to the Supreme Court, which today ruled for the gas-buying companies and against Oneok.

Sponsored
Sponsored

The irony is that the California Public Utilities Commission had a major investigation of such fraud earlier in this century.

"The central question is — where is California?" asks Loretta Lynch, who was president of the utilities commission, but was replaced by the business-cozy Michael Peevey in late 2002 because utilities pressured then-governor Gray Davis.

Now Peevey is under state and federal investigation for possible fraud of his own in making secret deals to protect the interest of utilities and pass costs on to ratepayers.

California, says Lynch, was "in the backroom, having made a deal to not take any action on the natural pricing manipulation and fraud for which we found substantial evidence during the time I was at the CPUC."

In the 2005-2006 period, the gas-fraud investigation was quietly dropped. Peevey headed the commission then, and Lynch suspects this is still another case of his back-channel dealings on behalf of corporations.

"California was AWOL in fighting against fraud, manipulation, and in fighting for its gas consumers," she says.

Comments
Sponsored

The latest copy of the Reader

Here's something you might be interested in.
Submit a free classified
or view all
Previous article

Live Five: Rebecca Jade, Stoney B. Blues, Manzanita Blues, Blame Betty, Marujah

Holiday music, blues, rockabilly, and record releases in Carlsbad, San Carlos, Little Italy, downtown
Next Article

Big kited bluefin on the Red Rooster III

Lake fishing heating up as the weather cools
Comments
Ask a Hipster — Advice you didn't know you needed Big Screen — Movie commentary Blurt — Music's inside track Booze News — San Diego spirits Classical Music — Immortal beauty Classifieds — Free and easy Cover Stories — Front-page features Drinks All Around — Bartenders' drink recipes Excerpts — Literary and spiritual excerpts Feast! — Food & drink reviews Feature Stories — Local news & stories Fishing Report — What’s getting hooked from ship and shore From the Archives — Spotlight on the past Golden Dreams — Talk of the town The Gonzo Report — Making the musical scene, or at least reporting from it Letters — Our inbox Movies@Home — Local movie buffs share favorites Movie Reviews — Our critics' picks and pans Musician Interviews — Up close with local artists Neighborhood News from Stringers — Hyperlocal news News Ticker — News & politics Obermeyer — San Diego politics illustrated Outdoors — Weekly changes in flora and fauna Overheard in San Diego — Eavesdropping illustrated Poetry — The old and the new Reader Travel — Travel section built by travelers Reading — The hunt for intellectuals Roam-O-Rama — SoCal's best hiking/biking trails San Diego Beer — Inside San Diego suds SD on the QT — Almost factual news Sheep and Goats — Places of worship Special Issues — The best of Street Style — San Diego streets have style Surf Diego — Real stories from those braving the waves Theater — On stage in San Diego this week Tin Fork — Silver spoon alternative Under the Radar — Matt Potter's undercover work Unforgettable — Long-ago San Diego Unreal Estate — San Diego's priciest pads Your Week — Daily event picks
4S Ranch Allied Gardens Alpine Baja Balboa Park Bankers Hill Barrio Logan Bay Ho Bay Park Black Mountain Ranch Blossom Valley Bonita Bonsall Borrego Springs Boulevard Campo Cardiff-by-the-Sea Carlsbad Carmel Mountain Carmel Valley Chollas View Chula Vista City College City Heights Clairemont College Area Coronado CSU San Marcos Cuyamaca College Del Cerro Del Mar Descanso Downtown San Diego Eastlake East Village El Cajon Emerald Hills Encanto Encinitas Escondido Fallbrook Fletcher Hills Golden Hill Grant Hill Grantville Grossmont College Guatay Harbor Island Hillcrest Imperial Beach Imperial Valley Jacumba Jamacha-Lomita Jamul Julian Kearny Mesa Kensington La Jolla Lakeside La Mesa Lemon Grove Leucadia Liberty Station Lincoln Acres Lincoln Park Linda Vista Little Italy Logan Heights Mesa College Midway District MiraCosta College Miramar Miramar College Mira Mesa Mission Beach Mission Hills Mission Valley Mountain View Mount Hope Mount Laguna National City Nestor Normal Heights North Park Oak Park Ocean Beach Oceanside Old Town Otay Mesa Pacific Beach Pala Palomar College Palomar Mountain Paradise Hills Pauma Valley Pine Valley Point Loma Point Loma Nazarene Potrero Poway Rainbow Ramona Rancho Bernardo Rancho Penasquitos Rancho San Diego Rancho Santa Fe Rolando San Carlos San Marcos San Onofre Santa Ysabel Santee San Ysidro Scripps Ranch SDSU Serra Mesa Shelltown Shelter Island Sherman Heights Skyline Solana Beach Sorrento Valley Southcrest South Park Southwestern College Spring Valley Stockton Talmadge Temecula Tierrasanta Tijuana UCSD University City University Heights USD Valencia Park Valley Center Vista Warner Springs
Close

Anchor ads are not supported on this page.

This Week’s Reader This Week’s Reader