Thursday, July 29, 2010

Obama Administraton Holding Up BP (NYSE:BP) Paying Claimants?

Kenneth Feinberg seemed somewhat frustrated when talking about the implementation of the BP (NYSE:BP) escrow fund.

When asked about payment delays of claims and when things would be up and running, Feinberg said, "The first check is delayed into August. Not because of my apparatus -- my apparatus could be up and running Aug. 6. It's the escrow fund."

On Wednesday, when an official from the Obama administration spoke about the escrow fund, he said that "is still on track, and we expect it to be finalized soon." He refused to give reasons as to what was causing the delay.

Note in both of these circumstances there wasn't a shot taken at BP for some type of delaying tactics from the government or Feinberg. That in itself suggests a government side to the problem.

A spokesman from BP also said earlier this week that the company was waiting for the finalization of the escrow fund before funding it, implying it was the Obama administration that was holding things up.

Feinberg also seems to be out of the loop on the reasonings behind the delay, only saying the process of distributing fund to claimants was delayed because of BP not putting money into it. He made no mention as to why the money wasn't being put in.

The knee-jerk reaction was to blame BP, but as the story unfolds, it appears to be something on the side of the Obama administration that is keeping individuals and businesses from receiving their money.

That's besides the outrageous moratorium on drilling in the Gulf of Mexico by the Obama administration, which is costing thousands of jobs in the region.

No comments: