In connection with the trading of energy futures, the state alleges that the company illegally manipulated the price of gasoline and other petroleum [image-nocss] products from 2002 until today by acquiring and hoarding short-term supplies of gasoline and crude oil.
The state alleges that BP bought up supply at the New York Harbor gasoline hub, which is where prices for the product and futures contracts are set nationally. The same allegation applies to the crude oil marketing hub in Cushing, Okla., which serves as the price point for light, sweet crude oil.
"We allege this scheme caused gasoline to unnaturally spike by as much as 18 cents per gallon during certain times over the last several years," Edmondson said. "Since gas prices are directly impacted by the price of oil, BP's alleged manipulation of both commodities was a double punch for consumers."
The suit names London-based BP America and subsidiaries BP Corp. North America and BP Products North America.
BP spokesperson Scott Dean told CSP Daily News that the company has no comment.
The case is similar to a one filed late last month in Oklahoma County District Court alleging BP instituted a similar scheme to manipulate the propane market. Because of the complexities of commodities and futures law, the state is consulting with legal experts in that field regarding these lawsuits, it said.
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