Not So Free After All

It turns out, according to an AP report, that the members of Congress pushing hardest to slow or scuttle CNOOC Ltd.’s attempt to buy California-based Unocal also received significant and timely campaign contributions from Chevron.

Some of my letter writers would clearly say that is what is necessary when one fights a state-owned business. Sometimes the government is needed to “level the playing field.” Bah! What it really means is we’ll never know how Unocal’s board would have decided without these looming threats from the US gummint.

HOUSTON (AP) — Three leaders in the congressional campaign to discourage Chinese oil company CNOOC Ltd.’s acquisition of Unocal Corp. accepted campaign contributions from rival suitor Chevron Corp. in recent weeks, according to reports filed with the Federal Election Commission.

The lawmakers — Rep. Richard Pombo, R-Calif., Sen. Kent Conrad, D-N.D., and Sen. James Inhofe, R-Okla. — have been among the most vocal on Capitol Hill in criticizing CNOOC’s proposed deal as anticompetitive and a threat to national security. The perception that Congress could delay or spike a CNOOC deal is viewed as a major factor in Unocal’s decision to stick with Chevron despite its lower bid.

All three donations were disbursed by Chevron on June 29, about a week after CNOOC announced its bid, according to Chevron’s June report to the FEC. Pombo received a contribution of $2,000, while Conrad and Inhofe each received $1,000.

Pombo — who represents San Ramon, Calif., where Chevron is based — has received $21,500 from Chevron since 1989, according to the Center for Responsive Politics.

Spokesmen for the three lawmakers said they haven’t worked with Chevron on the issue. They said the lawmakers’ criticism of CNOOC’s proposal reflects long-standing concerns about China, and isn’t tied to campaign donations.

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10:01 am on July 22, 2005