Forbes/AFX News Limited: Dutch pension funds sue Shell for 'hundreds of millions of dollars' UPDATE: “ABP said it asking for 150 mln usd in compensation for damages sustained as a consequence of Shell's actions, saying that between 1997 and 2003 the company gave false information over its reserves.”: Monday 9 January 2006
AMSTERDAM (AFX) - A group of 26 Dutch pension funds are demanding 'hundreds of millions of dollars' from Royal Dutch Shell as financial compensation for the oil group overstating its reserves in 2004, according to their lawyers.
The funds have taken their case to a New Jersey court, a lawyer from the firm Grant & Eisenhofer said.
ABP, the pension fund of the Dutch government and the educational sector, is leading the action.
Royal Dutch Shell spokesperson Henk Bonder confirmed that ABP is taking the oil group to court.
ABP said it asking for 150 mln usd in compensation for damages sustained as a consequence of Shell's actions, saying that between 1997 and 2003 the company gave false information over its reserves.
The Shell spokesman said ABP was one of a number of organisations that has already launched a class action suit over this issue in the US.
However, since European investors may be excluded from the suit for technical reasons, the fund has also launched a separate action with other Dutch investors.
The spokesman declined to comment on any financial aspect of the lawsuit.
'We do not know how this amount (of hundreds of millions of dollars) has been reached. Shell contests ABP's claim and will vigorously defend itself against this action,' Bonder said.
(updated with name of pension fund leading lawsuit, comments from that pension fund and comments from Shell spokesman)
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ShellNews.net: The relevant court document can be viewed via this link: http://www.gelaw.com/royaldutchshell.html (select "Complaint (filed copy).PDF")
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