CHERCHEZ LA TUITION
From today’s Bloomberg.com :
In the mid-1990s, long before oil prices topped $60 a barrel, U.S. companies sought access to Kazakhstan, a Central Asian nation that the U.S. State Department says will be among the world's top 10 producers of crude by 2015.
First, they had to win approval from Jim Giffen, a New York investment banker who became an official in Kazakhstan's government and held sway over its energy deals.
"You couldn't go to a Kazakh minister, particularly if you were an American company, without going through Giffen," says Ed Chow, who managed external affairs at Chevron Overseas Petroleum Ltd., a unit of San Ramon, California-based Chevron Corp.
Chevron, the second-largest U.S. oil company, avoided Giffen by arriving in the country before he amassed power, says Chow, 55, who's now an oil and gas consultant in Leesburg, Virginia. Others couldn't.
Now, federal prosecutors say Giffen, 64, cemented his power by bribing Kazakh leaders with $84 million that Amoco Corp., Mobil Oil Co., Phillips Petroleum Co. and Texaco Inc. paid to win access to Kazakh fields. In January, Giffen goes on trial in federal district court in New York in one of the largest overseas criminal bribery cases ever.
…Giffen lavished gifts on the Kazakhs, prosecutors say: [President] Nazarbayev got two snowmobiles, an $80,000 Donzi speedboat and his daughter's tuition at George Washington University in Washington, then $22,625 a year.
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