Shell and BP UK offices raided in probe into petrol price fixing

BP and Shell are being investigated over allegations that they have fixed petrol prices for more than a decade.
European Commission investigators raided the offices of several major oil companies yesterday as they launched a far-reaching probe into price manipulation. They fear prices have been driven up at the pumps for millions of motorists. The AA responded to news of the swoop by declaring: ‘The lid is about to be blown off.’

Norwegian state oil firm Statoil is also under investigation. It said that ‘suspected violations may have been going on since 2002’. The probe relates to the process used by price reporting agency Platts, which publishes prices for crude oil, petroleum products and financial instruments linked to oil. Platts’ so-called Market On Close (MOC) method works by asking oil traders – some of whom work for major firms such as BP and Shell – to submit the prices they pay to buy and sell oil and other products.

[link to www.dailymail.co.uk]

Listened to a spokesman for petrol users campaign group, who said the corruption involved market traders and others, and this would be bigger than the LIBOR scandal.