Minnesota Sues BP for $25M for Cleanup of Leaky Tanks

Minnesota is suing British Petroleum for $25 million, alleging the company double dipped when it sought state funds on top of insurance payments to clean up contamination from leaking petroleum storage tanks.

The Department of Commerce and Minnesota’s Petrofund Board filed the suit Monday.

It alleges that from 1988 to 2012, BP received hundreds of millions of dollars in insurance claims to clean up polluted properties statewide. It alleges BP received $25 million from the Petrofund for those same sites.

Before seeking state funds, Petrofund applicants must disclose whether they have insurance, and whether it covers environmental damages. The suit says BP made misrepresentations about its insurance.

BP says it acted in good faith and plans to defend itself against the allegations.

The Petrofund helps applicants cover some costs of cleaning up pollution.