© 2021 MICHIGAN RADIO
91.7 Ann Arbor/Detroit 104.1 Grand Rapids 91.3 Port Huron 89.7 Lansing 91.1 Flint
Play Live Radio
Next Up:
0:00
0:00
Available On Air Stations

Schuette turns up the heat on energy company with criminal charges

Attorney General Bill Schuette
(courtesy Michigan Attorney General's office)
/
Michigan Attorney General Bill Schuette

 

The state says Chesapeake Energy signed lease agreements with eight landowners, assuring them that mortgages on the property would not be a problem.  The options shut out competitors from buying leases. The allegations say Chesapeake then used the mortgages as a pretext to cancel the contracts.

Chesapeake is the nation’s second-largest producer of natural gas. In a statement, the company says the charges are “without merit,” and will fight them in court.

Chesapeake is also facing a separate criminal lawsuit in Michigan. It alleges the company was part of a collusion scheme to keep down the cost of leases up for auction. The other company that was charged has pleaded no contest.