Schumer, Democrats urge Justice Department to prosecute alleged oil industry collusion, price-fixing

WASHINGTON (AP) — Senate Majority Leader Chuck Schumer and 22 other Democratic senators are calling on the Department of Justice to “use every tool” at its disposal to prevent and prosecute alleged collusion and price-fixing in the oil industry.

In a letter Thursday to Attorney General Merrick Garland and other officials, the Democrats said a recent Federal Trade Commission investigation into a high-profile merger uncovered evidence of price-fixing by oil executives that led to higher energy costs for American families and businesses.

The FTC said earlier this month that Scott Sheffield, the former CEO of Pioneer Natural Resources, colluded with OPEC and OPEC+ to potentially raise crude oil prices. Sheffield retired from the company in 2016 but returned as CEO in 2019. After retiring again in 2023, he continued to serve on its board.

The FTC cleared Exxon Mobil’s $60 billion deal to buy Pioneer on May 2 but barred Sheffield from joining the new company’s board of directors. Pioneer, which is based in Dallas, said it disagreed with the allegations but would not impede closing of the merger, which was announced in 2023.

<bsp-list-loadmore data-module="" class=«PageListStandardB» data-gtm-region=«READ MORE» data-gtm-topic=«No Value» data-gtm-modulestyle=«List B»> <bsp-custom-headline custom-headline=«div»> READ MORE </bsp-custom-headline> <bsp-custom-headline custom-headline=«div»> Exxon Mobil deal with Pioneer gets FTC nod, but former Pioneer CEO Scott Sheffield barred from board </bsp-custom-headline> <bsp-custom-headline custom-headline=«div»> OPEC+ production cuts deepen with extensions from Saudi Arabia, Russia and other oil giants </bsp-custom-headline> <bsp-custom-headline custom-headline=«div»> Exxon Mobil deal with