(MEBG) – A U.S. Senate panel has given its approval to a proposed a bill that would enable the U.S. government to bring antitrust lawsuits against Opec.
Current U.S. antitrust law does not permit action against the Organization of Petroleum Exporting Countries because a decision by the cartel to restrict supply is considered a governmental not commercial action. But that may not be the case if the new "no oil producing and exporting cartels act" (NOPEC) becomes law, which is a real possibility now that it has passed the hurdle of the Senate judiciary committee's subcommittee on antitrust, business rights and competition.
NOPEC would enable the U.S. government to bring antitrust action against foreign states engaging in anticompetitive conduct with regard to oil and other petroleum products, and give U.S. federal district courts jurisdiction over such cases.
OPEC President Ali Rodriguez is set to accompany Venezuelan President Hugo Chavez on a tour of Opec member countries next month, with the aim of inviting the Opec heads of state to a Caracas summit in September. Sources say that proposed the U.S. law will take a major place in their discussions of Opec.
Rodriguez and Chavez will leave Venezuela on August 7 and return home on August 15.
© 2000 Mena Report (www.menareport.com)
