Before Bakken Well Violation, A $22M Fraud Case in the Texas Oil Patch

"A little-known company called Halek Operating ND LLC is facing the largest fine North Dakota has ever levied against an oil and gas producer -- $1.5 million -- for jeopardizing drinking water near Dickinson."

"But even before the company drilled its first well in North Dakota, federal officials say the man behind it had swindled $22 million out of 300 investors in a Texas oil and gas project.

The odd facts of the case show that the state officials overseeing the nation's oil and gas boom might need to look beyond promoting development and monitoring groundwater and keep their eyes open for plain old fraud."

Mike Soraghan reports for EnergyWire August 14, 2013.

Source: EnergyWire, 08/15/2013