Prosecutors in PG&E case abruptly reduce potential fines
Prosecutors in the pipeline-safety trial of Pacific Gas and Electric Co. abruptly dropped their request Tuesday for potential penalties against PG&E based on the company’s cost savings from safety shortcuts, reducing the maximum potential fine from $562 million to $6 million.
PG&E, California’s largest utility, is charged with 11 felony violations of federal laws requiring gas pipeline operators to inspect their lines for serious risks, to test or replace endangered lines, and to maintain accurate records.
Before Tuesday’s filing, prosecutors had been seeking additional fines equal to twice the company’s savings from any safety violations found by the jury, under a federal law allowing such penalties.