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Texaco chief apologizes
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November 6, 1996: 8:40 p.m. ET
Company suspends employees who made racist comments
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NEW YORK (CNNfn) - Texaco Inc. Chairman Peter Bijur issued a personal apology Wednesday for racist remarks allegedly made by present and former employees.
The company's chief expressed outrage after listening to the tapes. (189K WAV) or (189K AIFF)
He also suspended two current employees and reduced the insurance and financial benefits of two retirees who were reportedly involved in a plan to destroy documents related to a discrimination lawsuit brought against Texaco. Bijur said other penalties will be brought if an investigation shows laws were violated.
Audiotapes recorded in 1994 in which the Texaco executives discussed destroying evidence and racist terms to belittle black employees became public in a discrimination lawsuit seeking sanctions against Texaco.
Texaco said the suspended employees were Peter Meade, assistant general manager in the fuel and marine marketing department and David Keough, chief financial officer for a Texaco subsidiary.
The former employees whose benefits were cut off were former Treasurer Robert Ulrich and Richard Lundwell, senior coordinator of personnel services in Texaco's finance department.
Lundwell, who gave the tapes to the plaintiff's lawyers in the discrimination suit, lost his job in August as part of job cuts by Texaco. Ulrich retired in March 1995.
Bijur said Meade and Keough had been suspended immediately with pay and that the medical, insurance and financial benefits of Ulrich and Lundwell had also been suspended.
The chairman also said the company would implement a six-point plan aimed at reinforcing the company's code of conduct and existing policies. Employees will also have to attend workshops and seminars that stress tolerance and avoiding discrimination.
Senior Texaco executives will also be required to visit all company locations and apologize for the embarrassment the tapes have caused.
Attorney Daniel Berger, who represents black employees who sued Texaco in 1994 for alleged racial discrimination, said Tuesday he had been told that the U.S. Attorney for the Southern District of New York had started a criminal investigation into whether executives planned to destroy documents sought by his clients. 
Staff and wires contributed to this report
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