Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

BP deposits $3 billion into claims fund

By Terry Frieden, CNN Senior Producer


WASHINGTON (CNN) -- The Justice Department announced Monday that the details have been completed for establishing a $20 billion escrow account that BP has promised to fund.

The money will pay for claims to those who suffered from the effects of the Gulf Coast oil spill.

After BP (BP) announced it had made a $3 billion deposit into the account, Associate Attorney General Tom Perrelli issued a statement confirming the action.

"We are pleased that BP made an initial contribution and has taken an important step toward honoring its commitment to the President and the residents and business owners in the Gulf region," Perrelli said.

Perrelli led the Justice Department team that negotiated the agreement with BP to establish the fund to pay "legitimate" claims. To top of page

Index Last Change % Change
Dow 20,981.33 6.24 0.03%
Nasdaq 6,048.94 23.71 0.39%
S&P 500 2,388.77 1.32 0.06%
Treasuries 2.30 -0.01 -0.65%
Data as of 10:52pm ET
Company Price Change % Change
Bank of America Corp... 23.65 -0.24 -1.00%
Chesapeake Energy Co... 5.29 -0.18 -3.29%
Ford Motor Co 11.47 -0.13 -1.12%
Intel Corp 37.43 0.50 1.35%
Comcast Corp 39.59 0.80 2.06%
Data as of 4:15pm ET
Sponsors

Sections

In an earnings release Thursday, Starbucks noted that 29% of its sales came from orders that were prepaid online or through its mobile app. More

A top House lawmaker said Thursday he expects to advance his bill to eliminate the 2010 Dodd-Frank financial reform law in the House, despite any legislative fights. More