Susumo Azano Weighs In on Sempra Liquefied Natural Gas Land Ownership Dispute

SAN DIEGO, CA, April 01, 2014 (Press-News.org) Sempra Energy, a San Diego-based natural gas holder, has been caught up in legal issues for the past several years, both in California and Mexico, and security advocates such as Susumo Azano are making eyes are kept on any developing cases. One of the biggest issues that Sempra has recently encountered involves a land dispute regarding one of its Mexican-based plants.

Susumo points to an article that reviews a Mexican judge's decision that the land upon which Sempra's Liquefied Natural Gas Plant was built actually belongs to a local rancher. While authorities have called for the plant to cease operations, Sempra has argued that shutting down this unit could significantly harm business.

According to the article, the Agrarian Tribunal of Baja California has declared that the government wrongly issued the land title to Sempra Energy for use as foundation of its liquefied natural gas unit. The land actually belongs to a local rancher named Ramon Eugenio Sanchez Ritchie; however, a phony title was awarded to Sempra just over eight years ago. Sanchez Ritchie filed a case in a San Diego federal court in 2010, and in January of 2014, the Federal Judge, in the Southern District of California, Cathy Bencivengo, ruled after years of motions and delays by Sempra, that the case must move forward. The case in now in the discovery stage scheduled to conclude in July 2014.

Taking the land away from Sempra/IEnova could have a negative impact on business. Susumo Azano says the company offered 189,661,305 Shares at a price of Ps.34.00 per Share. According to their Offering Circular dated in March 21, 2013 by offering the stock in its Mexican operations. In its offering and placement, Sempra made sure to add a warning that indicated that the company was engaged in disputes regarding its title to claim the property, however, the company omitted the fact that the Mexican Agrarian Tribunal, had ruled 2 months prior to the stock offering that in 2012, Ramon Eugenio Sanchez Ritchie, was the legitimate owner of the property.

The statement went on to say that in the event Sempra was unable to defend and retain the title of the property on which the liquefied natural gas plant was located, it would lose the rights to occupy and use the property for its operations. This would then lead to breaches of one or more of its permits or contracts that the company has entered into with respect to the plant. If Sempra is deemed unable to occupy and use the property and the plant, there could be an adverse effect on the business, financial conditions, operational results, cash flows, prospects, and its shares' market prices.

Susumo Azano explains how this ordeal came about after other allegations arose regarding Sempra's suspicious operations. San Diego attorney Gary Aguirre is currently representing a whistleblower civil suit related to Sempra's activities in Mexico.

"Sempra Energy has been in hot water for quite some time now," says Susumo Azano. "They are dealing with allegations of bribery, corruption, fraud, and a handful of other matters. Now they are faced with title issues and could face severe legal implications along with financial issues."

Susumo Azano hopes to see the justice system finally prosecute Sempra Energy and its liquefied natural gas unit for their suspicious business operations over the years.

ABOUT:

Susumo Azano, founder and leader of STDi, manages one of the largest Homeland Security business developers in Latin America. His company specializes in providing security tracking devices for cargo vehicles, and wireless network solutions for government and telecommunication agencies.