BY CLIFFORD KRAUSS
Since losing a $19 billion judgment in an Ecuadorean court three years ago, Chevron has drawn the condemnation of human rights and environmental activists by refusing to pay anything in fines or accept blame for polluting the Ecuadorean rain forest.
The award against Chevron was one of the largest judgments ever imposed by a court for environmental pollution, and it appeared to pit a mighty corporate Goliath against powerless peasants and the principal lawyer who represented them, Steven R. Donziger, as a brave David.
But on Tuesday, Chevron won a major victory. A federal judge in Manhattan ruled that a two-decade legal effort to punish the company was marred by fraud and corruption, making it increasingly likely that the oil company would be ultimately successful in beating back the legal and financial challenge.