BakerHostetler Client AEG Says No License Needed for Contracted Work

BakerHostetler client Associated Energy Group LLC (AEG) has stated that it does not need a local petroleum activities license to carry out work under a disputed fuel supply deal for a U.S. military base in Djibouti. Having the license is a government requirement for fuel suppliers, but AEG alleges that it would have to effectively bribe Djibouti officials in order to obtain it. AEG also says that doing so would violate U.S. law, so by requiring the license, the Defense Logistics Agency had effectively made the disputed contract an improper de facto sole-source deal for a company favored by the Djibouti government, which already has a license.

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