ExxonMobil and Lobbyist Face Scrutiny Over Cyber Espionage

Zacks11-29

Exxon Mobil Corporation XOM is under scrutiny as the FBI investigates a consultant linked to the company for alleged involvement in a hack-and-leak operation targeting environmental activists, per a ...

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The alleged scheme, which began in 2015, involved mercenary hackers breaching email accounts of environmentalists, whose data was later leaked to disrupt lawsuits against ExxonMobil and other energy companies.According to the report, the hacking targets were compiled by the DCI Group, a lobbying firm working for ExxonMobil at that time. The firm allegedly provided the names to an Israeli private investigator, Amit Forlit, who outsourced the hacking to other operatives. Leaked materials were reportedly shared with ExxonMobil before being disseminated to the media.ExxonMobil denies any involvement or awareness of hacking activities, dismissing the allegations as \"conspiracy theories.\" DCI Group stated its commitment to legal compliance. 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The alleged scheme, which began in 2015, involved mercenary hackers breaching email accounts of environmentalists, whose data was later leaked to disrupt lawsuits against ExxonMobil and other energy companies.\nAccording to the report, the hacking targets were compiled by the DCI Group, a lobbying firm working for ExxonMobil at that time. The firm allegedly provided the names to an Israeli private investigator, Amit Forlit, who outsourced the hacking to other operatives. Leaked materials were reportedly shared with ExxonMobil before being disseminated to the media.\nThe hacking operation, code-named \"Fox Hunt,\" reportedly interfered with environmentalists’ legal strategies, including lawsuits modeled after the tobacco industry's settlements in the 1990s. These suits accuse ExxonMobil of misleading the public about climate change risks. Leaked documents continue to influence litigation, with some being used as recently as April 2024 in a Supreme Court filing by an industry trade group.\nExxonMobil denies any involvement or awareness of hacking activities, dismissing the allegations as \"conspiracy theories.\" DCI Group stated its commitment to legal compliance. The two entities ended their relationship in 2020.\nThe case highlights concerns over cyberespionage’s impact on judicial proceedings. U.S. authorities have linked the hacking to efforts to discredit individuals tied to climate change litigation. While investigations into Forlit and others are ongoing, one of his associates has already been convicted on related charges per the Reuters report.\nThe leaked materials reportedly fueled a legal counteroffensive, with critics alleging they were used to suppress opposition and stifle activism. Environmental advocates and attorneys targeted by the operation describe its chilling effect on constitutional rights and the broader fight against climate change.\nThe ongoing FBI investigation sheds light on the potential misuse of cyber tactics to influence public and legal discourse. While ExxonMobil and its former affiliates deny wrongdoing, the controversy highlights the high stakes in the battle between the fossil fuel industry and environmental advocates.\nXOM’s Zacks Rank & Key Picks\nExxonMobil currently carries a Zack Rank #3 (Hold).\nInvestors interested in the energy sector may look at some better-ranked stocks like Smart Sand, Inc. SND, FuelCell Energy FCEL and Nine Energy Service NINE, each presently carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.\nSmart Sand is a low-cost producer of high-quality Northern White frac sand, an ideal proppant for hydraulic fracturing and various industrial applications. The company provides proppant and other logistics services for several companies in the oil and gas industry. With sustained oil and gas market demand, SND is expected to see growing demand for its services, reflecting a positive outlook.\nFuelCell Energy is a clean energy company offering low-carbon energy solutions. It produces power using flexible fuel sources such as biogas, natural gas and hydrogen. The company designs fuel cells that generate electricity through an electrochemical process that combines fuel with air, thereby reducing carbon emissions and minimizing the environmental impact of power generation. As such, FCEL is anticipated to play a crucial role in the energy transition by enabling industries and communities to shift from traditional fossil fuels to low-carbon alternatives.\nNine Energy Service provides onshore completion and production services for unconventional oil and gas resource development. The company operates across key prolific basins in the United States, including the Permian, Eagle Ford, MidCon, Barnett, Bakken, Rockies, Marcellus and Utica, as well as throughout Canada. With a sustained demand for oil and gas in the future, the demand for NINE’s services is anticipated to increase, which should position it for growth in the long run.\nWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report\nExxon Mobil Corporation (XOM) : Free Stock Analysis Report\nFuelCell Energy, Inc. (FCEL) : Free Stock Analysis Report\nSmart Sand (SND) : Free Stock Analysis Report\nNine Energy Service, Inc. (NINE) : Free Stock Analysis Report\nTo read this article on Zacks.com click here.\nZacks Investment Research","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"-1","news_tag":"policyRegulatory","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2487541015"}