Transocean Will Make $270 Million from Insurance Payout on Destroyed Oil Rig

The rig that blew up was over-insured by $270 million. Fascinating coincidence!

Hmm. Did BP hold dead peasant insurance on the rig workers who died?

Eighteen Democratic senators have asked the Justice Department to investigate the operator of the Deepwater Horizon offshore drilling rig after the company announced it would dole out $1 billion to shareholders as oil continues to pour into the Gulf of Mexico.

Transocean, according to the letter from the senators, plans to distribute dividends to its stockholders. And the senators are concerned that the payments might make it harder to collect liability payouts related to the massive oil spill.

Transocean, according to the letter, also says it will make a $270 million profit on the insurance policy for the rig. And the senators claim the rig was insured for more than it was worth.