Business

Shell pays state $4 million to settle gas station clean up overcharges

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Shell Oil co will pay the state $4 million to resolve allegations that it improperly took money from a fund to help clean up environmentally contaminated gas stations, Massachusetts Attorney General Martha Coakley said Thursday.

The settlement is the largest one to come from an investigation over whether oil companies made false statements and wrongly took state money to clean up leaks from underground storage tanks. The investigation has won the state $7.9 million in settlements.

Shell tapped into the state’s Underground Storage Tank Petroleum Product Cleanup Fund even though it received insurance payments to cover the cost of cleaning contamination at its gas stations. Shell will pay the state $2 million and pay back the fund more than $1.9 million.

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