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A recent University of Texas study, which claims to prove that the
natural gas extraction process known as fracking does not cause
environmental damage or water contamination, was led by a gas industry
insider who currently holds up to $1.6 million in stock at a large
fracking company. The information was revealed in a new expose released
by the Public Accountability Initiative (PAI).

The 400-page pro-fracking review in question was led by author Charles Groat of the University of Texas. Neither Groat nor the University openly reported that Groat himself is on the board of a fracking company, Plains Exploration and Production Company.

As a board member, Groat receives 10,000 shares of restricted stock a year. His holdings as of July 19th were worth $1.6 million. He also receives an annual fee, which was $58,500 in 2011, according to filings.

Groat did not reveal his position with the company when the report was released and told reporters that the university had turned down all industry funds for the study.

Groat’s report, Fact-based Regulation for Environmental Protection in Shale Gas Development, said that it separated “fact from fiction” and gave policy makers a way forward in a major natural gas boom. The study was reported widely by major news outlets.