Former top oil regulator alleges he was fired for refusing to enforce suspended law

A former top state oil regulator filed a lawsuit this week alleging he was effectively fired by the Newsom administration for objecting to orders in January that he implement a law that was about to be placed on hold because of an industry-funded voter referendum.

Former State Oil and Gas Supervisor Uduak-Joe Ntuk claims in the suit he was “forced and coerced to resign” nine days after filing a whistleblower complaint that also raised concerns about the legality of a plan to halt all new drilling permits statewide “without statutory authority or regulations.”

A spokesman for the governor referred questions about the lawsuit to the state Department of Conservation, where Ntuk worked as head of the California Geologic Energy Management Division. The agency said it had no record of any whistleblower complaint filed by Ntuk and that it does not comment on personnel issues.

Ntuk, a former engineer with Chevron whose oil-field moratoriums and other actions at CalGEM drew strong criticism from oil and gas producers, did not respond Tuesday to an email request for comment and a copy of the whistleblower complaint.

The suit filed Monday in Los Angeles Superior Court adds drama to the continuing fight over Senate Bill 1137, signed in September by Gov. Gavin Newsom. Pending the outcome of a ballot measure going before California voters in November 2024, SB 1137 would ban drilling within 3,200 feet of a home, school or other gathering place, unless the work is intended to maintain existing production.

Proximity to oil and gas wells has been associated with health problems such as adverse birth outcomes, heart disease and respiratory diseases including asthma.

The Newsom administration started work on the proposed buffer zones more than three years ago. When its administrative approach stalled, the governor worked in the waning days of the last legislative session to introduce a bill that would forbid well deepening and reworks, impose pollution controls on existing wells within the zone and restrict noise, light and dust while mandating new testing and paperwork.

After Newsom signed the bill into law Sept. 16, the industry gathered enough signatures to put it before voters, even as environmental justice groups accused the campaign of misleading people into signing the required paperwork.

Meanwhile, a coalition of environmental activists began meeting privately with senior state officials to express concerns about a jump in CalGEM permits for oil-field work within the buffer zone outlined in SB 1137. The group urged the state to slow down permitting within the proposed zones, despite the fact the law had not yet taken effect.

Contrasting reactions greeted the news of Ntuk’s departure in mid-January, with the industry calling it a political outcome and environmental justice advocates celebrating and taking credit for his exit.

Monday’s lawsuit alleges wrongful termination, violation of the state labor code, violation of California’s Whistleblower Protection Act, failure to prevent retaliation, retaliation itself and “constructive termination” as a result of Ntuk allegedly being forced to step down.

The suit says that, despite the California Secretary of State’s imminent verification of the voter referendum, Ntuk “was directed by the governor’s office to continue to implement SB 1137 even after qualifying for the November 2024 ballot.”

It adds that Ntuk “felt that he did not have the legal nor constitutional authority” to halt all oil well drilling permits statewide. It goes on to say Ntuk was told to use the referendum’s verification process as rationale to stop issuing permits.

“However,” the complaint states, “Mr. Ntuk felt that he did not have the legal authority to do so and believed it was unconstitutional.”

No individuals were named as defendants in Ntuk’s suit, only the “state of California,” with specific people to be named later.

Ntuk was appointed following a scandal 10 months into the Newsom administration. His predecessor was fired over disclosures of a spike in permits for the well-completion practice known as fracking and accusations that senior state oil regulators owned stock in oil companies.

The job of state oil and gas supervisor has long been a politically sensitive position. In 2011, under pressure by the industry and senior Kern elected officials decrying a slowdown in oilfield permitting, former Gov. Jerry Brown removed an attorney appointed to the job by former Gov. Arnold Schwarzenegger.