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The chief executive of BP resigned yesterday after a judge found that he had lied to a court about his gay relationship with a 27-year-old student.
Lord Browne of Madingley, who was ennobled by Tony Blair, quit after the House of Lords rejected his attempt to keep secret their relationship and allegations that he had misused company resources.
The businessman will lose up to £15.5 million in cash and shares by stepping down three months earlier than planned.
Lord Browne was forced to resign after court documents showed that he had:
— Lied to the High Court about how he met his former lover, Jeff Chevalier, whom he said he had met while “exercising in Battersea Park”;
— Used BP resources and staff to set up a company for his boyfriend;
— Attempted to “trash” the reputation of Mr Chevalier in court by claiming that he was a drug user and alcoholic;
— Allegedly told Mr Chevalier details about his discussions on BP’s strategy with Mr Blair and Gordon Brown
The documents give details of a series of meetings which Lord Browne, 59, allegedly had with the Prime Minister, the Chancellor and Peter Mandelson, the European Trade Commissioner.
Mr Chevalier, 27, claimed that these involved discussions about the prospect of BP taking an “important strategic decision”. The Chancellor also allegedly opposed a “scheme for the benefit of BP’s customers”. Mr Blair is also believed to have asked Lord Browne how much each could expect to earn in the City after the Prime Minister’s expected resignation next week.
Lord Browne said yesterday that the allegations against him were “full of misleading and erroneous claims”. “I have always regarded my sexuality as a personal matter, to be kept private. My initial witness statements, however, contained an untruthful account about how I first met Jeff. This is a matter of deep regret . . . It was retracted and corrected.”
Mr Chevalier, a student from Toronto, claimed that Lord Browne had used BP staff and resources to set up a company for him trading in mobile ring tones. Lord Browne was a director of the company. The Times has discovered that David Allen, BP’s group chief of staff and group managing director, was also a director.
Lord Browne took Mr Chevalier on holiday, bought him clothes and paid for his luxury accommodation. The businessman also made “substantial payments” to his lover during their relationship and paid for him to study economics and business at the University of Westminster so that he could stay on in Britain with a student visa.
The relationship ended early last year and Mr Chevalier claimed that his former partner reneged on a promise to help him adjust from his multi-millionaire lifestyle.
Lord Browne resigned six hours after the House of Lords rejected his attempt to prevent The Mail on Sundayfrom reporting the details of his four-year relationship with Mr Chevalier.
The Times has learnt that Lord Browne will also lose his position as a director of Goldman Sachs, the world’s leading investment bank. A senior source said his role as the $500,000-a-year head of its audit committee was “untenable”.
Lord Browne said yesterday that the allegations against him were misleading and erroneous. “I deny categorically any allegations of improper conduct relating to BP. The company has confirmed today that it has found no such wrongdoing.”
Mr Justice Eady, in a High Court judgment, said that although Lord Browne had apologised he was not prepared to make allowances for a “white lie” told to the court.
He said that Lord Browne had used the “various honours he has received under the present Government, when asking the court to prefer his account of what took place”.
Mr Justice Eady said that Lord Browne’s assertion that Mr Chevalier was an alcoholic “seems largely to have been based on an inference he drew when his butler told him that his wine stocks were diminishing”.
The judge said he would not be reporting Lord Browne’s lie to the Attorney-General because “it is probably sufficient penalty that the claimant’s behaviour has had to be mentioned in this judgment”.
However, Associated Newspapers, publishers of The Mail on Sunday, said it would make the court papers available to the Attorney-General.
Peter Sutherland, chairman of BP, said a review of the allegations of misusing company assets and resources were “unfounded or insubstantive”.
He added: “It is a tragedy that he [Lord Browne] should be compelled by his sense of honour to resign in these painful circumstances.”
Lord Browne was knighted in 1998 and made a life peer in 2001. He is on first-name terms with many leading figures in the Labour Party and his closeness to the Government has led to critics referring to BP as “Blair Petroleum”.
He announced his retirement in January a week after The Mail on Sunday contacted the oil giant with allegations about the relationship with Mr Chevalier.
Lord Browne, who has always been fiercely protective about his private life, had sought the injunction preventing reporting of the claims on the basis that they were a breach of a confidence and a breach of privacy and that he had the right to a private life and freedom of expression under the European Convention on Human Rights.

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The two pertinent facts are that Lord Browne misused BP's funds and resources, and that he lied under oath.
The former is tantamount to theft and fraud. It indicates a real weakness in the governance of large corporations; it's too easy for powerful chairmen to get all sorts of personal whims and fancies fulfilled using the shareholders' funds, and to conceal what they are doing. BP's auditors ought to be in the dock, too. What is needed is reform to introduce independent auditors with teeth.
The latter is no more than one would expect from a New labour crony, but it is not fitting behaviour for someone who aspires to a position of responsibility in public life.
Chris Adams, Llangollen, Wales
I'm a little surprised that anyone cares a hoot.
I really thought that this sort of thing had faded into history, who gives a damn what consenting adults get up to.
the young person was not a child he was an intelegent adult and does not need the protection of the law in tehis way.
Mr Brown should not have lied of course and his work as an auditor was compromised by that. but frankly it all looks like a storm in a tea cup.
Mike, Porthmadog,
what is does say is that it is about time people in all walks of life were proud of their sexuality. If they were out and proud then there would be no such sculduggery going on
Be honest to the world and they'll always respect you.
rod kemp, london,
Most people seem to forget that Mr. Browne "used" the boy half his age for 4 years. The boy came out of that relationship at a disadvantage- at, 27, he wasn't as marketable as when they begun. Obviously, Browne got so much from that relationship because he wouldn't have "kept" him that long. There's no telling how many of his spectacular business decisions were inspired by the well-being brought about by his love. How many millions more entered the coffers of BP generated by the inspiration?
I say, Browne was too stingy. He could have parted a million to the boy & he wouldn't have lost more later.
Edgar, manila, philippines
You're right, Gern, in a way. But would the man have had to resign if he'd lied about a straight lover?
starling, Lancaster,
It is absolutely astounding that in 2007 a greedy ex (apparently) rent boy's gossip can flaw a man who has added so much to the national economy. I'm not surprised Lord Browne wanted to keep private how he met this character, but neither do I condem it. In fact it is nothing to do with me nor the newspaper reading public. What does irk me is that an honourable and sucessful man has had to go through all this embarrassment of purient tittle tattle about his private life, and a pay-by-the-hour past his sell-by-date joy boy has managed to cash in on this matter. It appears Lord Browne was more than generous, and the only complaint the man Chevalier had was that he no longer was able to enjoy the success Browne earnt and which he, Chevalier, could never and would never aspire to. One can only wish Lord Browne the best for the future and counsel him that his is well rid of this brassy companion.
Andrew Corbett-Nolan, London,
In response to Philip below, at what point has it been stated Lord Browne used BP funds? It refers to BP 'resources' whicha re not necessarily funds. Who can honestly say they have never used the company photocopier, telephone or IT expert for advice on personal matters.
This is yet again a case of the Mail using a very thin and weak public interest story to vilify someone who is gay. The listing of items Browne did not want revealed all come with the territory of a job at the top of a multinational Corporation. I wonder if the Mail would have been so keen to publish if they had been approached by an ex-wife. Other faults lead from trying to prevent that publication.
Lord Browne appears to have been a caring and helpful individual towards his ex. Big Picture, he did a great job for BP even taking into account recent events. A very sad and unnecessary end to an illustrious career.
Paul M, London,
Has anyone thought what it was like for Lord Browne to work in the most macho industry there is? Oil Exploration? He must have been an exceptional leader to work his way to the top of BP through the 60s 70s& 80s until he got there in the 90s, for his bosses to overlook his sexualilty.
In the 1980s a woman working for BP of child-bearing age had to be 3 times better than a man to win a promotion, and not allowed to take the redundancy package available to all who applied, if all you were going to do was go & start a family. I know I was there. Think what it was like for a gay man.
When exactly could Lord Browne have come out? When he had reached the top and started negotiating with Arabs and Texans? Neither are particularly sympathetic to homosexuality.
He was wrong to lie to the court & for that he has had his financial come uppance & there is likely to be a perjury trial. But his managerial decisions over the years have contributed much to the size of many pension funds.
Natalie, Northants, UK
these sanctimonious comments sound typical of people who have never been placed in a difficult situation in their lives. The truth is that Lord Browne has served BP well at the highest level with excellence and loyalty for years. He could never have 'come out' when he joined 40 years ago. He would have had to have kept his private life secret. He has now had the latter part of his career destroyed for no good reason other than salacious tabloid gossip and a small lie that he told about how he met someone. He was not a politician but a business man.
What has happened to him is an absolute disgrace. Typical behaviour of the so-called 'family values' (puhlease) gutter press that seems to want all homosexuals to be consigned to jobs as window dressers or to be put in positions where their careers are destroyed.
David, Brussels,
When a person is engaged in a sexual relationship their blood rushes to a place just below their waist and the person becmes brain dead. Lord Brown suffered from these symptoms and his conduct was irrational. He is a man in dishonour and we should show him compassion.
Signed
fellowmortal
H,Greenwood, Vancouver,BC, Canada
I wish he had not resigned. I think we expect too much (and too little humanity) of great leaders. How thoroughly grotty that he used, then kept, a whore. But I greatly admire what Browne has done with BP. He has played a great part in making it possible--indeed normal--for oil companies to pretend that they worry about climate change. A pretence which has begun to re-shape reality. For that we all owe him a great deal..
Tim Baigent, Wellington, New Zealand
"Be SURE your sins will find U out!" as the Good Book says. True, whether they be lies, misappropriations, homo- or heterosexual immoralities, whatever. He's just lucky they did not get AIDS, yet anyhow. But there's still a more utlimtate, final judgement yet to come. Will either of these "guys" be ready? RU?
Masih Isa Ai, London,
a sad end to a remarkable career of one of the best business strategy implementers in british business today.
abraham, bsb, brunei
'Lord' Archer served time in pokey for Perjury.......
Browne typifies the type of overblown corporate ego that thinks they can behave however they like, glibly lie to the High Court and get away with it.
His 'lost' millions are a drop in the ocean.
SHAME HIM, STRIP HIM OF HIS HONOURS AND SEND HIM DOWN!
PHILIP, ONTARIO, CANADA
Lord Browne's resignation must be a serious blow for Messers Blair and Brown: that's another post-governmental job denied them both. Life's tough at the top when you've got a record of incompetence and maladministration.
Of course, if they had not had to rely so much on spin to cover their tracks of maladministration then they wouldn't need to groom industries' high-flyers as a future safety net!
Maxadolf, Epsom, UK
Regardless of whether someone is a homophobe or not, have we forgotten one little detail about this whole sordid affair? Lord Browne lied. End of story folks. I don't care if he was engaged with a purple people hetrophobe alien, the fact is Lord Browne lied and that in itself has consequences.
Gern Blanstein, London,
I'm not sure Lord Archer lost his peerage.,
moses, dawlish,
If you lie in court, this is what happens. It is perfectly just.
Crispin, London, UK
i believe it is correct that lord browne resigned yesterday and further that he should be stripped of all titles and the case should be considered further for possible criminal action against him. one has to be consistent in the public eye so why should browne be treated differently to aitken and archer.
i also believe that it is a good day for bp shareholders that lord browne has gone as in the fullness of time he may well be held responsible for the usa tragedy and overall he has not been a particularly successful BP chief.
as a human being i wish him well but hope that he is treated the same as others in similar situations were,
john trader, croydon, uk
When I worked as a staffer in a big company, I understood that a principal duty was to keep the bosses out of trouble. What exactly were the Chief of Staff, Chief Council, Finance DIrector and Audit Committee Members doing watching this inevitable slow motion car crash happen. Lord Browne has certainly been stupid but some guilt should also be attached to those paid to advise him.
D.Schofield, LONDON & GIRONA,
Lord Browne has demonstrated some serious character flaws: miserliness and dishonesty. Lucky escape for Jeff.. He's a good looking young man and there are plenty more fish in the sea...
Selina, London, UK
If only all business & high profile people were confident about their sexuality, then they would not be vulnerable to gold diggers. If Lord Browne had been more open and relaxed about being gay then he would never had this kind of problem with an ex lover. Lord´s Browne´s generation should realise that there is no shame in being gay. All BP care about is is performance as a Chief Executice. He he only had figured that outm, then The Mail on Sunday would have no story with Mr Chevalier, who clearly just wants more money.
Andrew Forbes, Marbella, Malaga, Spain
I am not interested in his private life but if he has perjured himself as suggested, then he should resign and from the House of Lords too.
As for his settlement, what he may lose in lost benefits may keep the price of petrol down for us mere mortals for perhaps another five minutes!
ed Ingle, chesham, bucks
and I thought my life's mistakes where expensive
but in the eyes of the law perjury is a crime and
should be dealt with as a crime with a prison sentence.
george william taylor, hull, uk
'Exposure is sufficient penaly' another disgusting example of our society's bent morality.
Scott, london,
Peter Sunderland, the Chairman of BP, has stated that BP has conducted their own investigation into the allegations made by JC. The investigation concluded there was no evidence to support the accusations.
Art vD, London,
What a shame that Lord Brown's career is ending this way. With society's obsession on picking apart the private lives of prominent individuals is it any wonder we have so few good people stepping into leadership. If we want a Divine leader try Jesus Christ. Men are imperfect. Anyone can be trashed if human indiscretion is completely exposed. Much of this story is no ones business. We are losing the grace of privacy. If society and the media want to bite and devour people like Lord Brown then we will get what we deserve - a legion of expert fakes and spin doctors as leaders. Indeed isn't that what we have now in much of politics and business? Lord Brown is not one of those people. But he is a human. He has also been a good business leader and BP and the UK should be proud of his service.
Peter - Houston Texas
Land of Enron
Peter Glynn, Houston, Texas
This is a very good read. keep up the good work
Sam Murphy, London, UK
Lord Archer is not banned from the House of Lords. He continues to be a Peer.
TB, Guildford,
I feel very sorry for Lord Browne. His private life is no one's business and I think he has done the honourable thing in stepping down, unlike many politicians, who in his position would have clung on. Who cares that he is gay, he should be allowed to get on with his private life in private. The Daily Mail should be ashamed of themselves for the way they have treated him, a man who has done more for this country than they have.
D L, Nantwich, UK
Isn't telling a lie in court perjury?
There are laws against that, ask Geoffrey Archer and Jonathan Aitken.
And, an associate of Bliar who lies? What a surprise
kev, shanghai, China
Just because he is a gay. I am really sorry for him. Losing a 4-year-partener is very hard for anyone, and revenge seems another disaster. leave him alone.
pierce, london, uk
Let's not forget that Jeffrey Archer went to PRISON in a very similar case: Archer perjured himself in a flagrant attempt to use the courts to cover up an embarrassing sexual affair. Archer is Tory (former chairman of the Conservative Party) and heterosexual, whereas Browne is NuLabour and homosexual.
NuLabour's Attorney General will certainly NOT bring perjury charges against Browne, so Browne is still getting off easy.
Moral: don't abuse the public Courts of Justice to launder your image. If you have image problems after abusing the resources of a public company, hire a PR firm.
Reuben Ashkenazi, Monterey, California
A life lived on the public stage sometimes results in the indignity of the curtain falling earlier than anticipated; even over an issue of conduct once considered in polite society as being personal and not in the public domain. That said however, anything less than full disclosure in a judicial proceeding does deserve sanction.
Woody Ryder, Greenlawn, USA/NY
I think he should have had some protection from high up - how does anyone benefit from this at all? So what, the truth is out, but BP is a flagship company which, under Browne's leadership, has put the UK on the business map, generated massive profits from overseas, thus more tax for HMG, created jobs etc. Such people who make such formidable contributions to the economy as Lord Browne deserve protection.
It is perfectly understandable that he felt he had to lie in this case - who wouldn't when you work in an industry known for being homophoebic?? The fact is that this is NOT a matter that can be viewed as being in the public interest.
Carl Barry, London, UK
I truly greatly coundn't give any tolerance to telling a lie before the solemn court.
Kan Zi Xiong, MeiZhou, China
What is sad here is that he was respected as a business leader and doing a good job - a poor security record is something dogging many a big company. Compare with Noêl Forgeard of EADS and his golden parachute for mismanagement and he for the moment is high and dry.
When are the media going to come down from their moral high ground? His biggest mistake would appear to have been his choice of partner who lacked any sense of loyalty.
eam, Paris, France
Lord Browne has done the right move for damage control personally and for BP. Nothing is more powerful than expressing oneself in a truthful manner. I respect his courage and wish him well.
Magdalene Mei Halkes, Canterbury, England
In reply to Bala, Browne is a crossbencher - i.e. not a labour peer, but an independent. second, Archer still has his seat in the Lords (as he still has his life peerage). Nor did he donate to the Labour Party. Other than that, you are spot on.
Damian, London, UK
A man does something trivially wrong, maybe not even illegal. It comes to libel and he denies it. The trap is sprung, and he is done for perjury. We need to put laws in place to prevent this sort of escalation, maybe reduce libel damages to amounts that actually reflect the loss suffered, with corresponding reduction in the seriousness of perjury.
Malcolm McLean, Bradford, UK
I disagree with Michael J Lee, Sheffield. It's not homophobia that nailed Lord Browne, but his own lack of character. The male escort would always be a liability; an old fool and his money... or, I should say an old fool and the BP shareholders' money! I am gay and in a civil partnership and I have stood up to those who would want me to lie about my sexuality. He seems to have lied about who he is for a long time. What else has he lied about? Nobody likes a liar!
Kevin Sullivan, Belfast, uk
If we stand back from the detail and take the broad overview so favoured by politicians et al, Lord Browne has fallen on his sword for lying. By doing so has he not set an example that ,with the benefit of mature reflection, we might wish so many others, whom we have so foolishly and collectively placed in high places, had the integrity to follow? Provided he has harmed no one Lord Browne's private life is his own; his sin is lying because lying by those who hold the reins of power damages all of us.
D J Swainson, Chippenham, Wiltshire
My heart bleeds for the guy, I mean losing £15m at his time of life must be terrible...when most of us have to survive on a fraction of this for a lifetime. He has done the right thing though.
Linda, Southampton, UK
Why a man on such a package cannot pay off his lover properly suggests a character flaw. Why use corporate resources at all ? This is a "People's Peer" representing the public in the Upper House....what example does this set ?
It costs much more for a rich man to escape in the divorce courts after a 4-year marriage; why did he think he could make his lover redundant without proper recompense ?
Manfred, Leicester, England
Come on people! Making a big deal of something because one is gay. The person who should be condemned is the boyfriend! If he were a she, nothing would be made a big deal out of this. Like any spurned lover, he's out for revenge! I say to him "earn your keep", instead the media glorifies him and rewards him with thousands of pounds- what for being a big mouth? This she/man Chevalier should be shunned from any industry for destroying a man who worked hard all his life and attained success through sheer hard work!
Natasha Thomkins, Moscow, Russia
It is a very sad end to a glittering career. What is most concerning though, is not Lord Browne's private life (in which I am not interested) but (1) the alleged misuse of company funds, and (2) lying to the court. There cannot be any tolerance of lying to the court - even if it is about something innocuous - because once that is permitted then the purpose, integrity and functionality of the rule of law is gone forever. I am truly sorry that a bruised ex-partner of Lord Browne has sought to exact this kind of vengeance on him, but if the law is to function at all, then its institutions and process - flawed though they may be - must be respected.
M, London,
Homophobia is alive and kicking not least of all at the Mail on Sunday!
Another good man destroyed and another good reason not to come out! Now leave the man in peace.
Michael J Lee, Sheffield, UK
He's rich enough sure he'll live, is he married with children, sure that is more of a worry??
Adam Webb, MK, UK
this is just the beginning of an open season on Blair's cronies now he is going - who will be next; there are plenty to choose from one suspects.
garth wiseman, london, england
The only good news is that BP will not now be making the obscene and controversial pay-off
David, London,
Pocket money, Paul, when you have been operating at this level of business for many years. The salary and perks are only part of it; such executives normally have many other part time positions in companies run by their buddies, for which they get paid extremely (obscenely?) well for doing very little. 'Line my pockets and I'll line yours', to paraphrase and old saying.
Best wishes
Tony Jones, Grantham, UK
If every senior member of the government or industry were to be quizzed like this on their personal life, I suspect that there would be a lot of vacancies. Furthermore, I this the young man involved in this case is pretty cynical not to mention profiteering.
How come John Prescott wasn't made to resign over his indiscretions on public time and money?
Fran, Lausanne, Switzerland
I think your headline and opening paragraph misrepresent this story. What Lord Browne allegedly did wrong was use BP funds inappropriately - NOT have a gay relationship.
People have plenty of those without getting headlines in email, websites and papers. Can we get the order of the messages right here? If not it simply looks as if he is being forced to leave BP for being gay - not for using their funds for his personal use.
Philip, London, UK
Losing £15.5 pension plus other ancilliary earning having to resign 3 months early.
A bit of a bummer.
Paul, London, UK
Should Lord Browne continue in the House of Lords ? Is there any way of terminatiing his peerage as they did with Lord Archer when he was involved in another perjury case
I suppose Tony Blair would prefet to keep him there with all the others he had elevated to the House Lords when they gave loans to the Labour Party. What a disgraceful state of affairs ! Why has British politics reached such a
low level. The example set by Tony Blair is a great blow to the Labour Party of which I was proudly a member from the early Sixties to the early Nineties,when I left for Aistralia
Bala Superamanim, Sydney, NSW
bb,true but the way BP has been run as a buisnees since before the explosion in the USA as been bad for the image of the company,and not much seems to have been done to repair it,even the share price jumped intraday by 1% on the news.....
Shane Farmer, Blackburn, Lancs
Lord Browne ought to have had the common sense to find a boyfriend of his own age and background. All very sad.
David Russell, Sheffield, South Yorkshire
his personal life is really none of anyone's business
bb, LONDON, uk
Is this really and truly all about Browne not being able to admit that he longed and ached for a relationship withsomeone to such an extent that he directly sought such a person via the internet ????
He was so embarrassed at his need for love that he had to claim that he met his lover by chance whilst jogging ??
In the post 2000s ?????? When there have already been umpteen Govt ministers come out as gay ?
What on earth is going on????? It feels like the 50s !!
Rhys Burriss, Durham City,