Brazilian energy giant Petrobras has agreed to pay more than $850 million in penalties to settle a US government investigation into alleged corrupt practices including illicit payments to local politicians, the US Department of Justice said in a press release on Thursday.
WASHINGTON (Pakistan Point News / Sputnik - 27th September, 2018) Brazilian energy giant Petrobras has agreed to pay more than $850 million in penalties to settle a US government investigation into alleged corrupt practices including illicit payments to local politicians, the US Department of Justice said in a press release on Thursday.
"Petrobras entered into agreements with US and Brazilian authorities and agreed to pay a combined total of $853.2 million in penalties to resolve the US government's investigation into violations of the Foreign Corrupt Practices Act (FCPA) in connection with Petrobras's role in facilitating payments to politicians and political parties in Brazil, as well as a related Brazilian investigation," the release said.
US Assistant Attorney General Brian Benczkowski said the investigation uncovered proof that Petrobras officials facilitated payments of hundreds of millions of Dollars in bribes to politicians and political parties in Brazil.
Moreover, the officials "cooked the books to conceal the bribe payments from investors and regulators," Benczkowiski said.
The Justice Department said Petrobras engaged in the malign activity while the company's shares traded on the New York Stock Exchange. During that period, the Brazilian energy giant's executives directed payments to stop an investigation by Brazil's parliament into Petrobras and made other illicit investments, the press release said.
The bulk of the $853.2 million - or 80 percent at $682 million - will be given to Brazil, while the remaining 20 percent will be split between the US Department of Justice and the US Securities and Exchange Commission, the release said.
The Justice Department has agreed not to prosecute Petrobras in exchange for its $85.3 million payment and a promise to continue to cooperate in any ongoing investigations. The company also agreed to enhance its compliance program and take other steps to ensure the accuracy of its books and records, the Justice Department said.
