Brazil Deepens Bribery Probe
Brazil’s Parliamentary Commission of Inquiry (CPI) has recommended the deepening of investigations into 10 companies - including Keppel, SembCorp Marine and Kawasaki Heavy- involved in the alleged bribery transactions with Petrobras and Sete Brasil. The investigations follow allegations by a former engineering manager at Petrobras, which is caught up in a massive procurement corruption scandal that has contributed to efforts to impeach Brazilian President Dilma Rousseff. Singapore rig builder Keppel Corp.
Former Petrobras Exec Sentenced for Samsung Drillship Bribe
A Brazilian judge sentenced Nestor Cervero, former international chief of state-run oil firm Petrobras, to just over 12 years in prison on Monday for corruption and money laundering related to a bribe allegedly paid to the speaker of Brazil's lower house of Congress. Cervero and two other defendants are accused of organizing bribes from Korean shipbuilder Samsung Heavy Industries in exchange for two drillship contracts, the Petrobras 10000, which was leased jointly by Petrobras and Mitsui in 2006, and the Vitoria 10000, hired by Petrobras in 2007.
Former Petrobras Exec Sentenced to 5 Years Jail
A Brazilian judge sentenced a former international director at state-run oil firm Petroleo Brasileiro SA to five years in prison for money laundering on Tuesday, the second company executive convicted in an ongoing corruption probe. Federal Judge Sergio Moro said there was ample evidence to support charges by prosecutors that the former director, Nestor Cervero, used bribe money stolen from the company to buy a luxury apartment in Rio de Janeiro. Cervero was fired from Petrobras, as the company is known, in 2014 and arrested in January as he stepped off a plane from Europe.
Petrobras Scandal About to Hit Brazil's Political Class
Brazil's top prosecutor is expected to file charges in coming days against politicians implicated in the Petrobras corruption scandal, a political bombshell that could involve members of Congress and President Dilma Rousseff's government. Under Brazilian law, lawmakers and cabinet members can only be tried by the Supreme Court. Prosecutor Rodrigo Janot has said he plans to file cases with the court by the end of the month against politicians involved in the graft scheme at Petrobras.
Petrobras Taps Bendine as New CEO
Brazil's Petrobras chose current Banco do Brasil SA Chief Executive Aldemir Bendine as its new CEO on Friday, government sources said, as the embattled state-run oil company tries to regroup following the sudden resignation of nearly all of its senior managers amid a corruption scandal. The choice may disappoint investors who had hoped for a more market-friendly name to fill the post. Bendine, who has led the state-run bank since 2009 and maintains close links to the ruling Workers' Party…
Petrobras CEO: C-Suite Managers May Have to Resign
Senior management at Brazil's state-run oil company Petroleo Brasileiro SA may have to resign to avoid further delays of the company's audited third-quarter earnings report, Chief Executive Maria das Graças Foster said on Wednesday. Foster said President Dilma Rousseff had not accepted her offer to step down in the midst of an investigation into an alleged corruption scheme involving the company, contractors and the ruling political coalition. Reporting by Jeb Blount and Marta Nogueira
Petrobras Delays Results as Corruption Scandal Grows
Brazil's state-run oil company Petroleo Brasileiro SA said it delayed the release of its third-quarter financial results for a second time on Friday as a result of new developments in a widening corruption probe. Prosecutors on Thursday indicted executives of some of the country's largest engineering firms for allegedly skimming billions of dollars off overpriced contracts with the oil giant in a kickback and bribery scheme. Petrobras had set Friday as a deadline for the release, but it said in a statement it has until Jan. 15, 2015, to present the unaudited results without breaking covenants.
Neves Contends Drives Bullish Bets on Brazil Companies
U.S. options market bulls rushed to some of the biggest Brazilian companies on Monday, a day after pro-business Brazilian presidential candidate Aecio Neves' surprisingly strong showing in the first-round election vote. Brazilian financial markets rallied after the centrist senator's strong finish in Sunday's election, setting the stage for what is expected to be a tight runoff against leftist President Dilma Rousseff. Neves will now face Rousseff in the second-round runoff on Oct. 26.