Skip to main content
Best News Website or Mobile Service
WAN-IFRA Digital Media Awards Worldwide
Best News Website or Mobile Service
Digital Media Awards Worldwide
Hamburger Menu




CPIB issues stern warnings to 6 former Keppel Offshore & Marine employees over Brazil corruption case

CPIB issues stern warnings to 6 former Keppel Offshore & Marine employees over Brazil corruption case

Keppel Offshore & Marine's Brazil operations. (Photo: Keppel O&M website)

SINGAPORE: The Corrupt Practices Investigation Bureau (CPIB) has issued stern warnings to six former senior management staff members of Keppel Offshore & Marine (KOM) over a corruption case involving Brazilian oil giant Petrobras.

The warnings were in lieu of prosecution for offences punishable under the Prevention of Corruption Act, said CPIB on Thursday (Jan 12).

The offences relate to bribe payments to Petrobras officials, pertaining to rigs-building contracts which Petrobras or its related companies had awarded to KOM.

In December 2017, the offshore and marine arm of Keppel Corporation was fined US$422 million for its part in an international corruption scandal that took place between 2001 and 2014, with bribes amounting up to US$55 million.

This was after corrupt payments made by KOM’s former agent in Brazil to secure contracts with Brazil's state-owned oil giant Petrobras were brought to light.

Under the global resolution led by the US Department of Justice and involving Brazil and Singapore, a conditional warning in lieu of prosecution was issued to KOM for offences punishable under the Prevention of Corruption Act, said CPIB.

It added that KOM has paid the fine of US$422 million and fulfilled all obligations under the conditional warning.

CPIB said it had conducted investigations into the six individuals who had allegedly conspired with one another to give bribe payments totalling about US$55 million to foreign consultants involved in KOM’s business interests in Brazil. These consultants then used the money to pay bribes to Petrobras officials.

"This case is complex and transnational, involving multiple authorities and witnesses from several countries," said CPIB.

"There are evidentiary difficulties in cases of such nature. Many of the documents are located in different jurisdictions."

CPIB noted that key witnesses are located outside Singapore, and cannot be compelled to give evidence in the country.

"The decision whether to prosecute the six individuals for criminal offences has to take into consideration all relevant factors, such as the culpability of each individual, the available evidence and what is appropriate in the circumstances," it said.

"Having taken these into consideration, stern warnings were issued to the six individuals."

In response to CNA's queries, CPIB said it was not naming those involved as it does not disclose the names of people who are issued warnings.

Source: CNA/ic(gr)


Also worth reading