Engineering Giant to Pay $2.6bn Fine for Corruption

Odebrecht Organization is a Brazilian conglomerate having businesses in the field of construction, engineering, chemicals, and petrochemicals.

A U.S. judge has formally fined Brazil’s Odebrecht $2.6bn in a corruption case involving country’s state oil company, Petrobras.

Odebrecht Organization is a Brazilian conglomerate having businesses in the field of construction, engineering, chemicals, and petrochemicals.

A plea bargain deal was signed with the U.S., Swiss, and Brazilian authorities last year; and the fine was imposed as part of that deal.

The judge ruled that Brazil would get $2.39bn with the rest going to U.S. and Swiss authorities.

Odebrecht was charged by the U.S. for bribery in 12 Latin American countries; some bribes flew through U.S. banks.

Odebretch along with its petrochemical company, Braskem SA, had pleaded guilty in December last year in a deal made to draw a line under the company’s wrongdoings.

The court order came at a time when the company was trying to negotiate a plea deal with other governments so that it could be eligible to tender for future infrastructure projects.

Other countries include Argentina, Chile, Colombia, Dominican Republic, Ecuador, Mexico, Panama, Peru, Portugal, and Vietnam.

One of the groups of contractors from the largest construction company in Latin America is alleged to have conspired with Brazilian politicians and oil company executives to take billions of dollars in bribes and kickbacks from Petrobras.

The allegations on Odebretch stem from a three-year investigation into the actions of Petrobras, which led to the arrest of dozens of business leaders, including the Chief Executive Officer Marcelo Odebretch, who is serving a 19-year jail sentence.

After some of the ministers were implicated in the investigation, Brazilian President Michel Temer said that he expects them to resign.