SBM Offshore agrees to settlement with Petrobras and Brazilian authorities over bribes scandal

SBM Offshore agrees to settlement with Petrobras and Brazilian authorities over bribes scandal

Petrobras and Brazilian prosecutors on Friday signed an agreement with Dutch firm SBM Offshore whereby SBM will pay fines and co-operate in the ongoing probe into corruption surrounding Petrobras contracts.

In return Amsterdam-based SBM will be exempt from new lawsuits relating to the case and it will be eligible to bid again for Petrobras contracts.

SBM was one of the first overseas companies exposed in the “bribes-for-inflated-contracts” scheme that has engulfed Brazil’s state oil firm. It was accused of paying millions of dollars in bribes between 1996 and 2012 in return for Petrobras contracts.

The wider scheme cost Petrobras more than $2bn by its own official admission.

Now this new leniency agreement means SBM must cough up $163m in fines and have their current contracts with Petrobras reduced by $179m. Most of the fine amount ($149.2m) will go to Petrobras with the balance of $13.6m being given to government anti-corruption agencies.

The major parties to the deal on the government side are the Ministry of Transparency, Oversight and Control (MTFC); the Public Prosecutor’s Office (MPF) and the General Counsel for the Republic (AGU).

Donal Scully

With 28 years experience writing and editing for newspapers in the UK and Hong Kong, Donal is now based in California from where he covers the Americas for Splash as well as ensuring the site is loaded through the Western Hemisphere timezone.

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