United States: Embraer to Pay $205 Million to Settle Corruption Probes
Author(s): Tom Schoenberg, Fabiola Moura | Date: October 24, 2016 | Language: English
Source: http://www.bloomberg.com/ | URL: https://goo.gl/OV4xSl | Type: Text
Embraer SA agreed to pay $205 million to resolve long-running corruption probes by the U.S. and Brazil that started with an airplane deal with the Dominican Republic and spread to other countries, including Saudi Arabia and Mozambique.
Under the settlement, Embraer will pay $107 million to the U.S. Justice Department and enter into a three-year deferred prosecution agreement. The company, which admitted to being involved in a conspiracy to violate U.S. anti-bribery laws, will pay an additional penalty of $98 million to the Securities and Exchange Commission. The company is paying Brazilian authorities $20 million, an amount that will be deducted from its SEC bill, according to a statement from the agency.
The U.S. has pointed to the Embraer investigation as a model of cross-border cooperation. With the Justice Department’s assistance, Brazilian authorities have charged 11 individuals while Saudi Arabia has charged two individuals, U.S. officials said.
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