October 31, 2017
This month, three employees of F.H. Bertling were sentenced to 20 months, suspended for two years, and fined £20,000 for their role in conspiring to pay bribes in Angola. In Sweden, the bribery trial of Bombardier Transportation Sweden employee Evgeny Pavlov moved quickly, as the court found Pavlov innocent of the bribery charges. Swedish prosecutors appealed the ruling and indicated they were also investigating higher-ranking employees regarding the company’s actions in Azerbaijan. The “Gupta Leaks” cases developed further, with internal investigations progressing at both McKinsey and KPMG, to explore bribery allegations relating to businesses tied to the politically-influential Gupta family, including work for state-owned power utility Eskom. SAP reported that its internal investigations had uncovered commission payments of a total of 94 million rand to two companies with ties to the Gupta family to help obtain contracts with South Africa’s state-owned rail and port operator, Transnet, and state power company Eskom, and that it has started disciplinary action against three employees for “indications of misconduct.” The Odebrecht case continues to build: of note this month is that former Venezuelan Attorney General Luisa Ortega released a video detailing allegations that an Odebrecht executive paid a $35 million bribe to President Nicolás Maduro in 2013 to protect the company’s construction contracts; she is reportedly collaborating with U.S. enforcement authorities on this issue.
Visit the TRACE Compendium to view the complete entries on these cases, along with other updates from this month.