December 18, 2018 / 3:22 PM / a month ago

UPDATE 2-Brazil's Andrade Gutierrez agrees to $382 mln leniency deal in graft probe

(Adds value of deal, payment to be directed to companies including Petrobras)

By Lisandra Paraguassu

BRASILIA, Dec 18 (Reuters) - Andrade Gutierrez Engenharia, a construction company, has signed a 1.49 billion reais ($381.49 million) leniency deal with Brazilian authorities, federal authorities said on Tuesday, as part of the so-called "Car Wash" graft investigation.

Andrade Gutierrez is one of more than 30 construction companies being investigated in the sprawling probe which has ensnared senior executives and high-ranking politicians in Latin America's largest economy.

The company will make the settlement payment as part of a deal to end certain legal processes against the firm in exchange for cooperation in investigations, the solicitor general's office said. The total settlement could reach 3.6 billion reais over the 16 years it is to be paid, when adjusted for interest and inflation, the office said in a statement.

Brazilian authorities had previously wanted the construction companies under investigation to pay some 34 billion reais ($8.72 billion) in fines for alleged transgressions, but the penalties have been reduced for the firms that agree to deals.

Andrade Gutierrez's settlement will be directed to firms damaged in the alleged scheme to fix government contracts, including to state-run oil company Petroleo Brasileiro SA , known as Petrobras, the solicitor's office said.

Andrade Gutierrez is part of a larger unlisted Brazilian conglomerate that owns a stake in companies including toll road operator CCR. CCR last November agreed to pay a fine of 81.5 million reais for irregular financing of political campaigns.

Andrade Gutierrez has a stake in the San Antonio hydroelectric plant in the Brazilian state of Rondonia.

The most prominent construction company to emerge from the Car Wash probe is Odebrecht SA, which admitted to paying millions of dollars in bribes to authorities in Brazil and throughout Latin America. ($1 = 3.9057 Brazilian reais) (Reporting by Lissandra Paraguassu and Alberto Alerigi Jr; editing by Jeffrey Benkoe and G Crosse)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below