International Inc. to resolve investigations into bribery paid to government officials at Algerian and Brazilian state oil companies, the company said Monday. Will pay about $ 203 million in the US and Brazil.
The settlements involve UOP, a US subsidiary of Honeywell that makes catalysts used to refine oil. Investigation finds UOP conspired to bribe a former high-level
brazilian oil But
The deal is slated to receive a $425 million oil refinery contract, officials said. The US Securities and Exchange Commission also found that Honeywell’s Belgian subsidiary bribed Algerian officials to win business with Algerian state-owned oil company Sonatrac.
Honeywell accepted the charges on Friday and entered into a series of settlements with the SEC and the US Justice Department, as well as with authorities in Brazil. US authorities accused UOP of violating the US Foreign Corrupt Practices Act, and the settlement requires Honeywell to undertake a compliance overhaul and file periodic reports.
“We are pleased to have this legacy behind us, as these events in no way reflect the current leadership, culture and values that Honeywell has established more than a decade after this activity took place,” Chief executive Darius Adamski said on Monday.
The company first disclosed the investigation in 2019. said last year was setting aside $160 million To cover the cost of anticipated settlements.
Prosecutors said that in order to carry out the bribery scheme in Brazil, UOP retained a sales agent to pay $4 million in bribes to an unnamed Petrolio Brasileiro official. According to prosecutors, UOP ultimately made $105.5 million in profit from the contract, which it won in 2010. The misconduct occurred between 2010 and 2014, he said.
The bribery in Algeria was linked to Honeywell’s business with Unoil Group, a Monaco-based oil-services firm whose relationships with customers in the energy sector came under scrutiny in 2016 following an investigative report in Australian media. In Algeria, it was used by Honeywell’s Belgian subsidiary. The SEC said Unooil asked in 2011 for kickbacks to pay back a consultant who helped resolve a dispute over the schedule for the company’s upgrade on a refinery in Oran.
UOP’s settlement with the Justice Department comes in the form of a three-year deferred prosecution agreement, under which prosecutors agreed to drop criminal charges against the assistant if Honeywell abides by the terms of the deal. The company said it would not require an independent monitor to oversee compliance with the agreement.
U.S. prosecutors credited UOP for its cooperation in its settlement and said Honeywell had taken several steps to prevent future bribery misconduct, including improving its compliance program, reducing its reliance on sales agents, and setting up new operations in Brazil. Disciplining or terminating the employees involved. plan.
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‘Honeywell settles bribery cases for $203 million’ in print edition dated December 20, 2022.