Car Wash Relentlessly Proceeds, More EPC Executives Jailed #petrobras #corruptionandbribary

By 3rd December 2015 Industry News No Comments

On November 2, Justice Sérgio Moro, the head of the Operation Car Wash lawsuits, sentenced three top executives of engineering firm Galvão Engenharia to lengthy prison terms spanning from 11 to 13 years in jail over allegations of kickbacks and price-fixing with Petrobras refining division members.

Dario Queiroz Galvão Filho, Erton Medeiros Fonseca and Jean Alberto Luscher Castro had been arrested in an early phase of operation Car Wash, the name of the Federal Police investigations on the Petrobras corruption scandals.

Dario Galvão, the head of Galvão Engenharia. Image credit: Petronotícias

The scheme manipulator, Alberto Yousseff, and the former Petrobras refining chief, Paulo Roberto Costa, also linked with this lawsuit, have entered into plea bargains for speaking out on the scheme intricacies, therefore, their sentences are under review by the court.

Justice Moro´s ruling determined that the arrested executives shall pay R$ 5 million (U$S 1.25 million) in penalties for damages inflicted to Petrobras, the fine corresponding to the amount of kickbacks paid to the oil major´s refining division executives involved in the scheme.

The kickbacks paid were regarded as contractual costs by rogue Petrobras management members at the time the contracts of major projects, such as the petrochemical complex of Rio de Janeiro, COMPERJ, and the Abreu and Lima refinery, RNEST, were signed.

This post originates here.