Samsung Heavy Industries Company Ltd Agrees to Pay $75 Million in Global Penalties to Resolve

[TexasTowelie]

Samsung Heavy Industries Company Ltd Agrees to Pay $75 Million in Global Penalties to Resolve Foreign Bribery Case


Samsung Heavy Industries Company Limited (Samsung Heavy Industries), a South Korea-based engineering company that provides shipbuilding, offshore platform construction, and other construction and engineering services, has agreed to pay total penalties of more than $75 million to resolve the government’s investigation into violations of the Foreign Corrupt Practices Act (FCPA) arising out of a scheme to pay millions of dollars in bribes to officials in Brazil.

Samsung Heavy Industries entered into a deferred prosecution agreement with the Department in connection with a criminal information filed today in the Eastern District of Virginia charging the company with conspiracy to violate the anti-bribery provisions of the FCPA. The case is assigned to Senior U.S. District Judge T.S. Ellis III of the Eastern District of Virginia. Pursuant to its agreement with the Department, Samsung Heavy Industries has committed to pay a total criminal penalty of $75,481,600 – 50 percent ($37,740,800) of which will be paid to the United States within 10 business days of the deferred prosecution agreement and the remaining 50 percent ($37,740,800) of which will either be paid to Brazilian authorities pursuant to agreements between Samsung Heavy Industries and the Controladoria-Geral da União (CGU), Advogado-Geral da União (AGU) and Ministério Público Federal (MPF), or will be paid to the United States if at least $37,740,800 in payments are not made to the Brazilian authorities on or before Nov. 25, 2020. In related proceedings in Brazil, Samsung Heavy Industries entered into a memorandum of understanding with the CGU and AGU and a complementary agreement for the negotiation of a leniency agreement with the MPF.

“Samsung Heavy Industries paid millions of dollars to a Brazilian intermediary, knowing that some of that money would be used to bribe high-level executives at Petrobras and obtain a lucrative shipbuilding contract,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “Today’s resolution is yet one more example of the Department’s continued commitment to root out bribery and to work with our foreign counterparts to investigate schemes spanning multiple international jurisdictions.”

“Samsung Heavy Industries caused millions of dollars in corrupt bribe payments to be paid to foreign officials to win business, upsetting what should have been a level playing field for other companies that followed the rules,” said U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia. “Effective corporate policies and procedures are necessary to ensure that corporations do not engage in foreign bribery. We will continue to hold corporations accountable.”

Read more: https://www.justice.gov/opa/pr/samsung-heavy-industries-company-ltd-agrees-pay-75-million-global-penalties-resolve-foreign

[Celerity]

1. Slap on the wrist nt