Singapore authorities have launched an investigation into yard group Seatrium over alleged corruption offences in Brazil.
The Corrupt Practices Investigation Bureau (CPIB) confirmed that it had “commenced investigations” against Seatrium and individuals from the Singapore-listed company.
The government agency said the investigation was launched on the back of “information received”, but it gave few other details.
“As investigations are ongoing, CPIB will not be able to provide further details at this juncture,” it said.
“Singapore adopts a strict zero-tolerance approach towards corruption and CPIB investigates without fear or favour and will not hesitate to take action against any parties involved in corrupt activities.”
Seatrium released a statement saying it believes this latest investigation “relates to events that occurred prior to 2015 and to the Sembcorp Marine group in existence at that time”.
The company said it was “unable to comment further at this stage as the investigations are still ongoing”.
‘Irregularities’
“The company is cooperating with CPIB in its investigations and will make appropriate announcements in the event of any material developments,” it added.
Seatrium was formed from the merger of Singapore’s two main offshore and marine companies — Sembcorp Marine and Keppel Offshore & Marine (Keppel O&M) — this year.
In March, Sembcorp Marine confirmed that its shipyard facility in Brazil was being investigated for alleged irregularities.
The Office of the Comptroller General of Brazil had reportedly published a notice in the official gazette, saying it had “initiated a preliminary administrative liability proceeding” against Estaleiro Jurong Aracruz Ltda.
However, at the end of April, Sembcorp Marine said it had been informed by Brazilian authorities that the proceedings had been suspended.
In January, six former Keppel Corp senior management staff escaped prosecution over their alleged involvement in paying bribes to secure a drilling rig newbuilding.
Instead, the CIPB issued stern warnings against the unnamed executives in what was described as a “complex and transnational” case “involving multiple authorities and witnesses from several countries”.
The CPIB said it conducted investigations into the six individuals who had allegedly conspired with each other to give bribe payments totalling about $55m to foreign consultants involved in Keppel O&M’s business interests in Brazil.
“There are evidentiary difficulties in cases of such nature, while many of the documents are located in different jurisdictions,” the CPIB said.
“In addition, key witnesses are located outside of Singapore and [could not] be compelled to give evidence here.”
The decision on whether to prosecute the six individuals for criminal offences had “taken into consideration all relevant factors, such as the culpability of each individual, the available evidence and what is appropriate in the circumstances”.
