Subscribe free to our newsletters via your
. Space Industry and Business News .




MILPLEX
Embraer, amid soaring profit, embroiled in bribery probe
by Staff Writers
Rio De Janeiro (UPI) Nov 5, 2013


disclaimer: image is for illustration purposes only

Brazilian aircraft maker Embraer S.A. reported soaring profits amid reports it faces tough questions over reports it bribed some of its foreign buyers.

The allegations center on charges the world's third largest aircraft manufacturer made improper payments to procurement and other authorities in Argentina and the Dominican Republic.

U.S. investigations of the charges stem from jurisdiction extended to the United States due to the company being listed on the New York Stock Exchange.

The investigations in the United States and Brazil so far have centered on the sale of commercial jets to Argentina and light attack aircraft to the Dominican Republic. Embraer's website offered no update on the investigations although the company in the past admitted it was subjected to U.S. probes.

Embraer is under investigation in the United States for allegedly paying $3.4 million in bribes to a retired Dominican colonel, Carlos Piccini, Defense Industry Daily reported. Piccini, armed forces' director of special projects in the Dominican Republic when the government agreed to buy 22 of Embraer's Super Tucano light attack aircraft, could not be reached for comment.

Embraer is also under investigation over a deal, said to be worth more than $900 million, for the purchase of 22 of its E-190 passenger jets to Argentina's state-owned Aerolineas Argentinas, Defense Industry Daily said.

New investigations into alleged improper payments by Embraer executives were also reported in The Wall Street Journal and Brazilian news media.

The payments allegedly were routed through bank accounts maintained by three shell companies, Compliance Week reported. Embraer executives allegedly attempted to conceal the payments by booking them as fees in a bogus deal to sell aircraft to Jordan, the website said, citing documents obtained before the latest media reports.

The news of the probe comes three years after the U.S. Securities and Exchange Commission issued a subpoena to Embraer over possible violations of the Foreign Corrupt Practices Act, a Nov. 3, 2011 regulatory filing showed.

In response, the company said it retained law firm Baker & McKenzie "to conduct an internal investigation into transactions in three specific countries" but did not identify the names of those specific countries, Compliance Week said.

Brazilian President Dilma Rousseff, facing popular protests over endemic corruption, is under pressure to do more to combat graft in bureaucracy and the public and private sectors. A new Brazilian law in August extended culpability from individuals to corporate entities.

Foreign companies operating in Brazil, including subsidiaries, and Brazilian companies controlled by foreign corporations after merger or acquisition, can now be prosecuted if found bribing officials. Transparency International welcomed the new legislation.

Embraer's third-quarter results reported a firm order backlog of $17.8 billion, the highest level since the third quarter of 2009, mainly as a result of significant orders in its commercial aviation segment, the company reported on its website.

 Embraer said it was listed for the fourth consecutive year on the Dow Jones Sustainability Index, which combines indices evaluating the sustainability performance of the largest 2,500 companies listed on the Dow Jones Global Total Stock Market Index.

.


Related Links
The Military Industrial Complex at SpaceWar.com
Learn about the Superpowers of the 21st Century at SpaceWar.com






Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle








MILPLEX
Russians 'send in big guns to sell arms to Egypt'
Cairo (UPI) Nov 5, 2013
The Russians have been quick to exploit U.S. President Barack Obama's Oct. 9 suspension of hundreds of millions of dollars in U.S. military aid to Egypt. Moscow's military intelligence chief, Lt. Gen. Vyacheslav Kondrashov, reportedly visited Cairo seeking to restore a strategic dialogue between the Kremlin and Cairo after a four-decade break and to discuss Egypt's military requirements ... read more


MILPLEX
Breakthrough in study of aluminum should yield new technological advances

Gravity and the robot satellite attitude problem

Global IT spending set to recover in 2014

Plasmonic crystal alters to match light-frequency source

MILPLEX
Raytheon expands international footprint of electronic warfare capability

Latest AEHF Comms Payload Gets Boost From Customized Integrated Circuits

Northrop Grumman Receives Contract to Retrofit Joint STARS Fleet

Latest AEHF Comms Payload Gets Boost From Customized Integrated Circuits

MILPLEX
Kazakhstan say Baikonur launch site may be open to Western countries

ESA Swarm launch postponed

Europe's fifth ATV for launch by Arianespace begins its pre-flight checkout at the Spaceport

ILS Proton Launches Sirius FM-6 Satellite

MILPLEX
How pigeons may smell their way home

UK conservationists using location-based system ManagePlaces

A Better Way to Track Your Every Move

China's satellite navigation system to start oversea operation next year

MILPLEX
Seoul eyes export market for its Surion light helicopter

Declassified: USAF tested secretly acquired Soviet fighters in Area 51

El Salvador to buy used attack planes from Chile

New Climate-studying Imager Makes First Balloon Flight

MILPLEX
Nanoscale engineering boosts performance of quantum dot light emitting diodes

JQI team 'gets the edge' on photon transport in silicon

Atomically Thin Device Promises New Class of Electronics

Tiny Sensors Put the Squeeze on Light

MILPLEX
Sensor Payloads Lift Off With Availability of Complete Hyperspectral Airborne Solution

Seeing in the dark

Researchers Turn to Technology to Discover a Novel Way of Mapping Landscapes

Astrium partners with information and analytics specialist IHS to support GEOINT community

MILPLEX
Girl, 8, is China's youngest lung cancer case

China climate negotiator laments 'severe' pollution

Gold mining ravages Peru

UCSB researcher documents the enduring contaminant legacy of the California gold rush




The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement