03 Feb 2020

Update in Relation to Brazil

Sembcorp Marine Ltd (“SCM” or the “Company”) refers to its announcements dated 3 July 2019 and 8 July 2019 in connection with the ongoing investigations related to “Operacao Lava Jato” (Operation Car Wash) in Brazil.

Singapore, February 3, 2020 – The Company wishes to update that it has come to the Company’s attention on 1 February 2020, the Ministério Público Federal in Brazil (“MPF”) have filed charges against Mr Guilherme Esteves de Jesus (“GDJ”) for money laundering and ex-employee Mr Martin Cheah Kok Choon (“Martin Cheah”) for money laundering and corruption in connection with certain drilling rig construction contracts entered into by subsidiaries of the Company with Sete Brasil in 2012. Martin Cheah is the former President of Estaleiro Jurong Aracruz Ltda (“EJA”), the Company’s Brazilian subsidiary whose employment with the SCM group was terminated in June 2015. Companies connected to GDJ were engaged by the Company’s subsidiaries as consultants in Brazil, with all such consultancy contracts having been suspended, and remain suspended, by the SCM group indefinitely.

The above charges filed against Martin Cheah and GDJ by the MPF are in their personal capacities and not against EJA.

In light of the above developments, the Company will be lodging a further suspicious transaction report with the Commercial Affairs Department of the Singapore Police Force.

Other than Martin Cheah, the Company is not aware of any other employee past or present of the Company that is a subject of the ongoing investigations by the Brazilian authorities related to Operation Car Wash.

The Company wishes to reiterate that the SCM group is committed to the highest standards of compliance with anti-corruption laws and does not condone and will not tolerate any improper business conduct. The SCM group has a strict compliance program and continuously works to ensure that policies and procedures are in place to prevent any violation of any anti-corruption laws applicable to its operations.

The Company will continue to monitor developments in Brazil and other jurisdictions with respect to the above matters, and will make appropriate announcements in the event of any material developments.

 

For more information, please contact:

Analysts’ enquiries
Ms Lisa Lee
Head of Investor Relations
DID: +65 6971 7042
Email: lisa.lee@sembmarine.com

Media enquiries
Mr David Wong
Head of Corporate Communications
DID: +65 6971 7039
Email: david.wong@sembmarine.com

 

For the PDF version of this announcement, please click here

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