TechnipFMC confirms settlement with U.S., Brazilian enforcement authorities
TechnipFMC has agreed to resolutions with the U.S. Department of Justice, the U.S. SEC Staff and the Brazilian authorities, the Comptroller General of Brazil, and the Attorney General of Brazil to resolve anti-corruption investigations in Brazil and relating to the intermediary, Unaoil. The company has agreed to pay a total of $301.3M to these authorities to resolve investigations into conduct dating back over a decade ago. TechnipFMC fully cooperated with these authorities, and this is the first simultaneous resolution to include all U.S. and Brazilian authorities. TechnipFMC will not be required to have a monitor and will, instead, provide reports on its anti-corruption program to the Brazilian and U.S. authorities for two and three years, respectively. As part of this resolution, TechnipFMC entered into a three-year Deferred Prosecution Agreement with the DOJ related to charges of conspiracy to violate the Foreign Corrupt Practices Act related to conduct in Brazil and with Unaoil. In addition, Technip USA, Inc., a U.S. subsidiary, pled guilty to one count of conspiracy to violate the FCPA related to conduct in Brazil. The company will also provide the DOJ reports on its anti-corruption program during the term of the DPA. In Brazil, TechnipFMC subsidiaries Technip Brasil - Engenharia, Instalacoes E Apoio Maritimo Ltda. and Flexibras Tubos Flexiveis Ltda. entered into leniency agreements with both the MPF and the CGU/AGU related to conduct in Brazil dating back over a decade ago. The company has committed, as part of those agreements, to make certain enhancements to their compliance programs in Brazil during a two-year self-reporting period, which aligns with its commitment to cooperation and transparency with the compliance community in Brazil and globally. Additionally, TechnipFMC has reached an agreement in principle with the SEC Staff, subject to final SEC approval. As previously disclosed, TechnipFMC has also been cooperating with an investigation by the French Parquet National Financier related to historical projects in Equatorial Guinea and Ghana. To date, this investigation has not reached resolution. TechnipFMC remains committed to finding a resolution with the PNF and will maintain a $70M provision related to this investigation.