DOCSLIB.ORG

ANTI-CORRUPTION Quarterly

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
ANTI-CORRUPTION Quarterly ANTI-CORRUPTION Quarterly 1st Quarter 2015 IN THIS ISSUE: ELEVENTH CIRCUIT NARROWLY INTERPRETS FCPA’S FACILITATING PAYMENT EXCEPTION FEATURES On February 9, 2015, the Eleventh Circuit affirmed Jean Rene Duperval’s convictions for conspiracy to commit money laundering and concealment ELEVENTH CIRCUIT NARROWLY of money laundering, which derived from FCPA violations. United States v. INTERPRETS FCPA’S FACILITATING Duperval, No. 12-13009 (11th Cir. Feb. 9, 2015). Duperval, who was considered PAYMENT EXCEPTION ..................... 1 a “foreign official” under the FCPA, was sentenced to nine years in prison followed by three years of supervised release. While “foreign officials” cannot be COMMERCIAL BRIBERY AND THE FCPA: SEC CHARGES GOODYEAR prosecuted under the FCPA, the DOJ pursued charges against Duperval under TIRE & RUBBER CO. WITH BOOKS the U.S. Money Laundering Control Act (MLCA), which prohibits the receipt AND RECORDS VIOLATIONS .......... 1 of proceeds of FCPA violations. The DOJ established that the bribes Duperval received, in fact, were proceeds of FCPA violations that had been laundered COLUMNS through the U.S. financial system, in violation of the MLCA. In its opinion, the Eleventh Circuit added to the limited body of federal case law interpreting GLOBAL WATCH ............................... 1 the FCPA by addressing both the meaning of an “instrumentality” of a foreign government and the “routine governmental action” prong of the FCPA’s IN THE INTERIM ................................ 2 facilitating payments exception. CONTINUED ON PAGE 3 COMPLIANCE CORNER: PROTECTING YOUR COMMERCIAL BRIBERY AND THE FCPA: SEC CHARGES GOODYEAR BRAND: INTERNATIONAL FRANCHISES AND THE FCPA ......... 5 TIRE & RUBBER CO. WITH BOOKS AND RECORDS VIOLATIONS On February 24, 2015, the SEC announced that it had reached an agreement with Goodyear Tire & Rubber Co. (Goodyear) under which Goodyear would disgorge more than $16 million to settle FCPA accounting violations. Unlike traditional FCPA cases, the charges against Goodyear notably stem both from instances of commercial bribery and official corruption by Goodyear’s subsidiaries in Kenya and Angola. CONTINUED ON PAGE 4 GLOBAL WATCH BRAZIL RAMPS UP ANTI-CORRUPTION EFFORTS As past issues of this newsletter have emphasized, the FCPA is no longer the “only game in town” when it comes to anti-corruption enforcement. For years, the U.S. drove anti-bribery efforts globally, but more recently VISIT SIDLEY.COM countries from China to Ukraine have passed their own anti-bribery laws FOR MORE INFORMATION ON SIDLEY’S FCPA/ANTI-CORRUPTION PRACTICE and have stepped up enforcement. Companies working overseas should be cognizant that they may be liable not only under the FCPA, but also under the local laws of the countries where they do business. This Sidley update has been prepared by Sidley Austin LLP for informational purposes only and does not constitute legal advice. This information is not intended to create, and Brazil is one of the latest and most significant examples of a country that has receipt of it does not constitute a lawyer-client relationship. Readers should not act upon this without seeking advice from begun to pursue corruption aggressively. While Brazilian authorities have professional advisers. yet to bring an action under their rigorous new anti-corruption law passed Attorney Advertising—For purposes of compliance with New York State Bar rules, our headquarters are Sidley Austin LLP, in 2013—the Brazilian Clean Companies Act (CCA), their recent aggressive 787 Seventh Avenue, New York, NY 10019, 212.839.5300; One South Dearborn, Chicago, IL 60603, 312.853.7000; and 1501 activity signals a new era in anti-bribery enforcement in Brazil and may be a K Street, N.W., Washington, D.C. 20005, 202.736.8000. Sidley Austin refers to Sidley Austin LLP and affiliated partnerships as sign of things to come under the CCA. explained at sidley.com/disclaimer. CONTINUED ON PAGE 6 Prior results described herein do not guarantee a similar outcome. ANTI-CORRUPTION Quarterly IN THE INTERIM 1/5/2015 The Israel for violating the FCPA internships and other the administration to use Securities Authority by paying bribes to win employment opportunities the FCPA to prosecute arrested a senior vice Qatari government to employees and/or violators. president, Yacov (Yasha) contracts. PBSJ agreed to relatives of sovereign 2/19/2015 SNC-Lavalin Hain, of the state-owned disgorge $2.8 million, pay wealth fund officials and/or and two subsidiaries Israel Electric Corporation $140,000 in interest, and other government-related have been charged with (IEC). Five others were pay a penalty of $375,000. entities. criminal corruption and detained. Hain stands The SEC also charged 2/2/2015 21st Century fraud in Canada. The accused of taking hundreds Walid Hatoum, PBSJ’s Fox Inc. and News Corp. charges arise from the of thousands of dollars in former international disclosed that they had alleged activities of former bribes related to Siemens’ marketing director, with each received a declination employees approximately admission that it paid FCPA violations. Without letter from the DOJ for three years ago in Libya. bribes from 1999 to 2001 to admitting or denying the allegedly hacking voicemails SNC-Lavalin has stated that win an IEC contract worth SEC’s allegations, Hatoum and making payments to it firmly considers that the $786 million. agreed to pay a penalty of public officials in the UK. charges against it are not $50,000 to resolve the case. 1/6/2015 Dmitrij Harder, warranted. 2/6/2015 President the former owner and 1/27/2015 BNY Mellon Obama issued a National 2/24/2015 Goodyear Tire president of the Chestnut Corp. disclosed in its 10-K Security Strategy (NSS). & Rubber Co. agreed to Consulting Group, Inc., was filing that it had received A key goal of the NSS is pay $16.2 million to settle indicted by a Pennsylvania a Wells Notice and an for the United States to charges brought by the grand jury for allegedly additional subpoena continue leading the global SEC alleging violations of bribing a senior official from the SEC. The Wells fight against graft, which is the books and records and at the European Bank Notice recommended a direct threat to peace, the internal control provisions for Reconstruction and enforcement action for rule of law, human rights, of the FCPA, and that its Development. alleged FCPA violations democratic institutions subsidiaries in Kenya and regarding BNY Mellon’s 1/22/2015 PBSJ Corp., a and public health. The Angola had paid bribes dealings with sovereign Florida-based engineering NSS likely signals a to increase tire sales. wealth funds. The SEC’s and construction firm, renewed commitment by investigation focuses on agreed to pay $3.4 million whether the bank awarded CONTINUED ON PAGE 3 1885.12 FCPA-Related Cases* Corporate 113 FCPA-Related 1569.71 Penalties* 93 (in U.S. millions) DOJ SEC 803.0 49 731.1 644.6 502.7 28 26 25 22 21 19 20 20 19 16 260.3 14 15 11 12 11 155.1 1 3 19.65 2 2007 2008 2009 2010 2011 2012 2013 2014 2015 Pending 2007 2008 2009 2010 2011 2012 2013 2014 2015 Pending Investigations** Settlement** * New criminal or civil cases (settled or contested) instituted by year * Includes disgorgement; does not include non-U.S. fines ** Based upon public disclosures of investigations ** Includes publicly disclosed reserves for future FCPA settlements ANTI-CORRUPTION Quarterly 1Q/2015 • 2 ANTI-CORRUPTION Quarterly ELEVENTH CIRCUIT NARROWLY INTERPRETS FCPA’S FACILITATING PAYMENT EXCEPTION IN THE INTERIM CONTINUED FROM COVER PAGE CONTINUED FROM PAGE 2 Duperval received nearly $500,000 in bribes from U.S. companies in his role as Assistant Director General and Director of International Affairs at Although Goodyear will disgorge Telecommunications D’Haiti (Teleco), a company owned by the Haitian $14.1 million and pay pre-judgment government. Teleco controlled landline telephone services in Haiti and foreign interest of $2.1 million, it will not companies bid to provide international calling services to Teleco’s customers. pay a penalty under the settlement Duperval was responsible for negotiating and awarding contracts to these agreement, likely due to its foreign customers, a role that he used to accept bribes from U.S. companies in voluntary disclosure to the SEC and exchange for the contracts and favorable treatment. In connection with these cooperation in its investigation. bribes, a jury found Duperval guilty of various money laundering charges. 2/24/2015 Nestor Cerveró, On appeal, Duperval argued, among other things, that the evidence was insuf- the former head of international ficient to prove that Teleco was a government instrumentality and that Duperval operations at Petrobras, was was a foreign official. The Eleventh Circuit relied heavily on its opinion in United indicted by Brazilian prosecutors for States v. Esquenazi (for more information on the Esquenazi decision, please allegedly taking bribes from 2003 see our May 20, 2014 update) to reject Duperval’s instrumentality argument. to 2008 related to engineering and In Esquenazi, the court broadly defined an “instrumentality” as “an entity construction contracts. controlled by the government of a foreign country that performs a function the controlling government treats as its own” and identified non-exhaustive factors 2/25/2015 General Cable Corp. for courts to consider in defining “control” and “function.” The court noted stated in its Form 8-K/A that it had that the government introduced evidence about Teleco in Duperval’s case that reserved $24 million for possible was identical to the evidence introduced in Esquenazi—namely that the Central disgorgement to settle FCPA offenses Bank of Haiti owned 97 percent of its shares and the government granted Teleco brought by the SEC. The SEC’s a monopoly over telecommunications services. Consequently, the Eleventh allegations stem from purported Circuit reaffirmed its relatively expansive construction of “instrumentality” bribe-tainted sales made in Angola.
Load more

Recommended publications
  • Eletrobras Settles Alleged FCPA Violations Revealed Through Brazil's "Operation Car Wash"
    Eletrobras Settles Alleged FCPA Violations Revealed Through Brazil's "Operation Car Wash" January 16, 2019 Anti-Corruption/FCPA On December 26, 2018, the U.S. Securities and Exchange Commission ("SEC") settled an enforcement action against Centrais Eléctricas Brasileiras S.A. ("Eletrobras"), an electric utilities holding company majority-owned and controlled by the Brazilian government. This is the second time in 2018 in which the United States government charged a Brazilian state-owned entity with violating the books and records and internal accounting controls provisions of the Foreign Corrupt Practices Act ("FCPA"). As with the September 2018 settlement with Petróleo Brasileiro S.A. ("Petrobras"), the alleged corruption scheme at an Eletrobras subsidiary was uncovered as part of the larger Operation Car Wash ("Lava Jato") in Brazil. Petrobras's settlement, however, involved a coordinated resolution with the U.S. Department of Justice ("DOJ"), the SEC, and the Brazilian Federal Public Ministry ("MPF"). In particular, the Eletrobras enforcement action was based on allegations that spanned from 2009 to 2015, former officers at Eletrobras's majority-owned nuclear power generation subsidiary, Eletrobras Termonuclear ("Eletronuclear"), inflated the costs of infrastructure projects and authorized the hiring of unnecessary contractors. In return, the former officers allegedly received approximately $9 million from construction companies that benefitted from the corrupt scheme. The construction companies also used the overpayment to fund bribes to leaders of Brazil's two largest political parties. The SEC alleged that Eletrobras violated the FCPA by recording inflated contract prices and sham invoices in Eletrobras's books and records, and by failing to devise and maintain a sufficient system of internal accounting controls.
    [Show full text]
  • Combating Corruption in Latin America: Congressional Considerations
    Combating Corruption in Latin America: Congressional Considerations May 21, 2019 Congressional Research Service https://crsreports.congress.gov R45733 SUMMARY R45733 Combating Corruption in Latin America May 21, 2019 Corruption of public officials in Latin America continues to be a prominent political concern. In the past few years, 11 presidents and former presidents in Latin America have been forced from June S. Beittel, office, jailed, or are under investigation for corruption. As in previous years, Transparency Coordinator International’s Corruption Perceptions Index covering 2018 found that the majority of Analyst in Latin American respondents in several Latin American nations believed that corruption was increasing. Several Affairs analysts have suggested that heightened awareness of corruption in Latin America may be due to several possible factors: the growing use of social media to reveal violations and mobilize Peter J. Meyer citizens, greater media and investor scrutiny, or, in some cases, judicial and legislative Specialist in Latin investigations. Moreover, as expectations for good government tend to rise with greater American Affairs affluence, the expanding middle class in Latin America has sought more integrity from its politicians. U.S. congressional interest in addressing corruption comes at a time of this heightened rejection of corruption in public office across several Latin American and Caribbean Clare Ribando Seelke countries. Specialist in Latin American Affairs Whether or not the perception that corruption is increasing is accurate, it is nevertheless fueling civil society efforts to combat corrupt behavior and demand greater accountability. Voter Maureen Taft-Morales discontent and outright indignation has focused on bribery and the economic consequences of Specialist in Latin official corruption, diminished public services, and the link of public corruption to organized American Affairs crime and criminal impunity.
    [Show full text]
  • Corruption and Anti-Corruption Agencies: Assessing Peruvian Agencies' Effectiveness
    University of Central Florida STARS Honors Undergraduate Theses UCF Theses and Dissertations 2020 Corruption and Anti-corruption Agencies: Assessing Peruvian Agencies' Effectiveness Kia R. Del Solar University of Central Florida Part of the Political Science Commons Find similar works at: https://stars.library.ucf.edu/honorstheses University of Central Florida Libraries http://library.ucf.edu This Open Access is brought to you for free and open access by the UCF Theses and Dissertations at STARS. It has been accepted for inclusion in Honors Undergraduate Theses by an authorized administrator of STARS. For more information, please contact [email protected]. Recommended Citation Del Solar, Kia R., "Corruption and Anti-corruption Agencies: Assessing Peruvian Agencies' Effectiveness" (2020). Honors Undergraduate Theses. 698. https://stars.library.ucf.edu/honorstheses/698 CORRUPTION AND ANTI-CORRUPTION AGENCIES: ASSESSING PERUVIAN AGENCIES’ EFFECTIVENESS by KIA DEL SOLAR PATIÑO A thesis submitted in partial fulfillment of the requirements for the Honors in the Majors Program in Political Science in the School of Politics, Security, and International Affairs and in the Burnett Honors College at the University of Central Florida Orlando, Florida Spring Term, 2020 Thesis Chair: Bruce Wilson, Ph.D. Abstract Corruption has gained attention around the world as a prominent issue. This is because corruption has greatly affected several countries. Following the exploration of various definitions and types of corruption, this thesis focuses on two efforts to rein in “grand corruption”, also known as executive corruption. The thesis is informed by existing theories of corruption as well as anti- corruption agencies and then situates Peru’s experience with corruption in its theoretical context and its broader Latin American context.
    [Show full text]
  • Preventing Systemic Corruption in Brazil
    Preventing Systemic Corruption in Brazil Sérgio Fernando Moro Abstract: This essay describes the Brazilian anticorruption operation known as Operação Lava Jato (“Operation Car Wash”), its findings, and its results based on cases tried up to March 2018. Told from the perspective of the federal judge of the Thirteenth Federal Criminal Court of Curitiba, in whose court most of the Lava Jato cases have been prosecuted, this massive criminal case offers lessons that may be useful to other anticorruption efforts. Preventing systemic corruption is a challenge, but it is a necessary step for the improvement of democracy. What began as an investigation of an isolated in- stance of corruption within a Brazilian oil compa- ny expanded into an immense anticorruption oper- ation known as Operação Lava Jato (“Operation Car Wash”). This investigative operation has penetrat- ed deep within Brazil’s government and corporate elite to root out systemic state-sanctioned corrup- tion. Its criminal cases also appear to be instating new legal norms for how corruption cases are han- dled in Brazil, giving citizens hope that Lava Jato’s impact will be felt far into the future. How Brazilian prosecutors and courts dealt with this immense anti- corruption effort may provide important lessons for the battle against systemic corruption both in Bra- zil and elsewhere. This essay provides a comprehen- sive account of Lava Jato and its significance for Bra- zil going forward. It is important to note from the beginning that Lava sÉrgio fernando moro is Jato is not a single criminal case but several, in which a Federal Judge of the Thirteenth federal prosecutors have decided to pursue separate Federal Criminal Court of Curi- charges against many defendants.
    [Show full text]
  • Key 2017 Developments in Latin American Anti-Corruption Enforcement
    March 15, 2018 KEY 2017 DEVELOPMENTS IN LATIN AMERICAN ANTI-CORRUPTION ENFORCEMENT To Our Clients and Friends: In 2017, several Latin American countries stepped up enforcement and legislative efforts to address corruption in the region. Enforcement activity regarding alleged bribery schemes involving construction conglomerate Odebrecht rippled across Latin America's business and political environments during the year, with allegations stemming from Brazil's ongoing Operation Car Wash investigation leading to prosecutions in neighboring countries. Simultaneously, governments in Latin America have made efforts to strengthen legislative regimes to combat corruption, including expanding liability provisions targeting foreign companies and private individuals. This update focuses on five Latin American countries (Mexico, Brazil, Argentina, Colombia, and Peru) that have ramped up anti-corruption enforcement or passed legislation expanding anti-corruption legal regimes.[1] New laws in the region, coupled with potentially renewed prosecutorial vigor to enforce them, make it imperative for companies operating in Latin America to have robust compliance programs, as well as vigilance regarding enforcement trends impacting their industries. 1. Mexico Notable Enforcement Actions and Investigations In 2017, Petróleos Mexicanos ("Pemex") disclosed that Mexico's Ministry of the Public Function (SFP) initiated eight administrative sanctions proceedings in connection with contract irregularities involving Odebrecht affiliates.[2] The inquiries stem from a 2016 Odebrecht deferred prosecution agreement ("DPA") with the U.S. Department of Justice ("DOJ").[3] According to the DPA, Odebrecht made corrupt payments totaling $10.5 million USD to Mexican government officials between 2010 and 2014 to secure public contracts.[4] In September 2017, Mexico's SFP released a statement noting the agency had identified $119 million pesos (approx.
    [Show full text]
  • Brazil's “Operation Car Wash”: the Latest Chapter
    Brazil’s “Operation Car Wash”: The Latest Chapter Kelly Kramer Bernardo Weaver Partner Partner + 1 202 263 3007 +55 11 2504 4604 [email protected] [email protected] September 20, 2016 Speakers Kelly Kramer Bernardo Weaver Washington, DC São Paulo (T&C) + 1 202 263 3007 +55 11 2504 4604 [email protected] [email protected] Topics for Discussion 1. Origins 2. Petrobras Scheme 3. Change/Expansion in Scope 4. Current Status of Key Political Figures 5. (Proposed) Changes in Legislation 6. Changes in Law Enforcement Techniques 7. Changes in Law Enforcement Behavior 8. Leniency Agreements? 9. The Future “Operation Car Wash” – Origins Money laundering Posto da Torre Brasília-DF Alberto Youssef Paulo Roberto Costa (Black market dollar operator) Former Supply Director of Petrobras “Operation Car Wash” – Scheme Political Nominations “Operation Car Wash” – Change/Expansion of Scope Petrobras (Corruption, cartel, Money Laundering / embezzlement of ??? Drug Dealing overpriced contracts (or ∞) and money laundering) Allegations: • Political slush funds • Unlawful funding of political campaigns (presidential campaigns) • Construction companies’ affairs in other countries are now under scrutiny (e.g., Peru) • Obstruction of justice • Other Government entities (e.g., Eletrobras, BNDES*, Pension Funds*) • 2014 World Cup and the 2016 Olympics “Operation Car Wash” – Main Characters: Allegations Lula – Criminal complaint filed by “Operation Car Wash” Taskforce Dilma Rousseff – Impeached but currently still eligible to hold office Eduardo Cunha
    [Show full text]
  • The Guide to Corporate Compliance
    LATIN LAWYER INSIGHT The Guide to Corporate Compliance Editors Andrew M Levine Reynaldo Manzanarez Radilla Valeria Plastino Fabio Selhorst Published in association with LACCA Latin American Corporate Counsel Association © Law Business Research 2020 The Guide to Corporate Compliance Editors Andrew M Levine Reynaldo Manzanarez Radilla Valeria Plastino Fabio Selhorst Reproduced with permission from Law Business Research Ltd This article was first published in June 2020 For further information please contact [email protected] LATIN LAWYER Published in association with LACCA © Law Business Research 2020 Publisher Clare Bolton Deputy Publisher Rosie Creswell Senior Account Manager Monica Fuertes Senior Content Coordinator Hannah Higgins Head of Production Adam Myers Production Editor Caroline Fewkes Subeditor Martin Roach Chief Executive Officer Nick Brailey Published in the United Kingdom by Law Business Research Ltd, London Meridian House, 34-35 Farringdon Street, London, EC4A 4HL, UK © 2020 Law Business Research Ltd www.latinlawyer.com No photocopying: copyright licences do not apply. The information provided in this publication is general and may not apply in a specific situation, nor does it necessarily represent the views of authors’ firms or their clients. Legal advice should always be sought before taking any legal action based on the information provided. The publishers accept no responsibility for any acts or omissions contained herein. Although the information provided is accurate as of March 2020, be advised that this
    [Show full text]
  • Combating Corruption in Latin America: Congressional Considerations
    Combating Corruption in Latin America: Congressional Considerations May 21, 2019 Congressional Research Service https://crsreports.congress.gov R45733 SUMMARY R45733 Combating Corruption in Latin America May 21, 2019 Corruption of public officials in Latin America continues to be a prominent political concern. In the past few years, 11 presidents and former presidents in Latin America have been forced from June S. Beittel, office, jailed, or are under investigation for corruption. As in previous years, Transparency Coordinator International’s Corruption Perceptions Index covering 2018 found that the majority of Analyst in Latin American respondents in several Latin American nations believed that corruption was increasing. Several Affairs analysts have suggested that heightened awareness of corruption in Latin America may be due to several possible factors: the growing use of social media to reveal violations and mobilize Peter J. Meyer citizens, greater media and investor scrutiny, or, in some cases, judicial and legislative Specialist in Latin investigations. Moreover, as expectations for good government tend to rise with greater American Affairs affluence, the expanding middle class in Latin America has sought more integrity from its politicians. U.S. congressional interest in addressing corruption comes at a time of this heightened rejection of corruption in public office across several Latin American and Caribbean Clare Ribando Seelke countries. Specialist in Latin American Affairs Whether or not the perception that corruption is increasing is accurate, it is nevertheless fueling civil society efforts to combat corrupt behavior and demand greater accountability. Voter Maureen Taft-Morales discontent and outright indignation has focused on bribery and the economic consequences of Specialist in Latin official corruption, diminished public services, and the link of public corruption to organized American Affairs crime and criminal impunity.
    [Show full text]
  • Petrobrás in the Webs of Corruption: Discursive Mechanisms of the Brazilian Media in Operation Car Wash Coverage
    11 C. RevistaR. O. Medeiros; de Contabilidade R. A. Silveira e /Organizações Rev. Cont Org 31 31 (2017) (2017) 11-20 11-20 Revista de Journal of Contabilidade e DOI: http://dx.doi.org/10.11606/rco.v11i31.134817 Accounting and Organizações Organizations www.rco.usp.br www.rco.usp.br Petrobrás in the webs of corruption: discursive mechanisms of the Brazilian media in Operation Car Wash coverage A Petrobrás nas teias da corrupção: mecanismos discursivos da mídia brasileira na cobertura da Operação Lava Jato Cintia Rodrigues de Oliveira Medeirosa; Rafael Alcadipani da Silveirab a Universidade Federal de Uberlândia bFundação Getúlio Vargas Keywords Abstract Corruption. In this paper, our objective is to explore the construction and design of corruption Media. scandals by the media regarding Operation Car Wash, which made Petrobrás the Car Wash. protagonist of one of the greatest corruption scandals in Brazil. Our analysis was Petrobrás. based on the media coverage of the digital edition of two Brazilian publications (Folha de S.Paulo newspaper and Veja Magazine), in a grounded theory in constructivist perspective. As results, we analyzed the case studied in four elements of the theory of scandals, and two discursive mechanisms used by the analyzed media were identified. The first acts in the dimension of the event, initially placing Petrobrás at the center of the scandal, and the latter represents its political nature. The proposition is that the media articulate discourses in order to construct meanings. Palavras-chave Resumo Corrupção. Nesse artigo, nosso objetivo é explorar a construção e o delineamento de escândalos Mídia. de corrupção pela mídia no caso da Operação Lava Jato, que tornaram a Petrobrás Lava Jato.
    [Show full text]
  • An Application of Economic Norms Theory to Brazilian Corruption
    University of Central Florida STARS Honors Undergraduate Theses UCF Theses and Dissertations 2021 An Application of Economic Norms Theory to Brazilian Corruption Nina B. Neto University of Central Florida Part of the International and Area Studies Commons Find similar works at: https://stars.library.ucf.edu/honorstheses University of Central Florida Libraries http://library.ucf.edu This Open Access is brought to you for free and open access by the UCF Theses and Dissertations at STARS. It has been accepted for inclusion in Honors Undergraduate Theses by an authorized administrator of STARS. For more information, please contact [email protected]. Recommended Citation Neto, Nina B., "An Application of Economic Norms Theory to Brazilian Corruption" (2021). Honors Undergraduate Theses. 1014. https://stars.library.ucf.edu/honorstheses/1014 AN APPLICATION OF ECONOMIC NORMS THEORY TO BRAZILIAN CORRUPTION by NINA NETO A thesis submitted in partial fulfillment of the requirements for the Honors in the Major Program in International and Global Studies in the College of Sciences and in the Burnett Honors College at the University of Central Florida Orlando, Florida Spring Term, 2021 Thesis Chair: Michael Mousseau, Ph.D. i Abstract: This study aims to explore the relationship between clientelistic economies and systemic corruption under the framework of Economic Norms Theory. Pointedly, it examines the evolution of contractual mortgage credit as a percentage of GDP (representing the growth of a non-self-enforcing contract market) compared to both actual and perceived levels of corruption in Brazil in order to assess whether Brazil is exemplary of a transitioning economy under the theory of Economic Norms.
    [Show full text]
  • Doing Business in Brazil After Operation Car Wash
    For the exclusive use of J. Silva, 2019. IN1518 Doing Business in Brazil after Operation Car Wash 07/2018-6404 This case was written by Felipe Monteiro, Affiliate Professor of Strategy at INSEAD and Senior Fellow at the Mack Institute at the Wharton School, and Tulio Albuquerque, Founder and CEO of Initbridge.com. It is intended to be used as a basis for class discussion rather than to illustrate either effective or ineffective handling of an administrative situation. A funding grant from INSEAD’s Emerging Markets Institute (EMI) and research assistance from Pedro Loureiro and Patrick Heuman are gratefully acknowledged. Additional material about INSEAD case studies (e.g., videos, spreadsheets, links) can be accessed at cases.insead.edu. Copyright © 2018 INSEAD COPIES MAY NOT BE MADE WITHOUT PERMISSION. NO PART OF THIS PUBLICATION MAY BE COPIED, STORED, TRANSMITTED, REPRODUCED OR DISTRIBUTED IN ANY FORM OR MEDIUM WHATSOEVER WITHOUT THE PERMISSION OF THE COPYRIGHT OWNER. This document is authorized for use only by Juan Silva in INB 5822 2009 Winter 2 taught by RAMDAS CHANDRA, Nova Southeastern University from Mar 2019 to Jul 2019. For the exclusive use of J. Silva, 2019. [Former US] President Theodore Roosevelt delivered a strong speech before the United States Congress in 1903, that was [designed] to address the problem of corruption. I really believe that we in Brazil – not as a judge or as a prosecutor but the Brazilian people – could use his words in the same way. Roosevelt said, ‘The exposure and punishment of public corruption is an honour to a nation, not a disgrace.
    [Show full text]
  • Odebrecht Money Laundering Probe – Global Investigations Review – GIR
    5/10/2019 A lawyer’s battle with prosecutors lifts lid on Odebrecht money laundering probe – Global Investigations Review – GIR globalinvestigationsreview.com A lawyer’s battle with prosecutors lifts lid on Odebrecht money laundering probe Kelly Swanson 08 May 2019 Buy now Credit: iStock.com/ManuelGonzalezOlaecheaFranco https://globalinvestigationsreview.com/article/jac/1192553/a-lawyer’s-battle-with-prosecutors-lifts-lid-on-odebrecht-money-laundering-probe 1/8 5/10/2019 A lawyer’s battle with prosecutors lifts lid on Odebrecht money laundering probe – Global Investigations Review – GIR Peruvian prosecutors have been slow to pursue allegations that Gonzalo Eduardo Monteverde Busselau and his wife Maria Isabel Carmona helped Brazilian construction company Odebrecht launder millions of dollars in bribes. US prosecutors have now become involved, seizing the couple’s Florida bank account and alluding to their own criminal investigation into the pair’s role in the Odebrecht scheme, according to court lings. In response, the couple have gone on the oensive, hiring a Miami defence lawyer who has challenged the US Department of Justice’s jurisdiction and questioned the quality of the evidence against his clients. Peru’s struggles In 2007, Peruvian attorney Pedro Morote was given a new computer by his clients Monteverde and Carmona, according to testimony (https://www.scribd.com/document/335579724/Pedro-Morote-Cornejo) he provided to lawmakers in Peru years later. The computer’s hard drive was not wiped by its previous owners, and on it were documents that he says unlock the inner workings of the Odebrecht corruption scandal in Peru, he told lawmakers in his 2016 testimony.
    [Show full text]