Honeywell Discloses Foreign Bribery Probes

By Dylan Tokar 

Honeywell International Inc. said Thursday it is cooperating with bribery investigations by U.S. and Brazilian authorities.

The probes by the U.S. Justice Department, the Securities and Exchange Commission and Brazilian authorities focus on Honeywell's compliance with the Foreign Corrupt Practices Act and similar laws in Brazil, the industrial conglomerate said in a quarterly securities filing.

Authorities are examining Honeywell's use of third parties that previously worked for its oil products business in connection with Brazil's state-controlled oil company Petróleo Brasileiro SA, the company said.

"Honeywell complies with all laws in all countries in which we do business and requires all of our representatives to do the same," a Honeywell spokesman said in a statement. The company said it didn't anticipate the probes would have a material effect on its financial condition.

Petróleo Brasileiro, known as Petrobras, last year agreed to pay $853.2 million in joint settlements with U.S. and Brazilian authorities to resolve an investigation into a bribery and kickback scheme by a cartel of construction companies. The company didn't immediately respond to a request for comment.

The Justice Department and the SEC also are investigating a Honeywell subsidiary's previous engagement with oil-services firm Unaoil SAM in Algeria, Honeywell said Thursday.

The Unaoil Group came under scrutiny in 2016 after a series of media reports alleged it was at the center of far-ranging scheme to pay bribes on behalf of clients in the oil-and-gas industry. The U.K.'s Serious Fraud Office last year brought criminal charges against two Unaoil units, including Unaoil SAM.

A lawyer representing Unaoil didn't immediately respond to a request for comment.

Write to Dylan Tokar at [e-mail]

(END) Dow Jones Newswires

July 18, 2019 18:14 ET (22:14 GMT)

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