- The company firmly considers that the charges are without
merit and will vigorously defend itself.
- These charges do not affect the company's right and ability
to bid or work on any public or private projects.
- The charges stem from the same alleged activities of former
employees in Libya from over three
years ago and that are publicly known.
MONTREAL, Feb. 19, 2015 /CNW Telbec/ - Today,
SNC-Lavalin (TSX: SNC) was informed that federal charges have been
laid by the Public Prosecution Service of Canada against SNC-Lavalin Group Inc.,
SNC-Lavalin International Inc. and SNC-Lavalin Construction Inc.
Each entity has been charged with one count of fraud under section
380 of the Criminal Code of Canada
and one count of corruption under Section 3(1)(b) of the Corruption
of Foreign Public Officials Act. SNC-Lavalin firmly considers that
the charges are without merit and will vigorously defend itself and
plead not guilty in the interest of its current employees,
families, partners, clients, investors and other
stakeholders.
"The charges stem from the same alleged activities of
former employees from over three years ago in Libya, which are publicly known, and that the
company has cooperated on with authorities since then," stated
Robert G. Card, President and CEO,
SNC-Lavalin Group Inc. "Even though SNC-Lavalin has already
incurred significant financial damage and losses as a result of
actions taken prior to March 2012, we
have always been and remain willing to reach a reasonable and fair
solution that promotes accountability, while permitting us to
continue to do business and protect the livelihood of our over
40,000 employees, our clients, our investors and our other
stakeholders."
It is important to note that companies in other
jurisdictions, such as the United
States and United Kingdom,
benefit from a different approach that has been effectively used in
the public interest to resolve similar matters while balancing
accountability and securing the employment, economic and other
benefits of businesses.
These charges relate to alleged reprehensible deeds by
former employees who left the company long ago. If charges are
appropriate, we believe that they would be correctly applied
against the individuals in question and not the company. The
company has and will continue to fully cooperate with authorities
to ensure that any individuals who are believed to have committed
illegal acts are brought to justice. The company will also consider
claims against these individuals to recover any damages the company
has suffered as a result.
While the Public Prosecution Service of Canada and the RCMP have selected this as the
next formal step in this 3-year old investigation, there is no
change to the company's right and ability to bid or work on any
public or private projects.
Becoming a benchmark in ethics and
compliance
Over the past three years, we have made significant changes
to the company and remained focused on continuous improvements in
ethics and compliance. The tone from the top is clear and
unequivocal; there is zero tolerance for ethics violations. The
individuals alleged to have been involved in past ethical issues
are no longer with the company, and a new CEO has changed the face
of the executive team. Under the leadership of the Board of
Directors, the company has reinforced its Ethics and Compliance
program with huge investments in time and money to rapidly make
significant and concrete enhancements, including:
- Creating the position of Chief Compliance Officer, who
reports to the board, and hiring world-renowned leaders in
compliance
- Appointing an Independent Monitor recommended by and who
reports solely to, the World Bank Group
- Appointing compliance officers in all of the company's
business units and regional offices worldwide
- Creating a dedicated Ethics and Compliance
team
- Further reinforcing internal controls and
procedures
- Further reinforcing its Code of Ethics and Ethics and
Compliance Hotline
- Producing a dedicated Anti-Corruption Manual
- Offering annual compliance training to all employees,
with a special focus on those working in strategic
roles
- Developing and distributing a world-class Business
Partners Policy to employees
- Using an independent third party to screen candidates for
senior management positions
Working hard to build a global leader in the
engineering and construction industry
Over the past 3 years and while managing issues created by
events prior to 2012, we have worked hard to develop and implement
a strategy to become a global Tier-1 player and take our place in a
consolidating industry. We have taken concrete steps towards a
5-year goal of doubling our size, and we continue to deliver on our
strategy. A clear example is the acquisition of Kentz that added
15,000 employees to our oil and gas business, making us a Tier-1
player in this area.
Since 1911, SNC-Lavalin employees have been working with
our clients to create world-class projects that improve people's
quality of life and provide value to our clients. We are the only
Canadian player among the top engineering and construction firms in
the world, ranking as the number one firm in both Canada and Quebec.
"I would like to thank our more than 40,000 employees,
clients, shareholders, partners and other stakeholders for their
trust and continuing support," concluded Mr. Card
For further information please visit this page on our
website:
http://www.snclavalin.com/en/news/snc-lavalin-contests-the-federal-charges
About SNC-Lavalin
Founded in 1911, SNC-Lavalin is one of the leading
engineering and construction groups in the world and a major player
in the ownership of infrastructure. From offices in over 50
countries, SNC-Lavalin's employees provide EPC and EPCM services to
clients in a variety of industry sectors, including mining and
metallurgy, oil and gas, environment and water, infrastructure and
clean power. SNC-Lavalin can also combine these services with its
financing and operations and maintenance capabilities to provide
complete end-to-end project solutions.
www.snclavalin.com
SOURCE SNC-Lavalin