According to SembMarine’s announcement, the raid by the Brazilian police, the date of which has not been specified, was in relation to on-going investigations against EJA’s former consultant, Guilherme Esteves de Jesus. He was arrested on March 27, 2015. The announcement also named, for the first time, a SembMarine executive as part of the probe: Martin Cheah Kok Choon, former president of EJA.
SINGAPORE (July 8): Singapore’s formerly thriving offshore oil and gas sector has received yet another rude jolt: The fallout from the multi-year bribery-for-contracts scandal in Brazil is not over.
In a pre-market announcement on July 3, Sembcorp Marine said the Brazilian federal police had conducted a search of the premises of its subsidiary Estaleiro Jurong Aracruz (EJA) in Brazil. Investors were spooked. SembMarine shares crashed from $1.54 to $1.41 on July 3, before recovering to close a cent higher at $1.42 on July 4. Some $250 million in market value was destroyed in these two days.
