Things are looking less sour for graft-tainted engineering giant SNC-Lavalin, which received a boost Monday when an analyst upgraded his rating and price estimate for the company’s stock following changes to the federal government’s procurement policy, announced in last week’s budget.
Media sources in India are following the Canadian government’s investigation of SNC-Lavalin with great interest.
(January 17, 2007) The Kerala High Court in south-western India has directed the country’s top investigation agency to look into a corruption scandal concerning a years’ old government electricity contract awarded to a Canadian construction firm.
(February 17, 2006) President of the Kerala Pradesh Congress Committee Ramesh Chennithala termed the SNC Lavalin deal as the biggest scam in the history of Kerala.
India’s Comptroller and Auditor General finds major lapses in government electricity deal with Canadian firm, SNC Lavalin
(February 21, 2006) The Comptroller and Auditor General of India (CAG) has uncovered serious deviations in a power contract awarded to Canadian construction
firm SNC Lavalin in 1996.
(February 15, 2006) Party State secretariat accuses ruling front of having falsified facts.
(February 14, 2006) The KSEB signed an MoU with Lavalin in August 1995. Under the provisions of the MoU, the funds for the renovation were to be arranged by SNC Lavalin from the Export Development Corporation (EDC), Canada, and the Canadian International Development Agency (CIDA). The Board did
so, ignoring the CEA’s recommendation that immediate replacement of the generating units at the allivasal power station was not called for as the plant was in fairly good condition.
(February 13, 2006) The supply of goods and services were actually made by other firms at much higher costs leading to ‘extra avoidable payments.’ Quality of renovation work executed by the contractor in the absence of technology transfer and training could not be ensured.
(August 2, 2005) Six-month deadline for panel to submit report.
The news EDC is to investigate allegations that its support of SNC-Lavalin’s Matala Dam project in Angola was used to pay bribes has us on pins and needles. How thorough will the investigation be? Will we ever learn the results?
Legal expert Andrew Roman joins host Vassy Kapelos on Power & Politics (CBC News) to provide legal analysis of the SNC-Lavalin case.
Export Development Canada launches review of 2011 deal with engineering company. This CBC News report includes comments from Patricia Adams of Probe International who says if there’s any truth to the allegations EDC money was used for bribes, it implicates all Canadians: “[EDC] operates on the Queen’s credit card. That means that it operates on our credit cards.”
Patricia Adams, economist and executive director at Probe International, joins BNN Bloomberg to discuss why she thinks SNC-Lavalin must go through a criminal probe if Canadians are “ever to know who did what” in the case.
Did the Prime Minister’s Office panic over SNC-Lavalin’s story of impeding doom? Or did they have real numbers showing the future effects of a criminal prosecution? Second in a series by Andrew Roman.
DPAs don’t cut it, says Patricia Adams of Probe International. A trial here or elsewhere would not only expose who knew what and when within the firm; it would also expose who in government might have been involved.