Brazilian airline GOL will pay  million to solve US and Brazilian bribery investigations

Brazilian airline GOL will pay $41 million to solve US and Brazilian bribery investigations

By Kanishka Singh

WASHINGTON (Reuters) – U.S. authorities said on Thursday that Brazilian airline Jules Linhas Arias Intelligence will pay more than $41 million to solve parallel bribery investigations by criminal and civil authorities in the United States and Brazil.

The department said in a statement that GOL entered into a three-year deferred prosecution agreement with the Department of Justice in connection with criminal information filed in Maryland accusing the company of conspiring to violate the Anti-bribery Act.

The US Securities and Exchange Commission said in a statement that Juul has agreed to pay $70 million to settle the charges.

But, she added, “Because of Juul’s inability to pay the fines in full, the Securities and Exchange Commission and (Department of Justice) waived payment of all but $24.5 million and $17 million.”

The Securities and Exchange Commission said Juul will pay about $3.4 million in additional fines to Brazilian authorities. The authority added that the airline had agreed with the Justice Department to pay more than $87 million to settle criminal charges.

Assistant Attorney General Kenneth Bullett, of the Justice Department’s Criminal Division, said Gul “paid millions of dollars in bribes to foreign officials in Brazil in exchange for passing legislation that would benefit the airline.”

Polit added that Gul “concluded fraudulent contracts with outside vendors for the purpose of generating and concealing the funds necessary to commit this criminal behavior, and then recorded the fictitious payments in its own books.”

Between 2012 and 2013, the company conspired to provide and pay about $3.8 million in bribes to foreign officials in Brazil, the Ministry of Justice said, citing court documents.

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Juul representatives could not immediately be reached for comment.

In late July, the company reported a huge net loss in the second quarter due to exchange rate fluctuations.

It also provided new forecasts for 2022 to reflect frequent increases in jet fuel prices and the impacts of traffic on prices, lowering its forecast for key metrics such as EBITDA margin and load factor, while increasing revenue expectations.

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