Petrobras Judge Allows Lawsuit While Dismissing Some Claims
(Bloomberg) -- An investor lawsuit against Petroleo Brasileiro SA over securities losses stemming from a multi- billion-dollar bribery scheme will go forward, a U.S. judge ruled, dismissing some but not all claims in the case.
The federal judge in Manhattan told the two sides to be ready for trial by February, according to a court order.
Investors accuse executives of the state-owned oil company, known as Petrobras, of publishing misleading financial statements and overstating the quality of internal controls during a multibillion-dollar money-laundering and bribery scheme that rocked Brazil’s economy and cut the value of the oil giant’s securities.
Petrobras argued that the case should be thrown out, saying the company was a victim of the plot, run by contractors and “rogue” politicians with help from a few corrupt employees. The cash traded for political favors came from the company, it said.
The case is In re: Petrobras Securities Litigation, 14- cv-09662, U.S. District Court, Southern District of New York in Manhattan.
To contact the reporters on this story: Linda Sandler in New York at email@example.com; Patricia Hurtado in federal court in Manhattan at firstname.lastname@example.org. To contact the editor responsible for this story: David Glovin at email@example.com.
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
Operates 34 Offshore Rigs
Manages 10 Offshore Rigs
- Exxon, Petrobras Form Alliance To Develop Oil, Gas Projects (Dec 14)
- Natural Gas In Petrobras Pipelines Up About 23% In 2017 (Dec 05)
- Petrobras CEO Says To Discuss Refining Partnership With CNPC CEO (Nov 15)
Company: Petroleo Brasileiro SA more info
- From Champs To Chumps: Latin America Oil Giants Owe $275B (Mar 11)
- Brazil Oil Workers' Union Proposes Ending Petrobras Strike (Nov 13)
- Petrobras Seeks Funding Alternatives to Counter Junk Debt Yields (Nov 13)