Independent Monitors will Inspect Odebrecht Operations

As part of the agreement signed with the Brazilian, U.S. and Swiss governments, Compliance specialists began working within the group

Two independent external monitors will monitor compliance with the commitments Odebrecht assumed as part of the Leniency Agreement signed with Brazil’s Federal Prosecutor (MPF), the U.S. Department of Justice (DoJ) and Swiss Attorney General’s Office. Last week, American Charles Duross and Brazilian Otavio Yazbek held several meetings with the Business Leaders and Compliance teams.

The presence of these monitors, through Odebrecht S.A., proves the Odebrecht Group’s determination to adopt ethical, upstanding and transparent business practices. The two professionals will verify, for example, whether the internal Compliance System measures that were recently emphasized – prevention, detection and remediation – are being fully implemented within each one of the Businesses.

For a three-year period, Duross and Yazbek will have full access to evaluate even the Group’s financial and accounting practices. They will deliver frequent reports to the DoJ and MPF about the efficiency of the Compliance measures implemented by the business group.

About the Monitors

Charles Duross is a partner at the firm Morrison & Foerster, where he leads the Anticorruption Practices area. He as over 12 years of experience in cases related to white collar crimes, including internal investigations. He is also Adjunct Professor at the Georgetown University Law Department and former employee of the DoJ, where he supervised investigations by U.S. authorities focused on cases of corruption in over 50 countries.

With a doctorate in Economic Law and B.A. in Law from the University of São Paulo (USP), Yazbek was Director of Regulation at BM&F (2006 to 2008), Director of Self-Regulation at BM&FBOVESPA (2008), Director of the Securities and Exchange Commission of Brazil (2009 to 2013) and member of the Standing Committee on Supervisory and Regulatory Cooperation for the Financial Stability Board (2009 to 2013).

The professionals were chosen based on a three-name list of candidates created by Odebrecht for MPF and the DoJ. Both agencies chose Yazbek and Duross.

Recent Measures

The Compliance teams from Odebrecht S.A. and the Businesses include more than 40 professionals. Since July 2016, which marked a seminar that gathered approximately 170 leaders, the business group accelerated the implementation of measures that are part of its Compliance and Governance System.

All the companies have their own Board of Directors, with at least 20% independent members – and no fewer than two representatives – from the Board of Directors. A Compliance Committee was also created, ensuring more independence and autonomy for each professional responsible for Compliance at the Businesses.

In December, a new policy was approved at Odebrecht S.A., and after that, at all Businesses. Based on best global practices, the Compliance Policy is designed to help guide members’ behavior and their internal and external relations, regardless of their hierarchical level.