Honeywell reaches $160M settlement in bribery investigation

Dec. 19 (UPI) -- Multinational tech and aerospace company Honeywell agreed to pay an estimated $160 million settlement to conclude an investigation into previous bribery accusations.

The Justice Department announced the settlement on Monday, crediting Honeywell's current leadership for cooperating with the investigation.

Honeywell was accused of bribing high-level energy officials in Brazil and Algeria in order to win contracts, subverting fair market competition. Between 2010 and 2014, the conglomerate offered about $4 million to a Petróleo Brasileiro S.A. executive in Brazil, and was awarded a $425 million contract. This contract earned the company an estimated $105.5 profit.

The subsidiary of Honeywell was found to have used the same bribery tactics to secure a contract with Unaoil Group, an oil company based in Monaco. The contract was for services in Algeria.

Honeywell's alleged actions were in violation of the Foreign Corrupt Practices Act.

"Money is the center of the criminal world, and this company became a part of that world when it failed to adhere to national and international laws," said Special Agent in Charge Ramsey E. Covington of the IRS Criminal Investigation (CI) Houston Field Office.

"Our investigation in this case remains open and we are working with our law enforcement and prosecutorial partners to ensure that crime doesn't pay."

The Justice Department cooperated with the U.S. Securities and Exchange Commission and prosecutors in Brazil in the investigation.

"We are pleased to have this legacy matter behind us, as these events in no way reflect the current leadership, culture and values that Honeywell has come to establish over a decade since this activity occurred," said Chief Executive Darius Adamczyk, the Wall Street Journal reports.

As part of the settlement, Honeywell agrees to cooperate with future investigations relating to this conduct. It will pay a criminal penalty of about $79 million while receiving $39.6 million in credit for amounts it agrees to pay in Brazil. It will pay another $81 million to resolve a parallel investigation by the SEC.