On November 6, 2014 in Montreal. SNC-Lavalin Group is cutting its quarterly dividend for shareholders by 80 per cent as the troubled construction and engineering company grapples with a $2.12 billion net loss in its second quarter. THE CANADIAN PRESS/Paul Chiasson

On November 6, 2014 in Montreal. SNC-Lavalin Group is cutting its quarterly dividend for shareholders by 80 per cent as the troubled construction and engineering company grapples with a $2.12 billion net loss in its second quarter. THE CANADIAN PRESS/Paul Chiasson

SNC-Lavalin pleads guilty to fraud, will pay a $280M fine for Libyan work

The criminal cases are separate, but both relate to allegations of corruption and fraud in Libya

A division of SNC-Lavalin Group Inc. will plead guilty to a charge of fraud and pay a $280-million penalty related to work the company did in Libya.

The plea deal comes on the heels of the conviction of a former top SNC-Lavalin executive last Sunday.

The criminal cases are separate, but both relate to allegations of corruption and fraud in Libya going back roughly two decades.

The company and two of its subsidiaries face charges that they paid nearly $48 million to public officials to influence government decisions under the late dictator Moammar Gadhafi’s regime between 2001 and 2011.

READ MORE: New SNC-Lavalin CEO says plea deal unlikely despite Liberal election win

The case also includes charges of fraud and corruption against the company for allegedly defrauding various Libyan organizations of roughly $130 million in a case that ensnared the company as well as the federal Liberal government in a political controversy.

Experts say the jury verdict Sunday that found former executive Sami Bebawi guilty of paying off foreign officials as he worked to secure contracts for the firm may have a bearing on the prosecution of the company. They say the case could hinge on whether senior SNC officials acted with the company’s blessing.

SNC-Lavalin Group Inc. shares were halted prior the news.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

Flora Northwest was taken to the Ermineskin residential school when she was six years old. (Emily Jaycox/Ponoka News)
Ermineskin residential school survivor: ‘It just brings me back to the cries at night’

Discovery in Kamloops of remains of 215 children a painful time for survivors

The Government of Alberta identified 115 new COVID-19 cases Sunday, bringing the provincial total to 3,089.
(Black Press file photo)
Red Deer drops to 71 active cases of COVID-19

Province adds 127 new cases of the virus

Police officers and their dogs undergo training at the RCMP Police Dog Services training centre in Innisfail, Alta., on Wednesday, July 15, 2015. Mounties say they are searching for an armed and dangerous man near a provincial park in northern Alberta who is believed to have shot and killed a service dog during a police chase. THE CANADIAN PRESS/Jeff McIntosh
RCMP search for armed man in northern Alberta after police dog shot and killed

Cpl. Deanna Fontaine says a police service dog named Jago was shot during the pursuit

Alberta now has 2,336 active cases of COVID-19, with 237 people in hospital, including 58 in intensive care. (Black Press file photo)
Red Deer down to 73 active cases of COVID-19, lowest since early November

The Central zone has 253 active cases of the virus

Marco Mendicino, Minister of Immigration, Refugees and Citizenship during a press conference in Ottawa on Thursday, May 13, 2021. THE CANADIAN PRESS/Sean Kilpatrick
Canada to welcome 45,000 refugees this year, says immigration minister

Canada plans to increase persons admitted from 23,500 to 45,000 and expedite permanent residency applications

A dose of the Pfizer-BioNTech COVID-19 vaccine is pictured at a vaccination site in Vancouver Thursday, March 11, 2021. THE CANADIAN PRESS/Jonathan Hayward
NACI advice to mix vaccines gets varied reaction from AstraZeneca double-dosers

NACI recommends an mRNA vaccine for all Canadians receiving a second dose of a COVID-19 vaccine

Bruce Springsteen performs at the 13th annual Stand Up For Heroes benefit concert in support of the Bob Woodruff Foundation in New York on Nov. 4, 2019. (Greg Allen/Invision/AP)
Canadians who got AstraZeneca shot can now see ‘Springsteen on Broadway’

B.C. mayor David Screech who received his second AstraZeneca dose last week can now attend the show

A lotto Max ticket is shown in Toronto on Monday Feb. 26, 2018.THE CANADIAN PRESS
No winning ticket sold for Friday’s $70 million Lotto Max jackpot

The huge jackpot has remained unclaimed for several weeks now

Canadian Prime Minister Justin Trudeau is seen during a joint news conference following the EU-Canada Summit, in Brussels, Belgium, Tuesday June 15, 2021. Trudeau says Canada is on track now to have 68 million doses delivered by the end of July, which is more than enough to fully vaccinate all 33.2 million Canadians over the age of 12. THE CANADIAN PRESS/Adrian Wyld
Vaccine deliveries enough to fully vaccinate all eligible Canadians by end of July

Three in four eligible Canadians now have their first dose, nearly one in five fully vaccinated.

Chief Public Health Officer Theresa Tam listens to a question during a news conference, in Ottawa, Tuesday, Jan. 12, 2021. The number of confirmed COVID-19 cases attributed to the highly contagious Delta variant grew in Canada this week. THE CANADIAN PRESS/Adrian Wyld
Canada’s public health agency reports spike in confirmed cases of Delta variant

More than 2,000 cases of the variant confirmed across all 10 provinces and in one territory

The federal government says it wants to ban most flavoured vaping products in a bid to reduce their appeal to youth. THE CANADIAN PRESS/AP-Craig Mitchelldyer
Health Canada proposes ban on most vaping flavours it says appeal to youth

If implemented, the regulations would restrict all e-cigarette flavours except tobacco, mint and menthol

The Montreal Police logo is seen in Montreal on Wednesday, July 8, 2020. Some Quebec politicians are calling for an investigation after a video was released that appears to show a Montreal police officer with his leg on a young Black man’s neck during an arrest. THE CANADIAN PRESS/Paul Chiasson
Probe called for after video appearing to show Montreal officer’s knee on Black youth’s neck

Politicians call for investigation after clip evokes memories of George Floyd incident

Most Read