India Seeks Details From Embraer About U.S. Investigation

  • Request follows reports concerning surveillance jets purchase
  • Embraer says it’s cooperated with FCPA probes since 2011

India is seeking information from Embraer SA following reports that a U.S. investigation into the aircraft maker’s dealings may also include the South Asian country’s 2008 purchase of three surveillance jets.

The Ministry of Defense will ask for an explanation and details and may take further steps once it receives a reply, spokesman Nitin Wakankar tweeted on Saturday.

Embraer has been under investigation by U.S. authorities over business dealings with the Dominican Republic; that probe expanded to include the Brazilian aircraft maker’s involvement with more countries, including India, Folha de S.Paulo reported last week. In 2008, Embraer announced the sale of three EMB-145 airborne early-warning and control aircraft to the Indian government. 

In July, Embraer set aside $200 million in connection with a probe under the U.S. Foreign Corrupt Practices Act. 

“Since 2011, Embraer has publicly reported that it has been conducting an extensive internal investigation and cooperating with the authorities on investigations regarding alleged violations of the FCPA,” the company said in an e-mailed statement. Embraer has “voluntarily expanded the scope of the investigation, systematically reporting the progress of the case to the market.”

“The company is not party of the legal proceedings in Brazil; therefore, it does not have access to the information contained therein” it added.

Narendra Modi, India’s prime minister, outlined a plan of spending $150 billion to modernize India’s military after taking office in 2014. He’s trying to overcome a history of graft scandals and red tape that hurt efforts to upgrade the country’s armed forces.

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