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Another Brazil State-Run Giant Readies Its Own Graft Writedowns

  • Eletrobras probe into corruption losses nears completion
  • Final piece of puzzle is testimony from Andrade executives
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A year after Brazilian oil giant Petroleo Brasileiro SA took a writedown of $2.1 billion because of the sweeping corruption scandal known as Carwash, another state-run company is getting closer to reporting its own price tag from graft losses.

The team of lawyers and specialists hired by Centrais Eletricas Brasileiras SA has finished the bulk of its investigation to assess the size of losses from corruption committed by some builders the company contracted, according to a person familiar with the matter who isn’t authorized to speak publicly and asked not to be identified. Before it can finish its work, the group needs one more piece to the puzzle: testimony given to federal prosecutors last month by executives from Andrade Gutierrez SA, a construction firm that worked on key projects, from the Belo Monte dam deep in the Amazon jungle to the Angra nuclear plant tucked in a Rio de Janeiro bay, said the person.