Skip to comments.Mexican daily: Pemex admits "serious" corruption
Posted on 05/18/2013 8:24:17 PM PDT by SunkenCiv
State-owned Petroleos Mexicanos admits that "serious" corruption exists in some areas of the company and that contracting processes in particular have been plagued by "interference from organized crime," a leading Mexican daily said Friday.
In a front-page story, El Universal said Pemex representatives and members of the Mexican Construction Industry Chamber drew that conclusion at a meeting in late April.
Pemex executives acknowledged that corruption is fueled "by the elevated potential economic benefit of illegal acts, impunity and the spaces opened up due to unnecessary flexibility," the newspaper reported.
El Universal's story was published just days after rival daily Reforma reported that Pemex was suing former company executive Cesar Nava in the U.S. courts for his alleged involvement in a conspiracy to defraud the oil giant.
Nava, erstwhile chairman of Mexico's conservative National Action Party, has been named in briefs expanding the $500 million lawsuit Pemex filed last December against Siemens AG and South Korea-based SK Engineering & Construction Co. for ostensibly bribing Pemex executives, Reforma said.
As Pemex's legal director in 2002, Nava intervened to stop the company from collecting $102.8 million from Siemens and SK to compensate for contract violations in the overhaul of the Cadereyta refinery, according to the court documents cited by that daily.
The defendants obtained $182.4 million by systematically overcharging Pemex for work on the refinery, the lawsuit maintains...
The company has not commented publicly on the matter.
Pemex has a monopoly on crude production and fuel distribution in Mexico, but the government is expected to present a bill in the coming months that could open the energy sector to more competition while also reducing Pemex's tax burden.
(Excerpt) Read more at laprensasa.com ...
Petroleos Mexicanos' former CEO, Juan Jose Suarez Coppel (center), speaks at a press conference in Mexico City in September 2012. Pemex admits that "serious" corruption exists in some areas of the company and that contracting processes in particular have been plagued by "interference from organized crime," leading Mexican daily El Universal said Friday. EFE/File
Oil have to do something in the real world tomorrow.
I’m shocked. Shocked!
Where is Capt. Obvious when you need him?
This story can be written each year and the only thing they need to change is the date.
Rejoinder is a big uh “DUH!!!”
I knew it was totally corrupt over 50 years ago, what took them so long?
A state monopoly is corrupt? Who could have imagined such a thing?
I saw an article years ago about Pemex. Said it was (is?) the only oil company in the world that doesn’t make a profit.
The major Mexican parties have agreed to privatize the company. Hopefully that will help the company with the corruption and profitability.
Me too.....I don brought a case o beer and drunk it obama self.
...and in other news from Mehico...it was announced that refritos can cause flatulence...
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.