SAO PAULO, Feb 1 (Reuters) – A Brazilian choose sentenced the previous head of state-run oil firm Petrobras’ worldwide division to 12 years and two months in jail for corruption and cash laundering on Monday, a part of the nation’s largest-ever graft investigation.

 Federal choose Sergio Moro mentioned Jorge Zelada had unduly awarded U.S. firm Vantage Drilling a 2009 contract with Petrobras for the drillship Titanium Explorer in alternate for bribes stashed in undeclared accounts in Monaco and Switzerland.

Moro additionally convicted former Petrobras govt Eduardo Musa and lobbyist Hamylton Padilha, although their sentences had been decreased as a result of they signed plea agreements.

Prosecutors mentioned collectively Zelada and Musa took $31 million in bribes from Padilha and Hsin Chi Su, chief govt of Taiwanese delivery agency TMT, after Padilha and Su, a Vantage shareholder, met on the Four Seasons Hotel in New York to debate the bribe.

For practically two years the landmark investigation overseen by Moro has largely targeted on native engineering corporations and executives accused of worth fixing and overcharging Petrobras for work after which utilizing the additional funds to bribe politicians.

But it has already ensnared some worldwide corporations tied to Petrobras. Prosecutors have counted 285 overseas corporations which have executed enterprise with brokers who’re below investigation, like Padilha, although they are saying that doesn’t imply as many corporations are being investigated.

Zelada’s lawyer Renato de Moraes mentioned he would enchantment the choice and search acquittal. Zelada led the worldwide division for Petroleo Brasileiro SA, as Petrobras is formally identified, from 2008 to 2012.

Moro mentioned in his resolution that Zelada’s protection had known as Vantage CEO Paul Bragg as a witness, however mentioned the request was not granted as a result of the cooperation treaty between Brazil and the United States solely requires compliance with witness requests when known as by the prosecution.

Padilha testified that Bragg didn’t know in regards to the bribe fee, Moro mentioned.

Vantage mentioned in July, when Zelada was arrested, it was absolutely assembly the phrases of the drillship contract and had discovered no proof of improper exercise. If Padilha dedicated any unlawful acts he was not representing the corporate, it mentioned.

A choose in Rio additionally convicted Zelada earlier this month of fraud on a contract awarded to conglomerate Odebrecht SA and sentenced him to a most 4 years in jail. (Reporting by Caroline Stauffer; Editing by Alistair Bell)

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