Mark Jenkins's article, "Corruption at Eletrobras:'Did You Mean Petrobras???'" was featured in June 2017 issue of the Oil & Gas Financial Journal. The Oil & Gas Financial Journal is coverage of Oil and Gas Markets, Oil Prices, Gas Prices, Oil Companies and Oil Stocks. See below for an excerpt of his article.
'I typically get a bit excited about movie sequels despite their historically bad reputations. I have enjoyed a few: The Empire Strikes Back, Aliens, Star Trek II—Wrath of Khan, Godfather II, and the highly anticipated sequel to Ridley Scott’s Blade Runner.' What about corruption scandals? Do they have sequels? 'Of course they do!'
In the last four years, Brazilian federal prosecutors have had their courtroom dockets full of bribery and kickback cases related to Petrobras, the Brazilian state-controlled oil company. The Brazilian federal police nicknamed the Petrobas investigation, “Operation Lava Jato” or “Operation Car Wash.”
Now we have a second scandal: Eletrobras, the Brazilian state-controlled power company that produces electricity through electric, hydro and nuclear power plants. It has been quietly involved in the follow-up investigations with code names such as “operation radioactivity” and “operation electroshock.” It has promises of similar notoriety to Petrobras, but has not received as much media attention.
Similar to Petrobras, Eletrobras involves federal prosecutors arresting high-level executives, construction companies involved in scandal, and a civil class action lawsuit for securities violations.