Rolls-Royce trio plead guilty to US corruption charges as UK fraud probe continues

Charges relate to alleged involvement in scheme to bribe government officials to secure contracts

The SFO said it will continue to investigate individuals linked to Rolls-Royce over bribery and corruption allegations (PA)

Three ex-employees of Rolls-Royce have pleaded guilty to US bribery and corruption offences, the UK’s Serious Fraud Office and US Justice Department have said.

James Finley, Keith Barnett and Louis Zuurhout, all of whom worked at the British engineering firm’s energy division entered the pleas after parallel investigations by US and UK authorities into bribes paid to secure contracts between 1999 and 2013.

A further individual, Andreas Kohler, who worked for an international engineering consulting firm instructed by Rolls-Royce’s former customer in Kazakhstan also entered a guilty plea. Another individual, Petros Contoguris, who worked as an intermediary for Rolls-Royce has been indicted but maintains his innocence.

The charges which have now been made public are linked to their alleged involvement in a scheme to bribe government officials to help secure a contract to supply equipment and services for a gas pipeline running from Central Asia to China.

Acting assistant attorney general Kenneth Blanco, of the DoJ's criminal division, said: “Thanks to the coordinated efforts by our prosecutors and agents - working closely with their counterparts in Brazil and at the United Kingdom's Serious Fraud Office, among others - these defendants, many of whom reside overseas, will face justice in this case, which represents another important step towards levelling the playing field for all ethical and honest businesses.”

The SFO said it will continue to investigate individuals linked to Rolls-Royce over bribery and corruption allegations.

Mr Finley, former vice president and global head of sales of Rolls-Royce’s energy division, pleaded guilty to one count of conspiracy to violate the Foreign Corrupt Practices Act (FCPA) and one count of violating the FCPA.

Mr Barnett, the 48-year-old former regional director and Mr Zuurhout, a former sales manager, have both pleaded guilty to one count of conspiracy to violate the FCPA

A spokesperson for Rolls-Royce said: “Rolls-Royce has committed to full ongoing co-operation with the Department of Justice and cannot comment on action against individuals.”

The company announced in January that it had agreed to pay £671m to British, US and Brazilian authorities to settle bribery and corruption claims.

* This article has been updated to clarify that Petros Contogouris denies any wrongdoing. 10/1/17