Former SNC-Lavalin CEO faces new corruption charges

Wed Feb 27, 2013 4:46pm EST
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

* Quebec anti-corruption squad issues warrants for former executives

* Charges stem from Quebec probe into public works contracts

* Ex-CEO to plead "not guilty" to charges, lawyer says

By Louise Egan and Susan Taylor

OTTAWA, Feb 27 (Reuters) - The former chief executive of SNC-Lavalin Group Inc, a Canadian construction and engineering company caught in a far-reaching misconduct scandal, faces six new fraud-related charges, police said on Wednesday after issuing a warrant for his arrest.

The province of Quebec's anti-corruption police unit alleges that ex-CEO Pierre Duhaime, who resigned from the Montreal-based company last year, committed fraud and other criminal offenses.

In a statement, the unit provided no details about the charges, but the Globe and Mail newspaper reported they were connected to a contract awarded to SNC in 2010 for the construction of a Montreal hospital.

An arrest warrant was also issued on Wednesday for Riadh Ben Aissa, SNC's former head of construction, for similar corruption charges, as well as for three other men.

The allegations are the latest development in a widening scandal at SNC that stretches from Montreal to Tripoli and led to prior arrests of both Duhaime and Ben Aissa.   Continued...