As highlighted here, in early 2022 PetroNor E&P ASA (an Africa-focused independent oil and gas exploration and production company listed in Norway) disclosed:
“PetroNor E&P ASA has previously announced that the National Authority for Investigation and Prosecution of Economic and Environmental Crime in Norway (Økokrim) in December 2021 opened investigations into criminal charges and allegations of corruption brought against individuals related to the Company, namely its previous CEO and his business companion who together hold shares in the Company through their holding companies. [See here] There are no further updates in relation to the investigations against these individuals.
The Company has, however, received a notification from Økokrim that the Company’s Chairman of the Board, Mr. Eyas Alhomouz (US citizen), has been made subject to the ongoing investigations carried out by Økokrim and has been given the status as suspect, and that the U.S. Department of Justice has opened a separate investigation into these allegations, based on information from Økokrim.
As previously announced, no charges have been brought against PetroNor nor any of its Group companies.
The Company takes anti-corruption and the matter at hand very seriously. The Company has adopted the following remediation steps: removing the individuals charged by Økokrim in December from business operations; engaging independent legal counsel to support the board’s governance and compliance steps; initiating an independent fact-finding process to identify any misconduct and to analyse the causes of underlying conduct; setting up a separate board sub-committee to support the board on the matter at hand; assuring the further implementation of an effective anti-corruption and compliance program, founded on its existing code of conduct, governing documents and related policies; instigating other remedial actions as deemed relevant to the situation;
The measures taken by the Company are led by the board sub-committee which does not comprise any person subject to the charges or any investigation.”
Recently, Petronor disclosed:
“PetroNor E&P ASA refers to previous market updates on the investigations by the National Authority for Investigation and Prosecution of Economic and Environmental Crime in Norway (“Økokrim”) and the U.S. Department of Justice (“DOJ”). The Company has been notified by the DOJ that based on the information that the DOJ has learned to date, and in the light of a recent executive order, its inquiry relating to the Company has been closed. The investigation initiated by Økokrim is still ongoing, and the Company continues to cooperate fully with this process. As previously set out, the timeline for the Økokrim investigation remains uncertain and beyond the Company’s control, but the Company would expect to get more clarity about the way forward during 2025.”
Since the February 10th Executive Order (see here for the prior post), there seems to be a linking by some of everything that happens in the FCPA space exclusively to the Executive Order.
But query whether that is warranted.
Yes, PetroNor’s disclosure does mention the Executive Order, but it also mentions that “based on the information that the DOJ has learned to date,” the inquiry has been closed.
Moreover, prior to the Executive Order there have been numerous examples over the past several years of a company disclosing FCPA scrutiny by the DOJ/SEC, only for the DOJ/SEC inquiry to be closed without any enforcement action.
