MercoPress, en Español

Montevideo, February 16th 2019 - 03:52 UTC

Petrobras agrees to appoint a “governance, risk management and compliance” director

Friday, November 28th 2014 - 06:13 UTC
Full article 6 comments
The creation of this new position will not increase the number of Board Members, since it will replace that of International Executive director. The creation of this new position will not increase the number of Board Members, since it will replace that of International Executive director.

Brazil's oil and gas giant Petrobras (and currently immersed in a major corruption scandal) has decided the appointment of a director of governance, risk management and compliance mainly to ensure risk mitigation and ensure the repeat of situations of fraud and corruption, according to a release from the corporation.

 ”Petrobras' Board of Directors approved at a meeting today (25 Nov.) the appointment of a director of Governance, Risk Management and Compliance, charged with ensuring process compliance and risk mitigation, including the risk of fraud and corruption, and therefore guaranteeing compliance with laws, norms, standards and regulations, including the rules of the Comissão de Valores Mobiliários (CVM - Brazilian Securities and Exchange Commission) and U.S. Securities and Exchange Commission (SEC)”, said the official communiqué.

Likewise in addition to participating in the decisions of the Executive Board, the director of Governance, Risk Management and Compliance will also be responsible for sanctioning beforehand the governance, risk management and conformity aspects of matters to be submitted to the Board.

The creation of this new position will not increase the number of Board Members, since it will replace that of International Executive director.

The Board of Directors will choose the new director from a shortlist of three Brazilian professionals, pre-selected by an executive recruitment company with an established reputation on the market.

The Governance, Risk Management and Compliance director will take up office for a three-year term, with renewal option, and can be voted out only by a quorum of the Board of Directors, including at least one Board Member elected by minority or preferential shareholders.

Over the next 60 days, Petrobras will detail the structural characteristics and operating model for the new position, as well as links to the activities of the International business section, concludes the release.

Categories: Energy & Oil, Politics, Brazil.
Tags: Brazil, Petrobras.

Top Comments

Disclaimer & comment rules
  • golfcronie

    A bit late I think, the money is already in secret accounts outside the country. They need to trace that money and bring the corrupt persons to book.

    Nov 28th, 2014 - 09:16 am 0
  • BOTINHO

    Risk Management is essentially Insurance management. That is not needed, as most major corporations have such positions.

    Compliance management is more in line with HSE regulations. Again, they already have such positions in most companies.

    Hiring or appointing someone with such titles sounds like an empty title given to some easily scapegoated individual, under the thumb of others.

    As in “Our Risk Manager looked into the charges, and didn't find anything.” Well, we already heard that from Dizzy during the election campaign, and yet the PF DID find evidence enough to investigate and make arrests.

    “ It's all lies ” has now turned into “ I support the investigation ” according to Dizzy. A rather hollow change of tune now being sung.

    Accountability, is needed, as mentioned above by golfcronie, with the independence to go back, thoroughly investigate with no time limits, and then trace the flow of overcharges and kickback payments.

    2 months Dizzy.

    A free hand includes tracing the illegal cash payments, wherever, and with whomever is involved is an absolute requirement, no matter who is sitting in office.

    Nov 28th, 2014 - 02:44 pm 0
  • Jack Bauer

    I hope it's not just another empty title to appease the shareholders......It'll have to be someone who understands the business, is incorruptible and has an untarnished reputation.....otherwise we'll be needing someone else to watch that person as well....

    Nov 28th, 2014 - 03:46 pm 0
Read all comments

Commenting for this story is now closed.
If you have a Facebook account, become a fan and comment on our Facebook Page!