Seatrium to Pay Fines to End Decade-Old Corruption Investigation in Brazil
Singapore-based Seatrium reports it has concluded a series of agreements related to a 2015 corruption case involving its predecessor companies. With finalized agreements in both Brazil and Singapore, the company believes it can now move forward without the recurring developments in the case.
Separate agreements were reached in both Brazil and Singapore to conclude the investigations. They were largely in keeping with the previously announced preliminary agreements, but also critically brought to a close the investigations. Two key authorities in Singapore, the Monetary Authority of Singapore and the Commercial Affairs Department, informed the company that they have concluded their joint investigations into potential offenses ranging from securities fraud and other serious crimes. They informed the company that no action will be taken against the company and/or its officers.
The case stems from actions of the predecessor companies, Sembcorp Marine and Keppel Offshore & Marine, which have merged to form Seatrium. Both companies had operations in Brazil that were linked to a corruption case that came to be known as “Operação Lava Jato” (Operation Car Wash) in Brazil. It has been described as one of Brazil’s largest corruption scandals involving a broad range of politicians and companies.
A business consultant working for the company was linked to the case and, in 2020, was indicted on charges of money laundering. The former president of Sembcorp Marine’s Brazilian subsidiary, Martin Cheah Kok Choon, was also indicted in 2020 on charges of money laundering and corruption.
After years of investigations, the company in February 2024 announced it had an agreement in-principle in Brazil. On July 30, 2025, Seatrium signed a leniency agreement with the Public Prosecutor’s Office in Brazil, and it expects to sign a similar agreement with the Brazilian Attorney-General’s Office in the company days. Under the terms, it will make a payment equal to approximately $130.7 million as the final settlement in the case.
In Singapore, the company also finalized an agreement with the authorities. Under the terms, it will pay a financial penalty of $110 million. This will be lowered by the $53 million already paid in Brazil for a final payment of $57 million to Singapore.
“With this positive development, the company is keen to move forward, to ride on the energy market tailwinds to create transformative offshore energy solutions globally and ultimately deliver long-term sustainable growth. We would like to take this opportunity to thank all stakeholders for their patience and support over the years,” Seatrium said in its announcement of the agreements.
The company highlights that it previously made provisions in its financial statements for the in-principle settlement payment and financial penalty. As a result, it reports there will be no material impact on the net earnings and net tangible assets for the year ending December 31, 2025.