Brazilian Banks, Funds Join Arbitration Against Petrobras
Top Brazilian funds and banks like Itaú Unibanco Holding SA, Banco Bradesco SA (BBDO) and Banco Santander Brasil SA have joined a collective arbitration action against Petróleo Brasileiro SA seeking compensation for graft at the state-controlled oil giant, a newspaper report said on Thursday.
State-owned banks Caixa Econômica Federal and Banco do Brasil SA and pension funds including Petros, Previ and Funcef also took part in the action, Brazilian newspaper Valor Econômico said, citing sources familiar with the matter.
The move seeks to replicate a January settlement inked by U.S. investors who received nearly $3 billion from Petrobras for claims stemming from a massive corruption scandal, in which contractors bribed company officials and politicians to win inflated contracts from the company.
Valor said foreign funds were also involved in the arbitration, which is being conducted in the Market Arbitration Chamber of the B3 segment of the São Paulo Stock Exchange.
Representatives for Petrobras, Itaú, Bradesco, Santander, Caixa Econômica Federal, Banco do Brasil, Petros and Funcef did not immediately respond to requests for comment. Previ declined to comment.
Reporting by Alexandra Alper
