In the WSJ:
American Agencies Probe Venezuelan Energy Company
Federal and New York City law-enforcement authorities are investigating Derwick Associates, which became one of Venezuela’s leading builders of electricity plants during the Chávez administration.
Manhattan prosecutors are investigating Derwick and ProEnergy for possible violations of New York banking law, people familiar with the matter said.
Meanwhile, people familiar with the matter said prosecutors in the Justice Department’s criminal fraud section are reviewing the actions of Derwick and ProEnergy for possible violations of the Foreign Corrupt Practices Act, which prohibits offering foreign government officials improper payments in exchange for a business advantage.
Federal prosecutors are scrutinizing the difference between the prices ProEnergy charged Derwick for its equipment and the prices Derwick ultimately charged the Venezuelan government, one person familiar with the matter said. The person said that in some past FCPA cases, excessive margins have been used to conceal bribes to foreign officials.
Casto Ocando, in his book Chavistas en el Imperio: Secretos, Tácticas y Escándalos de la Revolución Bolivariana en Estados Unidos (page 224), estimates that the Chavez government awarded Derwick contracts of nearly a billion dollars (plus $400 million overruns) between 2009-2010.
Derwick Associates never won “competitive bids”. In the multiple occasions that Batiz and Ultimas Noticias asked Derwick Associates to reveal details of the contracts it had gotten from the Venezuelan State -bold added with the purpose of highlighting the fact that this is public money we are talking about- the company refused, repeatedly, to come clean. Derwick Associates has never been a “transparent company”. Quite the opposite in fact.
Read Alek’s post here.