Boston, MA 04/25/2014 (wallstreetpr) – Petroleo Brasileiro Petrobras SA (ADR) (NYSE:PBR) has a story disheartening that it could make you shed a tear or two. In the times not very far from today Petroleo Brasileiro had become one of the top rankers in the list of public traded companies. People were of the opinion that it will be Petroleo Brasileiro, whichwill lead Brazil into an era of energy independence. But now something entirely contrary has become of it. The oil production by Petroleo Brasileiro has come to a stagnant condition. It might as well come to a halt.
Petroleo Brasileiro Petrobras SA (ADR) (NYSE:PBR) had come up with the most ambitious of plans, but today it stands amidst allegations of corruption. Petroleo Brasileiro stands in investigations’ clutches. There have been claims against Petroleo Brasileiro of its management being incompetent with bribery painted all across their faces. The company, today, is surviving and thriving on the United States Mutual Funds.
Though all these problems thrive, Petroleo Brasileiro has still not gone into losses. It has assets spread all around the globe. But the sadness is still enthralling and appalling. Petroleo Brasileiro Petrobras SA (ADR) (NYSE:PBR) used to be the paradigm of success, growth and development, but today it’s just a fallen angel.
Scandals and More
Petroleo Brasileiro Petrobras SA (ADR) (NYSE:PBR)’s one of the most eminent and powerful executives had been arrested recently, namely, Paulo Roberto Costa. There have been speculations of his involvement in bribery and money laundering related to Petrobras’s Abreu e Lima oil refinery that is still under construction. The cost of this refinery’s construction is reported to have swelled up to a whopping $18.5 billion from just an estimate of $2.5 billion. Costa is allegedly involved in this bungle.
But is not the only scandal that Petroleo Brasileiro has been involved into. Another scandal is about the employees being involved into bribery from SBM Offshore. They are reportedly alleged to have received $139 million in bribes. Then there are investigations regarding the contract with Odebrecht related to over-billing.
