SNC-Lavalin hit with $1.65 billion class-action lawsuit by The Canadian Press, May 9, 2012.
The statement, which names SNC executives Pierre Duhaime, Gilles Laramee, Riadh Ben Aissa, Stephane Roy, Gwynn Morgan, Ian Bourne and Michael Novak, did not disclose how much the suit is seeking. Duhaime, Roy and Ben Aissa have lost their jobs with SNC-Lavalin. Ben Aissa, SNC’s former head of construction, is in a Swiss jail on suspicion of corrupting a public official, fraud and money laundering tied to his dealings in North Africa. The suit cites similar allegations to the one filed by Rochon Genova, including that SNC misrepresented the adequacy of its internal controls and net income during the 2010 fiscal year. It claims those alleged misrepresentations inflated SNC’s share price. The claims arises from alleged payments made by SNC-Lavalin to members, associates, and agents of the Gadhafi regime to secure contracts for infrastructure projects in Libya. … The RCMP executed search warrants at SNC-Lavalin’s headquarters at the request of Swiss police. [Emphasis added]
[Refer also to: SNC Lavalin Board of Directors