Analysis Of The Top 5 Engineering Companies

1085 WordsSep 25, 20145 Pages
SNC- Lavalin is a Montreal based construction firm and is counted as one of the top 5 engineering companies in the world. It has presence in 100 countries with more than 30,000 employees. In 2011, it was reported that the firm had paid around $56 million in bribes to unknown agents in North Africa to secure a project in Libya. This led to RCMP raiding their offices, resignation from their then CEO, Pierre Duhaime, and their former executives put behind bars in Swiss Jail. The company also suffered in stock market with the stock price dwindling by more than 25%. Also, World Bank temporarily banned SNC-Lavalin from bidding on new bank contracts. In a recent opinion poll conducted by Transparency International on corruption, one in four people around the world admitted to paying bribes in the last twelve months. The survey also categorized the countries according to the corruption with countries like Canada, Finland, Norway and Japan listed as least corrupt countries and Libya, India, Kenya, Uganda were put on the high end of spectrum. The poll revealed that in countries with high level of corruption, people distrusted politicians, police and judiciary. In SNC-Lavalin case, highly reputed officials put their and their organization’s name on the line by bribing agents to grab construction projects. Should the company engage in corrupt practices to land projects in emerging and developing countries? And, whether employees should be encouraged to report these malpractices
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