Rolls-Royce to settle 25-year old briber and corruption case

Rolls-Royce to settle 25-year old briber and corruption case

Engineering giant Rolls-Royce will pay £671 million to settle corruption cases with authorities in the UK and US.

The Serious Fraud Office (SFO) found the company failed to prevent bribery as well as conspiracy to corrupt in India, China and other markets.

Rolls-Royce apologised “unreservedly” for the case which has lasted 25 years.

The aerospace firm must now pay £497m plus costs to the SFO, which undertook its biggest ever investigation into the company.

It also owes the US Justice Department £141m and £21.5m to regulators in Brazil.

Referred to as the “jewel in the UK’s industrial crown” by Sir Brian Leveson at Southwark Crown Court, the company manufactures engines for civil and military aircraft as well as for nuclear submarines, ships and trains.

Its shares finished 4.5 per cent higher following the news of the settlements and its announcement that its profits from the last financial year would exceed expectations.

The settlement is known as a deferred prosecution agreement (DPA) and is only the third such one made by the SFO since they were introduced in 2014.

DPAs allow firms to pay large fines but avoid prosecution.

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