Wednesday, September 24, 2014

Scaroni... He is back!


The ex-CEO of the biggest Italian company, Paolo Scaroni, is back! However, he is back on the news in the event of "international corruption" involving the payment of bribes in Argelia by Saipem, a company controlled by Eni SpA.

The prosecution of Milan says they have strong evidences that part of the money paid as a bride, ended up in bank accounts of relatives of Eni's ex-number #1.

Amazingly, the major Italian newspapers didn't report more of this unfortunate episode involving Eni's management. Does anyone make a guess?

The former CEO of the six-legged dog defends himself: "not have any illegal money in the "Paolo Scaroni Trust"...  Time will tell!

Check the full story on Reuters Italy.

Monday, September 22, 2014

If Descalzi is a honest man...


This Sunday (9/21), Eni's CEO vented in the Italian newspaper "La Repubblica", in an interview with Gad Lerner, to try and rescue his name, honor, image and reputation in the episode involving OPL 245, in Nigeria.

Claudio Descalzi "screans to the world" that he "isn't a dishonest man" and that he "can't sleep at night".

Eni's CEO is suffering what one of the company's ex-employee is suffering for 13 long years!!!

If Descalzi, indeed, is a honest man, a worthy man, a honored man and a man of character, he will examine, in every detail, the story of Douglas Flinto, fired in 2001, after reporting to the presidency of Agip  Brasil, corruption and internal fraud, complying with Eni's Code of Ethics.

Eni killed the whistleblower in Brazil and is trying to do the same in Italy, suing this ex-employee for slander and defamation, and demanding  30 millions (?!?!).

If Descalzi is a honest man, he will make Eni rescue and restore the name, the honor, the reputation and the dignity of Douglas Flinto.


Meet the repercussions of this case:



Friday, September 19, 2014

Time to stop the airbrushing: reaction to latest Eni corruption investigation needs investigating itself



Last week was a bad week for the Italian oil giant Eni. Within hours of news breaking that its newly-appointed CEO,Claudio Descalzi along with the company, are under formal investigation for corruption relating to a Nigerian oil deal the share price plummeted. Although since recovered, and despite Eni’s denials of the allegations, on the day, it wiped some $1.4 billion off Eni’s share value.
The story as it unfolded in the Italian press was worthy of a Hollywood film script. A Nigerian oil minister who awarded an oil field to himself, cashing it in for $1.1 billion when it was sold to Eni and Shell. Nigerian and Russian middlemen fighting over their spoils in the UK and US courts. Empty shell companies that appear to exist only on paper. Cash to the value of $190 million (held by the minister’s company and a middleman) being frozen in the UK and Switzerland by an Italian prosecutor. Wire-tapped telephone conversations. Valiant Western NGOs exposing the alleged corruption.
Told as a Hollywood story of Westerners uncovering bribes allegedly being paid to corrupt Nigerians, some unpalatable elements of this story get lost.
For this is not just a story about corrupt Nigerians. The allegation has also been made by the Italian prosecutors and in the UK High Court that Eni officials attempted to arrange kickbacks from the deal. Not that you would know this from the bulk of the press reports and public reactions. It should be noted that this allegation has been denied by Eni, who were not part of the UK High Court proceedings. In those proceedings, the allegation was emphatically rejected by the judge for lack of evidence and the unreliability of the source. See Eni’s statement and its responses to allegations in more detail which it gave in writing at its AGM, both are available on its website.
It does not fit with the lazily racist line (repeated by internet trolls and mainstream commentators alike) that Western companies are only tainted by corruption because they are forced to pay bribes by corrupt Africans, Asians and Latin Americans.
It is far more comfortable if the story is retold with the focus placed on corrupt Nigerians. Thus the reported reaction of one Eni shareholder: “It’s not great news but I’m afraid this is standard stuff in countries like Nigeria”.
Nor is this a story that is just about Europeans moving to prevent corruption, though prosecutors have finally acted by freezing funds. But this is a story about Western courts holding their noses whilst presiding over disputes between the would-be beneficiaries of what are clearly tainted deals. A story about Western financial institutions enabling the transfer of corruptly-obtained funds. This is a story about Westerners, notably companies such as Shell, moving heaven and earth to try to dismantle legislation that would make corruption harder by forcing companies to disclose their payments to governments. You wouldn’t know any of this from the press coverage.
And it is not a story that is just about Western campaign groups exposing corruption. It is also a story  (covered nowhere in the press) of Nigerian anti-corruption activists demanding, often at great personal risk, that politicians and corporations profiting corruptly from Nigeria be held to account – and that the West must address its own role in facilitating and, yes, promoting corruption in Nigeria and elsewhere.
It was a Nigerian activist, Dotun Oloko, who, along with us, pressed for the case to be investigated in Italy and the UK. And the existence of the UK investigation into the Eni-Shell oil deal only came to light when Nigerian groups protested outside the UK High Commission in Nigeria.
Nobody, least of all Nigerian activists, disputes that Nigeria is now a kleptocracy. But it is a kleptocracy fuelled directly by the activities of foreign companies and officials. Indeed, it thrives primarily in those sectors of the economy where multinationals are most prevalent. And it relies on the most important actors and actions in corruption stories being omitted.
It is time for the airbrushing to stop. Time for the Italian public to build an anti-corruption politics that insists on looking in the mirror.

Text by Simon Taylor is co-founder and Director of Global Witness


NOTE: This piece by Global Witness and Re:Common originally appeared (in Italian) in Il Manifesto on 18 September 2014, available here.

Wednesday, September 17, 2014

Letter from the CEO of Eni ... Time will tell!


Last week, the Public Ministry (PM) put the new CEO of the largest Italian company holding hands with his predecessor. The reason? The supposed bribe payments in Nigeria that may characterize the crime of "international corruption", something abominable by the SEC in the USA.

The PM also investigates whether these managers of Eni have pocketed part of the big money, featuring fraud, unjust enrichment and noncompliance to standards of conduct described in the company's Code of Ethics.

This unfortunate situation has placed (once again) in doubt the conduct of the executives of Eni and evidenced the inertia of the Board of the company that appears to have a total lack of independence of the Major Shareholder: the government of Italy.


To defend himself from the accusations and prevent further damage to his reputation, Claudio Descalzi wrote a letter to all his subordinates scattered to the four corners of the planet. This letter was published in the Italian site "La Mescolanza" on October 16.

The most striking things in this letter from the CEO of Eni are two phrases:

. We operate correctly and ethically as we always do

. No one knows how we operate at Eni better than you

But if these affirmations were true, the stories of former employees would be very different! Douglas Flinto and Gianni Franzoni wouldn’t have their lives destroyed by Eni after being unfairly dismissed in retaliation for having reported, to the internal channels of the company, unethical acts of Eni’s managers.

The investigations in Italy and London will continue and time will tell whether the acts of the executives of Eni were based on honesty, integrity of conduct and in the words and spirit of the Eni’s Code of Ethics. Otherwise, they may cause a fatal indigestion in the six-legged dog!

Sunday, September 14, 2014

Eni is a shame to Italy...

Eni is a shame to Italy just like Petrobras is to Brazil: political interference in the management, corruption and bribery, internal fraud and unjust enrichment, and the Corporate Governance exists only to fulfill International Standards, because the members of the Board don’t control, don’t investigate and don’t dismiss the bad managers.

These companies, besides not comply the words and the spirit of its own Code of Ethics, are not part of the "World Business Ethics".