Police Search Gerdau Offices; CEO Summoned for Questioning in Widening Tax Evasion Probe
02/25/2016 - Brazilian federal police have raided Gerdau SA headquarters and other offices in the country and summoned chief executive Andre Gerdau Johannpeter to testify as part of an investigation into a bribery and tax dodging scheme, according to reports.
The Reuters news service reported that Brazil’s largest steelmaker is suspected of dodging R$1.5 billion in taxes. Reuters said the searches that were conducted Thursday morning are part of an ongoing investigation dubbed “Operation Zealots."
The investigation is looking into suspected kickbacks in return for tax favors. Reuters said Johannpeter was one of 22 people who been ordered to testify in the case by day’s end.
In a statement, Gerdau said police had, in fact, been at its offices, but denied any wrongdoing, The (London) Financial Times reported.
The investigation is looking into suspected kickbacks in return for tax favors. Reuters said Johannpeter was one of 22 people who been ordered to testify in the case by day’s end.
In a statement, Gerdau said police had, in fact, been at its offices, but denied any wrongdoing, The (London) Financial Times reported.
