CCR SA, Brazil’s largest toll-road operator, is heading to a first-of-its kind shareholders’ meeting on a prickly subject: corruption.
The Sao Paulo-based company is asking its investors to approve a deal it closed with a Brazilian court to clear it of corruption charges. As part of the agreement, CCR will pay a total of 71 million reais ($18 million) to 15 former executives so they reveal details of wrongdoing they were involved with to prosecutors.
Paying executives to confess to involvement in corruption is a controversial move, and hasn’t attracted much sympathy. Shareholder-advisory firms Glass Lewis and Institutional Shareholders Services Inc. both recommended investors vote against the compensation agreement, which was approved by the company’s board last year. CCR already began doling out payments, and shareholders are scheduled to meet on April 22.
The full original article can be found at bloomberg.com