Canadian Consulting Engineer

SNC-Lavalin to negotiate remediation agreement for new criminal charges

September 29, 2021

The RCMP arrested two former VPs last week.

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SNC-Lavalin, which has been charged with fraud against the government, says it welcomes an opportunity offered by Quebec’s directeur des poursuites criminelles et pénales (DPCP) to negotiate a remediation agreement to resolve the charges.

The consulting engineering firm has been charged by the Royal Canadian Mounted Police (RCMP) under the Criminal Code of Canada with offences between 1997 and 2004, including fraud and conspiracy to commit fraud against the government, in connection with the Jacques Cartier Bridge Refurbishment project. SNC-Lavalin was a 50% consortium partner in that project’s $128-million contract.

The RCMP arrested former SNC-Lavalin vice-presidents (VPs) Kamal Francis and Normand Morin on Sept. 23. The firm says it has fully and voluntarily co-operated with authorities in the Project Agrafe investigation, which has been disclosed in its public filings and facilitated by its self-reporting.

”These charges stem from events that took place nearly 20 years ago, involving former employees who no longer have any involvement with our organization,” says Ian L. Edwards, president and CEO of SNC-Lavalin. “We see this as a further step to put the past behind us and focus on the future.”

The firm points to its integrity program, which aims to prevent, detect and respond to any wrongdoing. This program has been recognized by independent third parties, such as the World Bank Group, which this year granted an early lifting of sanctions imposed on SNC-Lavalin since 2013. The Ethisphere Institute also announced this year the firm has again earned compliance leader verification, through 2022.

An independent monitor, in place since a 2019 settlement of federal charges, will continue to report on the integrity program until the end of next year. SNC-Lavalin publishes summaries of each report on its website.


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