SYDNEY - Shares of global engineering firm Worley fell to $15.64 today after an Ecuadorian tribunal brought forth allegations of public corruption against the company. Worley is currently contemplating an appeal against these accusations. Contrary to claims that the incident could lead to potential damages of up to $713.8 million, the company has projected the financial impact to be around $58 million, denying that the allegations will cause significant financial harm.
Previously, in response to inquiries from the Australian Securities Exchange (ASX), Worley had denied any involvement in bribery related to its contracts in Ecuador from 2011-2017. The company pointed to a former subcontractor when addressing misconduct allegations. Additionally, Worley is involved in an arbitration case regarding unpaid trade receivables, which is being conducted under the United Nations Commission on International Trade Law (UNCITRAL) rules. The case was made public by the Ecuadorian government.
Following the tribunal's decision on December 23rd, Worley informed the stock market of the development on December 27th, once trading resumed after the Christmas break. The company has expressed criticism towards the tribunal for what it considers a breach of confidentiality by disclosing the ruling.
As the situation unfolds, Worley is assessing its legal options, including the possibility of appealing the tribunal's decision. The company's management and legal team are closely monitoring the case, prepared to take further action.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.