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SNC-Lavalin to pay $1.9 million for rigging bids on Quebec municipal contracts

Click to play video 'Former SNC-Lavalin executive sentenced to 8.5 years in prison' Former SNC-Lavalin executive sentenced to 8.5 years in prison
A former SNC-Lavalin official has been sentenced to more than 8 years behind bars. Sami Bebawi is the only former SNC-Lavalin staffer to serve time in Canada in connection with the company's business with Libya in the 2000s. Tim Sargeant reports.

SNC-Lavalin Inc. will pay Ottawa $1.9 million for rigging bids on municipal infrastructure contracts in Quebec as part of a federal settlement.

The Competition Bureau says the Public Prosecution Service of Canada settlement, filed Friday in Quebec Superior Court, ends the agency’s investigation of the company’s role in a scheme in which several engineering firms conspired to rig bids for municipal contracts between 2003 and 2012 in Montreal and the Quebec City area.

The settlement takes into account SNC-Lavalin’s reimbursements through Quebec’s voluntary reimbursement program and the fact that the individuals involved in the scheme no longer work for the firm.

Click to play video 'SNC-Lavalin pleads guilty to fraud, to pay $280M fine' SNC-Lavalin pleads guilty to fraud, to pay $280M fine
SNC-Lavalin pleads guilty to fraud, to pay $280M fine

This is the fourth settlement with an engineering firm resulting from the bureau’s investigation.

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Dessau, WSP Canada (formerly Genivar), and Norda Stelo (formerly Roche) were previously ordered to pay $1.9 million, $4 million and $750,000 respectively for their roles in the bid-rigging scheme.

The investigation also resulted in guilty pleas by four former executives of engineering firms Cima+, Genivar and Dessau for bid-rigging on City of Gatineau infrastructure contracts. They received conditional prison sentences totalling five years and 11 months, and court-ordered community service totalling 260 hours.

Montreal-based SNC-Lavalin also settled criminal charges last December related to business dealings in Libya, with its construction division pleading guilty to a single count of fraud that helped tie off a long-standing scandal that tarnished its reputation and ensnared the highest office of the Canadian government.

Click to play video 'SNC-Lavalin enters guilty plea on fraud charges' SNC-Lavalin enters guilty plea on fraud charges
SNC-Lavalin enters guilty plea on fraud charges