SINGAPORE (June 23): Rig builder Sembcorp Marine is standing by its denial of allegations that it paid bribes to secure contracts with Sete Brazil, a company that is linked to Brazilian national oil company, Petrobras.

A Bloomberg report today cited testimony released by a Brazilian court alleging that Estaleiro Jurong Aracruz, a unit of Sembcorp Marine, and Keppel Fels were among several companies that paid bribes through intermediaries to win 21 rig building contracts worth $800 million each from Sete Brazil.

The report said the allegations were made by Pedro Barusco, a former Petrobras and Sete Brazil director who has agreed to return to authorities about $97 million that he said he earned from bribes, including payments from shipyards to win work with Sete Brazil.

A Sembcorp Marine spokesman referred theedgemarkets.com to two statements it released earlier this year when the allegations first arose when asked to comment on Barusco’s testimony.

In its Feb 8 statement, the company said it did not make any illegal payment and that its policies and contracts prohibit bribery and unethical behavior. In its March 30 statement, the company reiterated its anti-bribery policy and said it was conducting internal investigations.

A Keppel Corp spokesman said the company was drafting a response to the renewed allegations.

As at 11:47 a.m., shares of Sembcorp Marine are trading 2 cents lower at $2.86 while shares of Keppel Corp are down 3 cents at $8.38.