25 May 2016
Victor Phillip Dahdaleh, a British-Canadian billionaire honoured recently by York University with his name on a new health institute, is the mysterious middleman in a 20-year “corruption scheme” in which U.S. officials say he “enriched himself” with $400 million (U.S.) in mark-ups and paid tens of millions of dollars in bribes to Bahraini officials, a Toronto Star/CBC investigation has found.
Until now, U.S. government court records only identified an anonymous figure named “Consultant A” as the “middleman” between Bahraini and U.S. alumina companies pocketing huge profits and paying bribes through a British Virgin Island-based shell company called Alumet Limited.
Documents contained in the Panama Papers confirm Dahdaleh, 72, is Consultant A in a scandal that forced Alcoa, one of the world’s largest aluminum companies, to plead guilty in 2014 to U.S. Department of Justice (DOJ) charges that it paid “millions of dollars in bribes through an international middleman” in violation of the Foreign Corrupt Practices Act.
In addition to the DOJ, Alcoa also settled with the U.S. Securities and Exchange Commission (SEC) and was slammed with one of the largest anti-corruption fines ever — $384 million (all figures U.S.).
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