AHMSA's former board president avoids prison

Thursday, 20 August 2020 00:04:46 (GMT+3)   |   Sao Paulo
       

Mexican integrated steelmaker Altos Hornos de Mexico (AHMSA) said this week a Mexico City judge has canceled a former court decision that could put the company’s former board president, Alonso Ancira, into prison.

AHMSA said a judge has canceled this week an arrest warrant issued on May 2019 by Mexican authorities. Ancira, who wasn’t in Mexico at the time, was detained in Spain over corruption charges, as previously reported by SteelOrbis.

More recently, the Spanish government has authorized the extradition of Ancira, who has a pending money laundering charge in Mexico. Last year, Mexican authorities froze Ancira’s banking accounts, but the freeze has since been lifted.

Despite being detained and then released in Spain, AHMSA re-appointed Ancira in February this year to “continue negotiations with companies interested in the acquisition (of AHMSA assets), a joint venture or any transaction that would improve AHMSA’s financial profile.”

Mexican anti-corruption association, MCCI, claimed in July 2019 AHMSA made payments to Brazilian engineering company Odebrecht, which has been involved and charged in Brazil with corruption and bribery. AHMSA reportedly made a $3.7 million payment to a shell company owned by Odebrecht to advise the steelmaker on a steelworks expansion in Monclova, Mexico.

MCCI said at the time it identified a “similar payment” in an Odebrecht document that lists payments under Odebrecht’s “structured operations” department, a nickname for the “bribery department” of the Brazilian company. In a statement this week, AHMSA denied any wrongdoing.


Similar articles

Simec joins Canacero, AHMSA not on list

18 Apr | Steel News

AHMSA investors take over administration and board of directors

03 Apr | Steel News

Reactivation of AHMSA subject to removal of 94 percent of mining subsidiary debt

18 Mar | Steel News

Expert administrators needed to reactivate production at AHMSA

15 Feb | Steel News

Bankrupt Mexican steel company AHMSA reaches agreement with creditors

26 Jan | Steel News

AHMSA negotiates for energy debt payment plan ahead of new ownership

08 Jan | Steel News

AHMSA shareholders prevented from changing control of company

11 Dec | Steel News

AHMSA to be reactivated, new owners request $600 million in loans

05 Dec | Steel News

China Steel Corporation visits Mexican AHMSA facilities in Mexico

21 Nov | Steel News

Federal judge issues ruling recognizing creditors of AHMSA

17 Nov | Steel News