Brazil police probe U.S. Steel venture, Tenaris pipe unit

Brazilian police said on Tuesday they investigated local units of three international steelmakers in a second day of raids probing graft at the country’s state-controlled oil producer, Petroleo Brasileiro SA.

Police and prosecutors allege that Apolo Tubulars, which is 50 percent owned by United States Steel, and Luxembourg-based Tenaris SA’s Brazilian unit Confab were involved in graft at Petrobras, as the oil company is known. Tenaris is part of Italian-Argentine steel group Techint.

Police said they had no proof of corruption at French pipe-maker Vallourec SA but were continuing their investigation of the company’s Brazilian unit, also known as V&M.

Rio de Janeiro-based Interoil Representações Ltda also arranged bribes for Petrobras, police said. Interoil Representações declined to speak with Reuters.

In Brazil, Interoil Representações owns 5 percent of the Brazilian unit of German oil tank company Oiltanking GmbH. Oiltanking’s Brazilian lawyer did not return calls for comment.

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