Houston-based Halliburton announced June 18 that it is terminating all of its relationships with A. Jack Stanley, a consultant and former chairman of its business group KBR, as well as with another unnamed consultant and former employee, because of alleged violations of company codes of business conduct.
The company said the alleged violations "involve the receipt by these persons of improper personal benefits," in violation of the business codes of Halliburton and of Dresser Industries Inc., according to a company statement.
Stanley, who could not be reached for comment, has worked in several management capacities, starting with M.W. Kellogg Ltd. in 1975. Kellogg was acquired by Dresser Industries Inc. in 1988. Halliburton acquired Dresser 10 years later. Stanley retired as chairman of KBR in Dec. 2003.
The second individual with whom Halliburton terminated relationships was a former employee of Kellogg.
The company said evidence of violations was uncovered in connection with a previously disclosed investigation by U.S. regulators into allegations of kickbacks related to the construction and subsequent expansion of a natural gas liquefaction facility in Nigeria in the late 1990s. Halliburton's involvement in the project is through a joint venture in which KBR has a 25% stake. The joint venture, called TSKJ, is a subject in an investigation by U.S. regulators of alleged involvement in a $180-million bribery scheme.
TSKJ is a private limited liability company registered in Madeira, Portugal, whose members are Technip SA of France, Snamprogetti Netherlands B.V., which is an affiliate of ENI SpA of Italy, JGC Corp. of Japan, and KBR, each of which owns 25% of the venture.
Halliburton's statement also said that, as a result of alleged violations of Halliburton's Code of Business Conduct, that it will ask TSKJ to terminate immediately all services of TSKJ's agent, Tri-Star Investments, and to pursue all available legal remedies against the agent.