-Despite earlier probes by Brazilian and Swedish authorities that found no wrongdoing, the DoJ’s review focuses on Saab North America under the Foreign Corrupt Practices Act (FCPA).
-The $5.4 billion deal, concluded under former Brazilian President Lula da Silva, was already investigated twice by Brazilian prosecutors.
-While the jets are now in service with Brazil’s Air Force, the ongoing U.S. inquiry adds another layer of complexity to the procurement process.
Brazil’s JAS 39 Gripen Fighter Jet Purchase Under Investigation by U.S. Department of Justice
A decade ago, Brazil opted to acquire the Saab JAS 39 Gripen multirole fighter for its air force, choosing the Swedish aircraft over the Boeing F /A-18E/F Super Hornet and Dassault Rafale. Deliveries of the Gripen began almost three years ago in November 2021, with the remaining aircraft expected to be delivered by 2027.
According to AeroTime, nine single-seat JAS 39s are in service with Força Aérea Brasileira’s (Brazilian Air Force’s) 1st Air Defense Group, “Jaguar” Squadron. Moreover, it was just over a year ago in August 2023 that the Brazilian government announced it would expand its Gripen fleet, and sought to acquire an additional 34 of the all-weather multirole aircraft.
Given these facts, it would seem that Brazil is committed to the aircraft, and it is truly a done deal in every sense of the word. Yet, that’s not exactly the case.
Earlier this month, the United States Department of Justice (DoJ) announced it was reviewing the 10-year-old contract award for the thirty-six Gripen fighters. Saab North America, the U.S. subsidiary of the Swedish aerospace giant, was served with a subpoena.
Deal Under Review Again
This is now the third governmental legal review into Brazil’s selection process of the JAS 39 Gripen over the Dassault Rafale and the Boeing F/A-18E/F Super Hornet. It followed separate investigations launched in 2015 and 2015 by Brazilian prosecutors that also looked into the factors that led the Brazilian government to finalize the deal.
Those two previous investigations were closed without any charges being brought forward. Swedish authorities also apparently conducted another investigation.
“Both Brazilian and Swedish authorities have previously investigated parts of the Brazilian fighter procurement process. These investigations were closed without indicating any wrongdoings by Saab,” Saab said in a press release.
A $5.4 Billion Question
Brazil launched its FX-2 program to select a new fighter in 2008, and it ran through 2014 when Saab was awarded a $5.4 billion contract. As AeroTime also reported the deal “included a provision for future Gripen production in Brazil.”
Much of the issue is based on the fact that the deal was concluded while Luiz Inácio Lula da Silva served as president. He has since been convicted on a variety of charges of money laundering and corruption. Even as the past investigations found no wrongdoing, Washington has moved forward with its own investigation that led to Brasilia’s decision to choose the Swedish aircraft over the rivals.
The Foreign Corrupt Practices Act (FCPA) allows the DoJ to investigate possible violations even for those outside of the United States, including those involved in corruption and bribery that may involve American firms or subsidiaries. In this case, Saab North America.
It should be noted that the DoJ has also launched numerous investigations into Boeing in recent years as well.
Brazil is among only a handful of operators outside of Sweden of the JAS 39, although Thailand selected the Saab fighter in August to replace its aging fleet of F-16 Fighting Falcons.
Author Experience and Expertise: Peter Suciu
Peter Suciu is a Michigan-based writer. He has contributed to more than four dozen magazines, newspapers, and websites with over 3,200 published pieces over a twenty-year career in journalism. He regularly writes about military hardware, firearms history, cybersecurity, politics, and international affairs. Peter is also a Contributing Writer for Forbes and Clearance Jobs. You can follow him on Twitter: @PeterSuciu. You can email the author: [email protected].
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Publish date : 2024-10-15 05:28:00
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