Luis Enrique Martinelli Linares, International Bribery and Money Laundering, New York 2023

Brothers Sentenced to 36 Months for Panama Bribery Scheme

In a major blow to international corruption, Luis Enrique Martinelli Linares and Ricardo Alberto Martinelli Linares, two Panamanian brothers, were each sentenced to 36 months’ imprisonment and a $250,000 fine for their roles in a massive bribery and money laundering scheme involving Odebrecht S.A., a Brazil-based global construction conglomerate.

The sentencing was held at the federal courthouse in Brooklyn, New York, on an unspecified date. This scheme involved the payment of more than $700 million in bribes to government officials, public servants, political parties, and others in Panama and other countries around the world to obtain and retain business for the company.

The Martinelli brothers used American banks to commit their selfish, greedy fraud and launder millions of dollars in bribes through the U.S. financial system to benefit a close relative and maintain their luxury lifestyles.

Luis Martinelli Linares also used some of the proceeds of the scheme to purchase a $1.7 million yacht and a $1.3 million condominium in the United States, and Ricardo Martinelli Linares spent hundreds of thousands of dollars in proceeds to pay personal expenses.

The Martinelli brothers were initially arrested at el Aeropuerto Internacional la Aurora in Guatemala on July 6, 2020, pursuant to a provisional arrest request from the United States, as they were attempting to depart Guatemala on a private plane.

Luis Martinelli Linares and Ricardo Martinelli Linares were charged on February 4, 2021, in an indictment in connection with this bribery and money laundering scheme. Both defendants were ultimately extradited from Guatemala.

U.S. Attorney Breon Peace stated, ‘The Martinelli brothers used American banks to commit their selfish, greedy fraud – and now it is the American legal system serving justice with today’s sentencing, especially for the people of Panama.’

The sentences were announced by Breon Peace, United States Attorney for the Eastern District of New York, Kenneth A. Polite Jr., Assistant Attorney General of the Criminal Division, and Michael J. Driscoll, Assistant Director-in-Charge of the Federal Bureau of Investigation, New York Field Office (FBI).

The Odebrecht scheme resulted in the payment of more than $700 million in bribes to government officials, public servants, political parties, and others in Panama and other countries around the world to obtain and retain business for the company.

The indictment charges the Martinelli brothers with conspiracy to commit money laundering and admitted that they had agreed with others to establish offshore bank accounts in the names of shell companies to receive and disguise over $28 million in bribe proceeds from Odebrecht for the benefit of a close relative, a high-ranking public official in Panama.

According to court documents, approximately $19 million of the bribes were transferred through U.S. banks.

The FBI and law enforcement partners are committed to bringing to justice anyone who enables the corruption of public officials for personal gain.

The sentencing shows that the U.S. legal system stands firm against international corruption and will use all tools at its disposal to root it out.

Luis Enrique Martinelli Linares and Ricardo Alberto Martinelli Linares are the defendants in this case. The exact criminal charges are conspiracy to commit money laundering. The city and state are Brooklyn, New York. The exact date of sentencing is not provided, but the sentence is 36 months’ imprisonment and a $250,000 fine.

The dollar amount of the bribes is more than $700 million. The defendants laundered millions of dollars in bribes through the U.S. financial system.

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