Leighton Holdings will reportedly change it’s name to CIMIC group after corruption allegations left the company in urgent need of a public relations make-over.
According to Sydney Morning Herald, the company will urge shareholders to agree to the name change at their next annual general meeting due to be held in April.
The accronym, CIMIC, represents: Construction, Infrastructure, Mining and Concessions.
The company which began in Australia in 1849, has been plagued by allegations of corruption and bribery dating back to 2009. Both the Australian Federal Police and the Australian Securities and Investments Commission have conducted investigations into some the company’s dealing’s in Iraq and other countries overseas.
Leightons was bought out by Spanish construction group ACS last year, which may have led to the decision to re-brand.
According to Sourceable, “…police are expected to charge several former executives over alleged bribery linked to a multimillion-dollar oil pipeline in Iraq.”
A writ filed in the Supreme Court of Victoria in 2013 claimed the company did not reveal allegations of bribery and corruption against senior officers responsible for the pipeline contract, which is in breach ofits continuous disclosure obligations under the Corporations Act in Australia.