CVM postpones decision on the conflicts of pension funds in Petrobras’ Annual General Meeting

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A request to review made by the director Luciana Dias, in the judgment held on November 11, has led CVM to postpone the decision about the conflict of interests of pension funds sponsored by state-owned companies in the election of Board members through the separate vote of minority shareholders in the companies controlled by the Federal Government. When it takes place, this decision will be of utmost importance for the effective representation of minority shareholders in state-owned companies.
The reporting director Ana Novaes read a long and technical vote, very well founded in technical terms. In her conclusion, the director proposes that Petros is punished for having voted without a minimum standard of governance to prevent its sponsor from influencing on the choice of candidates to Petrobras’ Board of Directors. On the other hand, the director proposed the acquittal of Previ and Funcef based on the fact that restrictions must apply only to the votes of pension funds directly proposed by their sponsors, and not in other companies controlled by the Federal Government.
In the records, the director called the attention to the fact that the candidate elected in 2011 and 2012 admitted to have been invited by the Chairman of Petrobras’ Board of Directors to occupy the position designed to minority shareholders. According to Ana Novaes, this fact and the lack of a justification for the choice of such candidate by Petros clearly indicate the sponsor’s interference.