When contacted, Kiribhco Managing Director B D Sinha said, "None of our officials are involved in the irregularities. No financial transaction has ever taken place with Yara. No trading has taken place with it."
In 2007, Yara was in talks with Kribhco for a joint venture to produce and market mineral fertilisers. However, the proposed project was abandoned after a commercial review by the Norwegian player.
The findings of the probe conducted by Yara-appointed law firm Wiersholm has said irregularities were committed by the company in India, Libya and Switzerland.
Yara President and CEO Jorgen Ole Haslestad said in a statement that it was disappointing to confirm that unacceptable payments have been made from the company.
"An unacceptable payment of USD 1 million in 2007 to a consultant in India is documented, related to negotiations with Kribhco," the company said.
Yara, a leading chemical company, appointed Wiersholm in April last year to conduct a broad external investigation, amid concerns of suspected corruption overseas.
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Separately, the Norwegian National Authority for Investigation and Prosecution of Economic and Environmental Crime is also probing the alleged irregularities.
According to Yara, until the Norwegian probe agency completes its investigation, the company "cannot conclude on questions related to responsibility of individuals or individual companies".
Yara also noted that Wiersholm have had access to a more limited body of evidence than the official agency. MORE