LONDON - Britain's Weir said on Monday it had agreed to plead guilty to two charges of breaching United Nations sanctions against Saddam Hussein's regime in Iraq in connection with "oil-for-food" contracts between 2000 and 2002.
The maker of pumps and valves for the oil industry revealed in 2004 it had made irregular payments to an agent who arranged contracts in Iraq.
The company said it would be formally charged with the offences later on Monday, and it had agreed to pay 13.95 million pounds (S$29 million) in respect of its benefit from the offences.
It said it would also be liable to a fine following the case, which is expected to be heard in Edinburgh on Tuesday.
Chairman Lord Smith said Weir had overhauled procedures since 2004. "A strong ethics culture is in place across the group and is the reference point for everything we do," he said in a statement.
The oil-for-food programme was designed to allow Iraq to sell oil in exchange for food, medicine and other humanitarian needs without allowing Hussein's regime to boost its military capabilities.