Patrick Drahi, the billionaire founder and controlling shareholder of Altice International, publicly addressed recent corruption allegations tied to the company’s Portuguese operations.
Speaking on a Q2 2023 call with debt investors, Drahi said he was shocked and disappointed by the claims and added that if they prove true he feels “betrayed and deceived.” These remarks are his first public comments since the probe surfaced.
The investigation, revealed last month, focuses on procurement activities within Altice’s Portugal business. Drahi said Altice International immediately launched internal inquiries to determine the facts and implemented rapid measures intended to limit any potential harm to the company.
He emphasized that the company is committed to fully understanding the scope of the issue and to taking appropriate action. While the investigation initially targets Portuguese operations, Drahi acknowledged that some suppliers implicated in the allegations have also worked with entities outside Portugal. He stressed, however, that suspected wrongdoing appears limited to a small share of global purchasing and is largely concentrated in technical procurement categories.
As part of the company’s response, Altice International has suspended several employees, including Armando Pereira, a co‑founder and close associate of Drahi. Pereira has been placed under house arrest while authorities continue their inquiries. Altice USA, which was assembled through acquisitions, has taken comparable steps and appointed a new chief procurement officer to strengthen oversight.
Drahi reassured investors that the ongoing investigation is not expected to affect Altice International’s financial stability or its near‑term guidance. He reiterated confidence in the company’s internal controls and management teams, while acknowledging the reputational damage the allegations have caused.
“It’s very unpleasant to see the word ‘corruption’ next to the name of our group and, most of the time, next to my name,” Drahi said, reflecting on the personal and corporate impact of the probe.
To address investor concerns and provide more detail, Drahi and Altice International’s management plan to hold investor meetings in London and New York in September. Those sessions will outline the steps being taken to resolve the matter and to restore stakeholder trust.
(Image credit: École Polytechnique under CC BY‑SA 2.0. Original image has been cropped for landscape use.)
See also: Ericsson shareholders sue for millions over withheld report
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