Portuguese utility EDP has confirmed it has suspended its chief executive officer António Mexia, and executive board member and head of the company’s renewables business João Manso Neto
Both were suspended in the context of judicial procedures investigating an alleged fraud dating back several years. Neither man has been charged.
They were suspended following a ruling by a judge involved in an investigation into alleged irregularities at the company. The alleged irregularities relate to a power purchase agreement.
According to Reuters, Portugal’s public prosecutor indicted Mr Mexia and Mr Neto three years ago. Both men and the company have denied any wrongdoing.
EDP said the board at the company has designated Miguel Stilwell de Andrade, currently chief financial officer, as interim chief executive while Mr Mexia is suspended.
In a statement, the company said the issues at the heart of the investigation had "already been thoroughly investigated."
EDP reaffirmed that its view there had been "no irregularity" that could be attributed to the company and cited several examinations of the case that concluded that the matter had been conducted fairly and according to market terms and conditions.
The company went on to say that the issues were also scrutinised in 2018 in an inquiry commissioned by the Portuguese parliament, at which EDP executives provided clarification and documents that support EDP’s position. The company said the allegations "lack substance."
EDP Renewables is one of the world’s largest developers of wind energy and a leader in the offshore wind sector.