(Company corrects to state that spending was “misclassified,” not “unaccounted for”; corrects in headline and first and fourth paragraphs; deletes Endesa from background in 2nd paragraph; corrects 4th paragraph to show the misclassification resulted in a write-off of 276 million pesos, not that there were unaccounted-for payments of 276 million pesos )
SANTIAGO, June 22 (Reuters) - Electricity generator Endesa Chile said on Monday that an internal audit to determine if it had violated Chile’s political campaign financing laws had found about $450,000 in misclassified spending.
Chilean companies have recently come under scrutiny for allegedly violating campaign financing regulations.
Financial group Penta and fertilizer giant SQM have both been accused of illicitly channeling funds to the campaigns of political parties, mainly to the right-wing UDI.
Endesa, Chile’s largest electricity generator, which is controlled indirectly by Italy’s Enel, said payments made between 2012 and the first quarter of 2015 had been wrongly classified, resulting in a write-off of around 276 million pesos.
It said that it had “not discovered any violations of corporate policy”, adding it was updating its donations policy, with immediate effect, to prohibit all political contributions.
Endesa said a final audit will be published in July. ($1=632 Chilean pesos) (Reporting by Felipe Iturrieta, writing by Gram Slattery; editing by Peter Galloway)