NEW YORK (TheStreet) -- Shares of Petroleo Brasileiro Petrobras (PBR) are sliding, down 4.17% to $7.81 in afternoon trading on Wednesday, continuing yesterday's decline after Brazil's top prosecutor called for management to step down in light of the recent corruption scandal, Reuters reported.
Prosecutor General Rodrigo Janot said Petrobas, Brazil's largest company, must be carefully scrutinized while its operations are made more transparent, Reuters noted.
"The country no longer tolerates the shameless corruption of some bad public officials and bad businessmen. The response to those that assaulted Petrobras will be firm," said Janot according to Reuters.
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Petrobras is at the center of Brazil's biggest corruption and money laundering scandal as federal prosecutors prepare to indict 11 executives at six of Brazil's largest engineering firms for paying billions of dollars in bribes, Bloomberg reported.
Two former Petrobras directors are among the two dozen people arrested for their involvement, Bloomberg noted.
On Monday, investor Peter Kaltman filed a lawsuit in Manhattan federal court against Petrobas for failing to disclose an alleged kickback plan, saying the company made false statements that misled investors who lost money when the scandal became public, Bloomberg added.
Petrobras is a Brazil-based integrated oil and gas company, operating through seven segments.
Separately, TheStreet Ratings team rates PETROBRAS-PETROLEO BRASILIER as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation: