|
|
|
|
Search: 
Latin American Herald Tribune
Venezuela Overview
Venezuelan Embassies & Consulates Around The World
Sites/Blogs about Venezuela
Venezuelan Newspapers
Facts about Venezuela
Venezuela Tourism
Embassies in Caracas

Colombia Overview
Colombian Embassies & Consulates Around the World
Government Links
Embassies in Bogota
Media
Sites/Blogs about Colombia
Educational Institutions

Stocks

Commodities
Crude Oil
US Gasoline Prices
Natural Gas
Gold
Silver
Copper

Euro
UK Pound
Australia Dollar
Canada Dollar
Brazil Real
Mexico Peso
India Rupee

Antigua & Barbuda
Aruba
Barbados
Cayman Islands
Cuba
Curacao
Dominica

Grenada
Haiti
Jamaica
Saint Kitts and Nevis
Saint Lucia
Saint Vincent and the Grenadines

Belize
Costa Rica
El Salvador
Honduras
Nicaragua
Panama

Bahamas
Bermuda
Mexico

Argentina
Brazil
Chile
Guyana
Paraguay
Peru
Uruguay

What's New at LAHT?
Follow Us On Facebook
Follow Us On Twitter
Most Viewed on the Web
Popular on Twitter
Receive Our Daily Headlines


  HOME | Business & Economy (Click here for more)

Ericsson Agrees to Pay $1 Billion to Settle US Graft Investigation

NEW YORK – Swedish telecom group Ericsson has agreed to pay over $1 billion in an agreement with the United States Department of Justice to settle an investigation into allegations of paying bribes to boost its business in Djibouti, China, Vietnam, Indonesia and Kuwait.

A Justice Department statement said on Friday that after negotiations, the company agreed to pay a criminal penalty of $458 million and interests of around $81.5 million to end a probe into the possible violations of the Foreign Corrupt Practices Act.

As part of the agreement, the company would pay the fines to the Security and Exchange Commission to settle complaints related to bribery and accounting practices.

An Egyptian subsidiary of Ericsson on Friday also pleaded guilty of a charge of conspiring to violate the anti-bribery provisions of the FCPA in a federal court in the Southern District of New York, according to the statement.

“Today, Swedish telecom giant Ericsson has admitted to a years-long campaign of corruption in five countries to solidify its grip on telecommunications business,” US Attorney (public prosecutor) Geoffrey S Berman said in the statement.

“Through slush funds, bribes, gifts, and graft, Ericsson conducted telecom business with the guiding principle that ‘money talks.’ Today’s guilty plea and surrender of over a billion dollars in combined penalties should communicate clearly to all corporate actors that doing business this way will not be tolerated,” he added.

The official statement also said that Ericsson had admitted to paying bribes, falsifying books and records and to failing to “implement reasonable internal accounting controls.”

“Ericsson’s corrupt conduct involved high-level executives and spanned 17 years and at least five countries, all in a misguided effort to increase profits,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department.

“Such wrongdoing called for a strong response from law enforcement, and through a tenacious effort… today’s action not only holds Ericsson accountable for these schemes but should deter other companies from engaging in similar criminal conduct.”

As part of the agreement, the company has agreed to keep cooperating with the DOJ in any further investigation in the case.

The settlement is believed to be the highest ever under the FCPA.

“As part of the settlement, Ericsson has agreed to engage an independent compliance monitor for three years while the company continues to undertake significant reforms to strengthen its ethics and compliance program,” the Swedish firm said in a statement.

 

Enter your email address to subscribe to free headlines (and great cartoons so every email has a happy ending!) from the Latin American Herald Tribune:

 

Copyright Latin American Herald Tribune - 2005-2020 © All rights reserved