• Cryptocurrency
  • Earnings
  • Enterprise
  • About TechBooky
  • Submit Article
  • Advertise Here
  • Contact Us
TechBooky
  • African
  • AI
  • Metaverse
  • Gadgets
Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
  • African
  • AI
  • Metaverse
  • Gadgets
Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
TechBooky
Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
Home African

Ericsson To Pay A $1b Fine To Settle Corruption Charges Brought Against It By The U.S. Justice Dept.

Uloma Mary Omolaiye by Uloma Mary Omolaiye
December 9, 2019
in African, Government, Mobile, Telecom
Share on FacebookShare on Twitter

Swedish mobile telecoms company, Ericson has agreed to pay the fine of $1b to resolve its corruption charges, the US Department of Justice said. 

The company is facing criminal charges of corruption, including the bribing of government officials which took place over many years in countries including China, Vietnam and Djibouti. The entire charges include a criminal penalty of more than $520m, including $540m which would be paid to the US Securities and Exchange Commission (SEC).

The company admitted guilt in all the charges.

Between 2010 and 2016, the Swedish mobile firm admitted to conspiring with others to violate the Foreign Corrupt Practices Act (FCPA). It admitted to giving bribes, falsifying books and record, and failing to implement reasonable internal accounting controls, the Justice Department said in a statement.

To secure contracts and keep business moving, Ericsson had used third party agents. According to one of the complaints, the company retained consultants to create slush funds and transfer money to third parties.

“Certain employees in some markets, some of whom were executives in those markets, acted in bad faith and knowingly failed to implement sufficient controls. I view what has happened as a completely unacceptable and hugely upsetting chapter of our history,” Ericsson CEO Borje Ekholm said in a conference call on Saturday.  

One of the company’s subsidiaries in Egypt pleaded guilty in the Southern District of New York to a charge of conspiracy to violate the anti-bribery provisions of the FCPA.

Many companies would normally decline to plead guilty even though they would concede to paying fines. This is because pleading guilty attracts more severe sanctions, including the revoking of licenses. However, the company can always negotiate the sanctions to ensure they continue to operate.

Pleading guilty means it is accountable for its crimes and Ericsson said it had reviewed its corruption program and taken steps to improve its ethics, even though the case “completely unacceptable,” pointing that the people involved in the crime were executives (who should be fighting corruption).

To this effect, the company made a provision of $1.2b to the US authorities in relation to the investigations. The financial officer, Carl Mellander said the amount covers the provision the company had made in the quarter.

“While the amount for the settlement today is significant, I can confirm that we will be able to manage the associated cash outflow with available funds,” he told the conference call.

This settlement leaves Ericsson largely free of criminal convictions that could have translated to other stiff penalties.

Related Posts:

  • toughbook
    Trump Media Merger Partner, DWAC Records 50%…
  • B01DD9BE-C84F-4748-8F33-B0231620FA70
    Crypto Lord, Bankman Fried Arrested In Bahamas, To…
  • uber lawsuit
    Uber In Settlement With US Prosecutors Admits…
  • Q4 Earnings: Ericsson Navigates Challenges and Anticipates 5G Slowdown
    Q4 Earnings: Ericsson Navigates Challenges and…
  • do-kwon-retour-seoul
    Do Kwon Who Was Wanted For Crypto Crash Is Arrested…
  • wise-green-logo-new-scaled
    UK's Wise Fined Over Misleading Transfer Fees
  • reddit-hero
    Reddit Communities Unite In Protest Against…
  • How Machine Learning Can Be Used To Fight Government Corruption
    How Machine Learning Can Be Used To Fight Government…

Discover more from TechBooky

Subscribe to get the latest posts sent to your email.

Tags: africacorruptionenterpriseericssonfinegovernmentjustice departmentswedentelecom
Uloma Mary Omolaiye

Uloma Mary Omolaiye

BROWSE BY CATEGORIES

Select Category

    Receive top tech news directly in your inbox

    subscription from
    Loading

    Freshly Squeezed

    • DOJ Reportedly Investigates Google’s Character.AI Partnership May 23, 2025
    • Sony Organises A PlayStation Event for June; A State of Play May 23, 2025
    • Microsoft’s New AI features in Notepad, Paint, & Snipping Tool Test Trials May 23, 2025
    • Bluesky Starts Confirming “Notable” Users May 23, 2025
    • Affiniti Raises $17M for AI-Powered Small Business Finance May 22, 2025
    • Absolute Zero’ AI Achieves Top-Level Reasoning Without Human Data May 22, 2025

    Browse Archives

    May 2025
    MTWTFSS
     1234
    567891011
    12131415161718
    19202122232425
    262728293031 
    « Apr    

    Quick Links

    • About TechBooky
    • Advertise Here
    • Contact us
    • Submit Article
    • Privacy Policy

    Recent News

    DOJ Reportedly Investigates Google’s Character.AI Partnership

    DOJ Reportedly Investigates Google’s Character.AI Partnership

    May 23, 2025
    Sony Organises A PlayStation Event for June; A State of Play

    Sony Organises A PlayStation Event for June; A State of Play

    May 23, 2025
    Microsoft’s New AI features in Notepad, Paint, & Snipping Tool Test Trials

    Microsoft’s New AI features in Notepad, Paint, & Snipping Tool Test Trials

    May 23, 2025
    Bluesky Starts Confirming “Notable” Users

    Bluesky Starts Confirming “Notable” Users

    May 23, 2025
    Affiniti Raises $17M for AI-Powered Small Business Finance

    Affiniti Raises $17M for AI-Powered Small Business Finance

    May 22, 2025
    Absolute Zero’ AI Achieves Top-Level Reasoning Without Human Data

    Absolute Zero’ AI Achieves Top-Level Reasoning Without Human Data

    May 22, 2025
    • Login

    © 2021 Design By Tech Booky Elite

    Generic selectors
    Exact matches only
    Search in title
    Search in content
    Post Type Selectors
    • African
    • Artificial Intelligence
    • Gadgets
    • Metaverse
    • Tips
    • About TechBooky
    • Advertise Here
    • Submit Article
    • Contact us

    © 2021 Design By Tech Booky Elite

    Discover more from TechBooky

    Subscribe now to keep reading and get access to the full archive.

    Continue reading

    We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.Ok