Ericsson to pay over $1B to settle FCPA case
Ericsson has agreed to pay total penalties of more than $1B to resolve the government's investigation into violations of the Foreign Corrupt Practices Act arising out of the company's scheme to make and improperly record tens of millions of dollars in improper payments around the world. This includes a criminal penalty of over $520M and approximately $540M to be paid to the U.S. Securities and Exchange Commission in a related matter. An Ericsson subsidiary pleaded guilty today for its role in the scheme. Ericsson entered into a deferred prosecution agreement with the department in connection with a criminal information filed today in the Southern District of New York charging the company with conspiracies to violate the anti-bribery, books and records, and internal controls provisions of the FCPA. The Ericsson subsidiary, Ericsson Egypt Ltd, pleaded guilty today in the Southern District of New York to a one-count criminal information charging it with conspiracy to violate the anti-bribery provisions of the FCPA. The case is assigned to U.S. District Judge Alison J. Nathan of the Southern District of New York. Pursuant to its agreement with the department, Ericsson has committed to pay a total criminal penalty of $520,650,432 within 10 business days of the sentencing hearing, and has agreed to the imposition of an independent compliance monitor.