IBM settles bribery case for $10m
Company charged with bribing South Korea, China government officials over ten years
IBM will pay $10 million to settle bribery complaints levelled against its employees in South Korea and China, according to Reuters.
The complaint states that over the period of a decade IBM employees attempted to bribe South Korean and Chinese officials with cash, gifts and entertainment in return for business.
The violations of the Foreign Corrupt Practices Act took place between 1998 through 2009, the US Securities and Exchanges Commission said in the complaint.
The total amount in cash bribes allegedly paid to officials in South Korea by employees of IBM Korea and a local joint venture with LG Electronics was $207,000, according to the SEC and court documents.
Employees of IBM in China also provided Chinese government officials with gifts, entertainment and overseas trips.
IBM, which has not admitted or denied the allegations, has now settled the case, paying a civil penalty of $2m plus $8m in other payments.