A German-based tech company was on Wednesday fined Ksh34.9 billion (USD220 million) for bribing government officials in different countries in a bid to secure lucrative contracts and favours.
Quoting authorities, CNBC reported that the company bribed officials in Kenya, Ghana, Malawi, Azerbaijan, South Africa, Indonesia, and Tanzania within a period that the US Department of Justice (DOJ) did not immediately reveal.
The company gave bribes in the form of cash payments, political contributions, electronic transfers, and luxury goods, among other incentives to sway the officials' decisions.
In South Africa, the company was accused of taking bribes to falsify books, records, and accounts. It was revealed that the tech company had contracts with the City of Johannesburg, the City of Tshwane, the Department of Water and Sanitation, and Eskom Holdings Limited.
Meanwhile in Indonesia, the company was linked with the Center for Providers and Managers of Telecommunications and Informatics Financing, and the Ministry of Maritime Affairs and Fisheries.
However, the authorities did not reveal the identity of those who received bribes in Kenya, Malawi, Tanzania, Ghana, and Azerbaijan.
A statement by the US Department of Justice accused the company of creating an elaborate bribery scheme, that saw it secure multi-million contracts to the disadvantage of more qualifying bidders.
"The company will pay over $220 million to resolve investigations by the U.S. Justice Department and the Securities and Exchange Commission (SEC) into violations of the Foreign Corrupt Practices Act (FCPA)," read a statement from the department.
According to court documents, the company accepted the accusations and agreed to pay the fine.
"According to court documents, the company entered into a three-year deferred prosecution agreement (DPA) with the department in connection with a criminal information filed in the Eastern District of Virginia charging the company with two counts," read part of the statement from the department.
The Justice Department commended the company's cooperation during the investigations by providing the required documents, promptly disciplining any employee involved in the misconduct, and availing employees and officers for interviews among others.
"The company has accepted responsibility for corrupt practices that hurt honest businesses engaging in global commerce," stated US Attorney Jessica D.Aber for the Eastern District of Virginia.
The attorney vowed to protect domestic companies from falling victim to bribery while participating in the international marketplace.
