Paris-based Alcatel-Lucent will pay $137 million in fines after admitting it bribed government officials in many countries including Malaysia, Taiwan and Costa Rica. In return, the Justice Department will defer prosecution and drop the case after three years if the company improves its compliance program.
According to Bloomberg, Alcatel-Lucent will pay a $92 million criminal penalty and $45 million to settle civil charges made by the U.S. Securities and Exchange Commission.
Three subsidiaries of Alcatel-Lucent--Alcatel-Lucent France, Alcatel-Lucent Trade International and Alcatel Centroamerica--will plead guilty, according to the agreement filed in federal court in Miami. In addition, the company will pay an independent French monitor to make sure it complies with anti-bribery guidelines.
Alcatel-Lucent has struggled with financial losses since Alcatel merged with Lucent in 2006. However, CEO Ben Verwaayen said in September that the company expects to be cash flow positive this year.
For more:
- See this Bloomberg article
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