Alcatel finalizing US bribery settlement in Miami

AP News
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Posted: Jun 01, 2011 4:21 AM
Alcatel finalizing US bribery settlement in Miami

French telecommunications company Alcatel-Lucent SA is finalizing a settlement with the U.S. over bribes paid to officials in Costa Rica, Honduras, Malaysia and Taiwan.

The deal set to conclude Wednesday in Miami federal court includes a $92 million penalty as part of a deferred prosecution agreement with the Justice Department. Altacel paid another $45 million to settle a related Securities and Exchange Commission case.

Three Alcatel subsidiaries are scheduled to plead guilty to violating the Foreign Corrupt Practices Act. Prosecutors say the bribes enabled Alcatel to win numerous major telecommunications contracts.

A Costa Rican firm is asking a U.S. federal judge at the hearing to declare it a victim of the bribes and order Alcatel to pay it millions of dollars in damages. The U.S. government opposes that request.