Siemens pleads guilty to bribery-related charges

15.12.2008

Siemens Bangladesh made bribery payments of about $5.3 million to officials in that country between May 2001 and August 2006, the agencies said. The payments were connected to a mobile telephone project.

"Today's filings make clear that for much of its operations across the globe, bribery was nothing less than standard operating procedure for Siemens," Acting Assistant Attorney General Matthew Friedrich, said in a statement. "It should be equally clear that Siemens has undertaken significant remedial measures, instituted real reforms and cooperated from the inception of this investigation."

Siemens AG and its audit committee disclosed potential violations to law enforcement officials, the agencies said.

Under the terms of the plea agreement, Siemens AG has agreed to retain an independent compliance monitor for four years. The compliance officer will make reports to the DOJ.

Also on Monday, Siemens AG agreed to a disposition resolving an ongoing investigation by the Munich Public Prosecutor's Office of Siemens AG's operating groups other than its telecommunications group. The charges were based on corporate failure to supervise its officers and employees, and in connection with those charges Siemens AG agreed to pay €395 million, or approximately $569 million, including a €250,000 corporate fine and €394.8 million in disgorgement of profits.