French engineering group Alstom has agreed to pay US$700m to settle corruption charges brought by US prosecutors relating to alleged bribes paid in Indonesia and other countries, according to reports.
The settlement, to be announced within the next few days, comes as US conglomerate General Electric (GE) nears completion of a deal to buy key Alstom assets.
The US Department of Justice (DoJ) has accused Alstom under the Foreign Corrupt Practices Act (FCPA) of bribing officials in Indonesia to win a US$118m energy contract in the early 2000s. Alstom partnered with Japanese firm Marubeni, which has also been involved in the investigation.
Two Alstom offices in Indonesia were searched in July 2012 as part of the probe and at least four French Alstom officials have been indicted in relation to the case.
The impending Alstom settlement is bigger than a US$450m payment agreed by the DoJ and Siemens in 2008 to settle FCPA allegations that the German company bribed officials in several countries.
The latest case focuses on the role of Alstom’s US subsidiary in Connecticut, where some of the officials allegedly involved in the bribes worked. The settlement would remove an obstacle to GE’s deal to buy the majority of the French group’s energy assets for €12.4bn (US$15.5bn).
Alstom shareholders are scheduled to vote on December 19 on the GE deal.
On-Demand Treasury Management Solutions continue to gain increased adoption in the US and EMEA regions.
The US dollar and debt yields falling on the North Korea missile test, treasury being a top target for cyber criminals and why treasurers aren't into real-time payments all hit the latest headlines in the world of treasury this week. Don't miss our ten top news stories from around the world.
Treasurers are being expected to do more work with fewer resources than ever before, so it is little wonder that the automation of day-to-day operations was highly discussed on the second day of EuroFinance, the annual treasury event held in Barcelona this week.
Chicago based Treasury Management System (TMS) vendor GTreasury and Sydney based risk and treasury management vendor Visual Risk have joined forces in a strategic alliance to ... read more