IBM settles bribery complaint for $10m

It’s cost IBM US$10 million to settle a complaint that its employees tried to bribe South Korean and Chinese officials with cash, gifts and entertainment in return for business that lasted over a decade.

Without admitting or denying the allegations, IBM has agreed to pay US$10 million to settle a lawsuit that said its employees tried to bribe South Korean and Chinese officials in return for business.

According to Reuters, the US Securities and Exchanges Commission alleged employees of IBM Korea and a local joint venture with LG Electronics paid around $207,000 in bribes to South Korean government officials.

IBM employees in China also provided "gifts, overseas trips and entertainment to Chinese government officials” court papers said.

The bribes are said to have taken place between 1998 and 2009.

IBM is said to have paid a civil penalty of US$2 million plus US$8 million in "other payments”.