Justice Department Accuses Ericsson Of Failing To Fully Disclose Alleged Fraud And Possible Payments To ISIS

The Washington Post

Justice Department Accuses Ericsson Of Failing To Fully Disclose Alleged Fraud And Possible Payments To ISIS

The telecom giant said it was told it had breached a billion-dollar legal settlement after media reports of wrongdoing in Iraq

By Greg Miller and Louisa Loveluck

The Justice Department has accused telecommunications giant Ericsson of violating a billion-dollar legal settlement by failing to fully disclose evidence of alleged corruption and possible payments to terrorists in Iraq, the company said Wednesday.

The revelation raises substantial legal risks for the Swedish company, including the possibility of steep fines or a new criminal investigation three years after Ericsson paid more than $1 billion to avoid prosecution in other cases.

The disclosure came three days after The Washington Post and other news organizations published details of an internal Ericsson probe that had uncovered evidence of extensive fraud by company officials, decisions to send workers into territory controlled by terrorists and the use of contractors who may have paid off Islamic State militants.

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A report on the findings of an internal probe was obtained by the International Consortium of Investigative Journalists and shared with The Post as part of an international reporting project.

Full story https://www.washingtonpost.com/world/2022/03/02/doj-ericsson-iraq-isis/