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Regulators Probe Bribery Allegations Aimed at Microsoft

Wednesday, 20 Mar 2013 12:05 PM

By Lisa Barron

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Federal regulators have launched a probe into allegations that Microsoft bribed government officials in at least three countries to get software contracts, according to the Wall Street Journal.

Lawyers from the Justice Department and the Securities and Exchange Commission are reportedly investigating the allegations of kickbacks made by a former Microsoft representative in China, as well as the company's relationship with certain resellers and consultants in Romania and Italy, the Journal reported Wednesday.

Under the Foreign Corrupt Practices Act of 1977, American companies and companies that trade on U.S. stock exchanges are prohibited from paying bribes to foreign officials.

The government reportedly has not, however, filed charges of wrongdoing against Microsoft or any of its business associates.

"Like every large company with operations around the world we sometimes receive allegations about potential misconduct by employees or business partners," John Frank, Microsoft's vice president and deputy general counsel, told the newspaper.


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