Networking giant Juniper agrees to pay $11.7 million as part of bribery settlement with SEC
Juniper Networks has reportedly settled a bribery probe with the US Securities and Exchange Commission (SEC).
The corrupt business practices investigation by the US SEC and the US Department of Justice, which began back in 2013, looked into possible violations by the company of the US Foreign Corrupt Practices Act.
The US Foreign Corrupt Practices Act of 1977 is designed to prevent American companies and employees from making payments “to foreign government officials to assist in obtaining or retaining business.”
Now according to the Wall Street Journal (WSJ), Juniper has agreed to pay $11.7 million as part of a settlement with the Securities and Exchange Commission
The payment is to settle charges that its Russian and Chinese subsidiaries falsified travel expenses and secretly agreed to fund leisure trips for government officials.
Under the terms of the settlement, Juniper Networks neither admitted nor denied the agency’s findings.
“Operating with the highest ethical standards is of the utmost importance for Juniper Networks, and we are committed to ensuring that we act with honesty and integrity consistently in everything we do,” a Juniper Networks spokeswoman reportedly said in a statement.
When news of bribery investigation was first revealed in 2013, it came hot on the heels of the unexpected news in late July 2013 that Juniper’s then chief executive officer (CEO) Kevin Johnson was to retire once a successor has been named.
The news surprised the markets at the time, given that it came on the back of impressive second quarter 2013 financial results.
Do you know all about security? Try our quiz!