Feeds

HP assuages Canada with $105m

Vows to sue another day

  • alert
  • submit to reddit

High performance access to file storage

HP has played peacemaker with the Canadian government, agreeing to shell out $105m to settle a long-running contract dispute.

The $105m sum matches what Canada's Department of National Defence had been seeking from HP. The government argued that HP - and the old Compaq - had received payment for services never actually performed. HP has not admitted to any wrongdoing and plans to pursue the matter with lawsuits against third parties.

"HP determined that it was important for the company to honor its contractual obligations, rather than engage in protracted litigation with the Government of Canada, despite the lack of evidence that HP employees derived any improper benefit from the scheme," HP said. "HP now intends to take appropriate steps, including legal action, to recover these funds from the individuals and companies responsible."

Both HP and the Canadian government are being relatively quiet about exactly what went on in this services scandal. HP did, however, say other parties had engaged in a "complex scheme designed to exploit both parties through contracts inherited through HP's merger with Compaq Computer Corp."

Darren Gibb, a spokesman for Canada' Minister of National Defence, said that the government plans to assist HP in its pursuit of the third parties involved in the dispute.

"We have worked closely with HP on this and are conducting our own ongoing investigation," Gibb said. "We are absolutely delighted with today's' news. It shows that the government of Canada is committed to protecting tax payer dollars." ®

Related stories

HP owes Canada $120m, claims official
HP shells out for SCO road show

High performance access to file storage

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
Sorry London, Europe's top tech city is Munich
New 'Atlas of ICT Activity' finds innovation isn't happening at Silicon Roundabout
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
prev story

Whitepapers

Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.