Feeds

Microsoft responds to Chinese software contract bribery claims

A yuan in the hand is worth two software licenses in the DC?

High performance access to file storage

Microsoft has responded to the WSJ's accusations that its business partners bribed Chinese officials in exchange for software contracts, by noting that it is reviewing the allegations and may find dirt.

The company published a statement on Tuesday in response to the WSJ's report that lawyers from both the Justice Department and the SEC are looking into allegations of bribery by parties on behalf of Microsoft. The regulators are also probing Microsoft's relationship with some resellers and consultants in Romania and Italy.

The probe is being conducted after allegations were made by a source speaking to the WSJ that an executive within Microsoft's China subsidiary instructed someone to offer kickbacks to Chinese officials in exchange for software contracts.

"We take all allegations brought to our attention seriously, and we cooperate fully in any government inquiries," Microsoft's deputy general counsel John Frank wrote.

Redmond is reviewing the allegations, Frank said, before stressing that: "It is also important to remember that it is not unusual for such reviews to find that an allegation was without merit... We take all allegations brought to our attention seriously, and we cooperate fully in any government inquiries."

Regulators are also reviewing Microsoft's relationships with customer loyalty consultants in Italy, who its sources allege were little more than "vehicles for lavishing gifts and trips on Italian procurement officials in exchange for government business". Another probe is being made into whether Microsoft resellers offered bribes to officials to gain a contract with Romania's Ministry of Communications. ®

High performance access to file storage

More from The Register

next story
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
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
Nokia offers 'voluntary retirement' to 6,000+ Indian employees
India's 'predictability and stability' cited as mobe-maker's tax payment deadline nears
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
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
France bans managers from contacting workers outside business hours
«Email? Mais non ... il est plus tard que six heures du soir!»
Adrian Mole author Sue Townsend dies at 68
RIP Blighty's best-selling author of the 1980s
prev story

Whitepapers

Mainstay ROI - Does application security pay?
In this whitepaper learn how you and your enterprise might benefit from better software security.
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.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Mobile application security study
Download this report to see the alarming realities regarding the sheer number of applications vulnerable to attack, as well as the most common and easily addressable vulnerability errors.