Feeds

Microsoft responds to Chinese software contract bribery claims

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

Internet Security Threat Report 2014

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. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.