Ericsson is accused of paying bribes in ChinaTuesday, 11 October 2011
Swedish telecom giant, Ericsson and its Chinese counterpart, Huawei, have been accused of paying bribes to a Chinese government official in charge of procurement.
It emerged in connection with a corruption trial in China, writes Bloomberg News, according to various Swedish media networks.
AdvertisementEricsson allegedly paid a commission of 2 percent to Shen Changfu in 1996, when he worked as head of the authority of Chongqing Telecom Bureau and was responsible for the Agency's purchase of plants from Ericsson.
For Huawei, it is said that, it was to benefit from the procurement of Shen Changfu when he was President and Chairman of China Mobile Company Chongqing.
The trial, which began on October 10, relating to corruption in government, where China Mobile Shen Changfu is accused of having received bribes totalling 36.2 million yuan.
In related development, Ericsson wins 4G contract in India. - Telecom company Ericsson has received its first 4G contract in India. Clients of the fourth-generation network operator is Auger.
Besides the 4G network development, Ericsson will also provide service for three years, according to a press release.
By Scancomark.se Team
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