Plantronics Inc. on Wednesday settled U.S. allegations of foreign-bribery violations at its Polycom unit, agreeing to pay $36 million in penalties while authorities declined to bring charges.
The San Jose, Calif.-based maker of communications products said that the misconduct had occurred before Plantronics’ acquisition of Polycom in July, and before Polycom went private in 2016. Everyone involved had left Polycom before the acquisition, the company said.
“We are very pleased that the investigation into some of Polycom’s foreign operations has concluded,” Plantronics Chief Executive Joe Burton said in prepared remarks.
Polycom’s Chinese subsidiary had used local distributors and resellers to make payments to Chinese government officials from 2006 to 2014, according to the Securities and Exchange Commission.
The company provided discounts to the third parties with the understanding that they would use the money saved to pay officials who had control over purchasing decisions, the SEC alleged. When managers recorded details about the deals, they provided false justifications for the discounts, the SEC said.
Read the original article here: wsj.com
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