Microsoft accused of bribery and corruption in Hungary

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Published onAugust 24, 2018

published onAugust 24, 2018

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According to a reportfrom the Wall Street Journal, Microsoft is being investigated by the US government for possible bribery and corruption in Hungary. The software giant apparently sold some of its office programs at cheaper rates to middleman companies but then charged the Hungarian government higher rates for the same (via Engadget.)

The sales reportedly happened between 2013 and 2014, and the US Securities and Exchange Commission and the Justice Department are both currently investigating the case. The government organizations want to see if Microsoft used the difference in pricing between the middleman companies and the Hungarian government as kickbacks, which is illegal under the U.S. Foreign Corrupt Practices Act.

Wall Street Journal also reports that Microsoft partners in five other countries also bribed government buyers, but it is not clear if the US is investigating those cases as well. A Microsoft spokesperson issued a statement:

“As soon as we became aware in 2014 of potential wrongdoing in our Hungarian subsidiary, we moved quickly to pursue a detailed investigation and hold people accountable…We fired four employees and terminated our business with four partners, and we’ve been defending ourselves against legal claims they raised as a result.”

Microsoft previously faced similar charges back in 2013, then for kickbacks in China. The US Justice Department and the Securities and Exchange Commission did not issue statements about the investigation.

Radu Tyrsina

Radu Tyrsina has been a Windows fan ever since he got his first PC, a Pentium III (a monster at that time).

For most of the kids of his age, the Internet was an amazing way to play and communicate with others, but he was deeply impressed by the flow of information and how easily you can find anything on the web.

Prior to founding Windows Report, this particular curiosity about digital content enabled him to grow a number of sites that helped hundreds of millions reach faster the answer they’re looking for.

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