Defendant Name:
Magyar Telekom, PLC
Defendant Type:
Public Company
Document Reference:
2011-279
Document Details
Legal Case Name
SEC v. Magyar Telekom, Plc, and Deutsche Telekom, AG
Document Name
SEC Charges Magyar Telekom and Former Executives with Bribing Officials in Macedonia and Montenegro: Firm and Parent Company Agree to Pay $95 Million to Settle Civil and Criminal Charges
Document Date
29-Dec-2011
Document Format
Civil Proceeding
Case Number
11-cv-09646
Federal District Court
New York, Southern District of New York
Allegation Type
Foreign Corrupt Practices Act
Document Summary
On December 29, 2011, the SEC announced that it charged Magyar Telekom, PLC ("Magyar Telekom"), the largest telecommunications provider in Hungary, and three of its former top executives with bribing government and political party officials in Macedonia and Montenegro to win business and shut out competition in the telecommunications industry. Magyar Telekom's parent company Deutsche Telekom AG ("Deutsche Telekom") also is charged with books and records and internal controls violations of the Foreign Corrupt Practices Act. Magyar Telekom and Deutsche Telekom consented to the entry of final judgments without admitting or denying the SEC's allegations. The settlements, which are subject to court approval, require Magyar Telekom to pay more than $31.2 million in disgorgement and prejudgment interest. Magyar Telekom also agreed to pay a $59.6 million criminal penalty as part of a deferred prosecution agreement with the U.S. Department of Justice. Deutsche Telekom, as part of a non-prosecution agreement with the Department of Justice, agreed to pay a penalty of $4.36 million.
Other Defendants in Action:
