ZTE denies knowledge of US bribery probe - Mobile World Live

ZTE denies knowledge of US bribery probe

16 MAR 2020

Chinese equipment vendor ZTE responded to reports it faced a bribery investigation in the US, with a claim it had not received any official notification and would seek more details from authorities.

In a statement, the company said it did not receive notices from the relevant US government departments and will proactively communicate with them, adding it “is fully committed to meeting its legal and compliance obligations”. It said its production and operations are running as normal.

On 13 March NBC News reported the US Department of Justice was investigating allegations the vendor paid bribes to government officials in overseas markets.

If the allegation proves to be true, the Chinese vendor could face a new round of criminal penalties.

ZTE paid more than $2 billion in fines for violating trade sanctions and then breaching a 2017 settlement relating to exports to Iran.

In July 2018, the US Department of Commerce formally lifted a seven-year ban on US companies selling components and software to ZTE after it complied with all the requirements of a settlement relating to the matter.

However, the US continues to pursue moves to remove equipment from companies deemed a threat to national security: while ZTE and compatriot Huawei are not explicitly named in these, both have been branded threats by regulator the Federal Communications Commission.



Joseph Waring

Joseph Waring joins Mobile World Live as the Asia editor for its new Asia channel. Before joining the GSMA, Joseph was group editor for Telecom Asia for more than ten years. In addition to writing features, news and blogs, he...

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