Daimler Accused of Bribing Russians

Moscow Times ^ | 03/25/10 | Maria Antonova

[TigerLikesRooster]

Daimler Accused of Bribing Russians

25 March 2010

By Maria Antonova

German carmaker Daimler paid more than 3 million euros ($4 million) in bribes to Russian government officials, largely to secure the sale of cars to the police and Federal Guard Service, the agency that provides transportation for Russian and visiting dignitaries, the U.S. Justice Department said in a lawsuit.

The maker of the Mercedes sedans favored by top officials "made improper payments at the request of Russian government officials or their designees in order to secure business from Russian government customers" between 2000 and 2005, when government purchases comprised 5 percent of all sales in Russia, the Justice Department said in the lawsuit filed Tuesday.

Daimler is accused under the Foreign Corrupt Practices Act, which prohibits bribery and requires transparent bookkeeping. Although Daimler is a German company, it is traded on four U.S. stock exchanges and uses U.S. bank accounts, which makes it subject to some U.S. laws, according to the Justice Department's 77-page court filing, a copy of which was obtained by The Moscow Times.

Daimler's spokeswoman in Russia declined to comment Wednesday.

[DManA]

I hear Daimler’s CEO was accused of breathing too.

[Brett66]

I thought this was part of their constitution?