Udayavni Special

Airbus agrees to pay 3.6 billion euros to settle corruption probes


PTI, Feb 1, 2020, 10:51 AM IST

Paris: Airbus is set to pay a massive 3.6 billion euros (USD 4 billion) in fines to Britain, France, and the US to settle corruption inquiries sparked by suspicious equipment sales, according to a deal approved by a French court Friday.

Airbus will pay 2.1 billion euros to French authorities, as well as 984 million euros in Britain and 526 million euros in the US.

The European aerospace giant said this week that it had already set aside the money while awaiting court approval of the deal.

“These agreements are made in the context of investigations into allegations of bribery and corruption, as well as compliance with the US International Traffic in Arms Regulations,” Airbus said on Tuesday.

Similar court hearings to approve the deal are expected in London and Washington later on Friday. The fines are expected to weigh heavily on the company’s 2019 earnings, set to be released on February 13.

But the settlement allows Airbus to avoid costly litigation over suspected corruption that emerged from an internal investigation in 2016.

In 2013, it began finding discrepancies in the amounts recorded for several contracts over previous years and in the handling of middlemen.

Airbus reported the findings to France’s Financial Prosecutor’s Office (PNF), Britain’s Serious Fraud Office and the US Department of Justice, submitting some 30 million documents in total to investigators.

Meanwhile, US authorities suspected that Airbus did not obtain necessary approval for the export of some military equipment that contained American-made components.

Airbus manufactures civilian and military aircraft, from drones and helicopters to long-haul commercial airliners, along with rockets, satellites and communications systems.

The affair became a factor in a large-scale executive shake-up at Airbus that ended in April 2019, when Guillaume Faury replaced Tom Enders as chief executive.

Despite the financial settlements, any executives found to be implicated in the corruption can still face prosecution.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

Bengaluru: Couple cheated of ₹16.7 lakh on pretext of role for son in ads

Delta plus: New Covid variant identified, experts say no cause of concern for now

Mangaluru: Cops arrest two including Omani national for possessing Ganja and MDMA

Arvind Kejriwal inaugurates Gujarat AAP office

Rishi Sunak drawn into in-law Narayana Murthy Amazon tax dispute

Udupi DC clarifies on viral video claiming vaccine gives magnetic power

Shivamogga: 7,300 cusecs water released from Tunga dam



Related Articles More

Reports of its foreign investors’ accounts being frozen ‘blatantly erroneous,’ says Adani Group

Journo who exposed Harshad Mehta scam hints at another scandal; trends on Twitter

Rupee slips 14 paise to 73.21 against US dollar in early trade

Baba Ramdev’s Ruchi Soya files FPO document to raise up to Rs 4,300 cr

Amazon India to impart core machine learning skills to make students industry-ready

MUST WATCH

Udupi DC G Jagadeesh Malalagadde clarification | Magnetic Powers after Receiving Vaccine

Heavy rainfall across Mangaluru

Sanchari Vijay Passes Away | Last Exclusive Interview with Udayavani

OVERFLOODED DAM IN SHIMOGA

MUMBAI PARKED CAR SINKS ON ROAD

Latest Additions

Huge traffic jams in Bengaluru after easing of lockdown restrictions

Farmers across India suffering due to Centre”s indifference: Mamata

Bengaluru: Couple cheated of ₹16.7 lakh on pretext of role for son in ads

Delta plus: New Covid variant identified, experts say no cause of concern for now

Maha CM lauds transport dept over new system for learning licence, vehicle registration

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.