Tuesday, October 20, 2020

Former Senior Alstom Executive convicted for bribing Indonesia government officials


A former Alstom SA executive who carried a UK passport, worked in France, and said he never set foot in the United States, was convicted Friday by a federal jury on 11 of 12 counts for his part in a scheme to bribe government officials in Indonesia.

Lawrence Hoskins, 69, a former senior vice president at Paris-based Alstom, was found guilty of violating the Foreign Corrupt Practices Act and of money laundering and related conspiracy charges.

The jury in Connecticut deliberated one day. They acquitted Hoskins on one money laundering count. They convicted him on six counts of violating the FCPA, three counts of money laundering, and two counts of conspiracy.

The DOJ indicted Hoskins in 2013. His trial was delayed while he challenged the reach of the FCPA through motions to the trial court and during government appeals.

- Advertisement -

Judge Janet Bond Arterton dismissed part of the indictment against him, ruling that a non-U.S. citizen, national, or resident couldn’t be held criminally liable for conspiring to violate or aiding and abetting a violation of the FCPA.

The Second Circuit agreed but said Hoskins could still be charged with substantive FCPA offenses if the DOJ could show he had acted as an agent of a “domestic concern.” On that basis the DOJ went ahead with his trial.

Alstom SA pleaded guilty in December 2014 to violating the Foreign Corrupt Practices Act by bribing officials in Indonesia, Saudi Arabia, Egypt, and the Bahamas.

Three other Alstom executives pleaded guilty in the United States to bribing officials in Indonesia.

- Advertisement -

After the company’s FCPA resolution, General Electric bought Alstom’s power business in 2015.

The DOJ put Hoskins on trial in Connecticut, where the Alstom subsidiary implicated in the Indonesia bribery was based.

Prosecutors were able to convince the jury that Hoskins, who worked for the Alstom parent company in France, violated the FCPA by acting as an agent for the Connecticut subsidiary when he helped arrange the Indonesia bribes.

Prosecutors said Hoskins helped hire two “consultants” who were supposed to bribe Indonesian officials, including a member of parliament. Alstom’s Connecticut unit eventually won a $118 million contract from Indonesia’s state-owned electricity company.

Alstom’s consortium partner in Indonesia, Marubeni Corporation, pleaded guilty in 2014 to one count of conspiracy to violate the FCPA and seven substantive FCPA offenses. The Japan-based company paid a criminal penalty of $88 million to resolve the offenses.

Hoskins’ trial started in mid October. He had posted a $2 million bond and before his conviction was allowed to travel outside the United States.

After the verdict Friday, the DOJ said it appreciated “significant cooperation” from “law enforcement colleagues in Indonesia, Switzerland’s Office of the Attorney General and the United Kingdom, as well as authorities in France, Germany, Italy, Singapore, and Taiwan.”

Judge Arterton set Hoskins’ sentencing for January 31, 2020.

Source: fcpablog


Ex-managers of Security firm pleads guilty in Santa Clara County concealed gun permit bribery scandal

Two former managers of a Silicon Valley international security firm pleaded guilty Monday to charges related to a bribery scheme to obtain concealed firearms...

Ohio former House Speaker Larry Householder to stand for reelection amid bribery charges

Republican Rep. Larry Householder’s name will be on the ballot Election Day as the disgraced Ohio lawmaker intends to serve his district for another...

Billionaire Robert Smith to Pay $140 million after admitting to tax evasion

Billionaire Robert Smith will pay about $140 million and acknowledge wrongdoing to end a four-year U.S. tax investigation involving assets held in offshore tax...

Mexico’s ex-army chief arrested in US on charges of drug trafficking, money laundering

Former Mexican Defense Secretary Gen. Salvador Cienfuegos, who led the country’s armed forces for six years under then-President Enrique Peña Nieto, has been arrested...

Texas billionaire Robert Brockman charged in $2 billion tax evasion case

Robert Brockman, the Houston billionaire and CEO of a software company, has been charged with taking $2 billion through a scheme to evade taxes,...

Latest News

This Week

Spain extradites former bank CEO sentenced in Iran for corruption

Spain has extradited a fugitive former Iranian executive implicated in a large financial corruption case, in what Iran’s judiciary says is the first such...

Medical device maker Merit Medical agrees to pay $18m to settle false claims

Medical device maker Merit Medical Systems Inc. (MMSI), of South Jordan, Utah, has agreed to pay $18 million to resolve allegations that the company...

Ex-managers of Security firm pleads guilty in Santa Clara County concealed gun permit bribery scandal

Two former managers of a Silicon Valley international security firm pleaded guilty Monday to charges related to a bribery scheme to obtain concealed firearms...

Romania money laundering prevention agency chief resigns over fraudulent diplomas

Laurenţiu Baranga resigned from his job as head of the Office for Money Laundering Prevention as prosecutors opened an investigation concerning his diplomas. He...

Adblock Detected!

Our website is made possible by displaying online advertisements to our visitors. Please consider supporting us by whitelisting our website.

Enable Notifications    Ok No thanks