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Report: Microsoft Is Being Investigated for Bribery

Illustration for article titled Report: Microsoft Is Being Investigated for Bribery

The WSJ reports that the federal government is investigating Microsoft for bribery. According to unnamed sources, Microsoft paid off foreign government officials to get software contracts.

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According to the report, the DoJ and SEC are looking into anonymous accusations that Microsoft paid off officials in China, Romania, and Italy. Regulators believe that the company may have violated the Foreign Corrupt Practices Act, which says that publicly traded companies cannot bribe foreign governments.

In the case of the China allegation, Microsoft hired an outside firm to conduct a 10-month investigation, which found no there was no wrongdoing. In a blog post, Microsoft downplayed the report saying that it's important the the government look into all allegations like these, and that its fairly standard that the government do so. Still, Microsoft did not confirm or deny the investigation, but it did say if there was an investigation, it wouldn't comment. [WSJ]

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DISCUSSION

And this is why Microsoft needs to record that as the "Political campaign contribution" expense account in their books instead of "Bribes"

Definitely a bad practice. But so many companies do things like "bribery" but not quite bribery it's ridiculous. I find this hardly surprising and having a hard time getting much of an outraged reaction toward this.