Microsoft Bribe Probe Reaches Into Pakistan, Russia Deals
A U.S. investigation into Microsoft Corp.’s relationships with business partners that allegedly bribed foreign officials in return for contracts includes activity in Russia and Pakistan, a sign that the probe is wider reaching than previously known, according to people familiar with the matter.
The Wall Street Journal reported this year lawyers from the U.S. Justice Department and the Securities and Exchange Commission had been conducting a preliminary investigation into kickback allegations made by a former Microsoft representative in China, as well as the company’s relationships with certain resellers and consultants in Romania and Italy.
In Russia, an anonymous tipster told Microsoft that resellers of its software allegedly funneled kickbacks to executives of a state-owned company to win a deal, the people familiar with the matter said. In Pakistan, a tipster alleged that Microsoft authorized a consulting firm to pay for a five-day trip to Egypt for a government official and his wife in order to win a tender, the people familiar with the matter said. The two contacted Microsoft directly in the last eight months, the people said.