Partner Article

HP agrees £35m payment

COMPUTER giant HP has reportedly agreed to a £35.5m settlement payment related to claims it paid kickbacks in relation to US government contracts.

HP was accused of paying other companies so they would recommend HP products to government buyers.

The government’s chief procurement body, the GSA, entered into a contract with HP in 2002.

It is thought to be one of the largest such settlement figures achieved by the US Department of Justice.

The claims were first made in a lawsuit by two whistleblowers in 2004.

The settlement also resolves allegations that the 2002 contract over computer equipment and software was wrongly priced because HP provided incomplete information to the GSA.

A spokesman for the US Department of Justice said the the government would always take action against companies seeking “to taint the government procurement process with illegal kickbacks”.

This was posted in Bdaily's Members' News section by Ruth Mitchell .