Ex-ABB managers settle Nigeria bribery charges - SEC

[Richard Akindele]

WASHINGTON (Reuters) - Four former employees of subsidiaries of Swiss-based engineering company ABB Ltd agreed to pay a total of about $235,000 to settle charges they bribed Nigerian government officials to obtain business, the U.S. Securities and Exchange Commission said on Wednesday.

The SEC said a settled civil lawsuit was filed in a federal court against the four, who were accused of violating anti-bribery provisions of the U.S. Foreign Corrupt Practices Act between 1999 through 2001.

The SEC accused the defendants of participating in a scheme by "offering, approving and/or paying bribes" to Nigerian officials to help the company secure a $180 million contract to provide equipment for an oil drilling project in Nigeria's offshore Bonga Oil Field.

The lawsuit named John Samson, a former regional sales manager for West Africa; John Munro, a former senior vice president of operations; Ian Campbell, a former vice president of finance; and John Whelan, a former vice president of sales.

Each settled without admitting or denying any wrongdoing.

"We cooperated fully with the SEC, and we're very happy to put this behind us," Whelan's attorney, Joseph Aronica, said from his Washington office at the law firm of Duane Morris

LLP.

Campbell said by telephone from his residence in Scotland: "These were events that were six years ago, and when I left ABB I signed a confidentiality agreement that precludes me from talking about it. Anything I say now would be in breach of that confidentiality agreement."

Samson, reached by telephone at his residence in Kuala Lumpur, Malaysia, declined to comment. Munro's attorney in Aberdeen, Scotland, could not be reached for comment.

The actions by the defendants resulted in total payments of about $1 million in cash and gifts by ABB, which was awarded the Bonga contract in early 2001, the SEC said in its civil complaint.

As part of the settlement Samson was ordered to pay nearly $115,000, and each of the other three individuals were ordered to pay $40,000.

In July 2004 ABB was ordered to pay back $5.9 million in profits and $10.5 million in a civil penalty over payments made to government officials in Nigeria, Angola and Kazakhstan.

The Zurich-based company settled without admitting or denying the SEC's allegations.

Reuters 2006.