re: AlcaLu Pays Up in Chinese Bribes CaseThe problem is that some customers accept this as part of gaining their business and in their culture it is not regarded as corruption - ASIA is best served with a 'cash' policy, EMEA is best seved with a 'consultancy' contracts, US is best served with golfing trips or Disney world user group meetings.
'Verizon' as a custmer have a long standing internal policy not to accept anything from vendors even if won at a trade show and trips are double checked by other internal groups.
re: AlcaLu Pays Up in Chinese Bribes Caseall, I repeat ALL International telecom suppliers do this sort of thing.In my experience Ericsson was the worst offender,but Alcatel,Siemens,Nortel all did it.The Chinese demanded both pre-bid qualification tours and post bid manufacturing visits.The US law on this really hurts US manufactuers, and is naive in this case.Out and out cash bribery was the intent of the law--this area is very gray.To make light of it in the way the article was written was also naive and un-professional
re: AlcaLu Pays Up in Chinese Bribes Casealmost all major business contracts in major industries have deals like this arranged. In US, large ones like IBM, GE, Boeing, medical equipments vendors, auto, engergy industries,etc, In Japan, Mitsubishi, Fujitsu, etc . Most triditional industris had done these for decades. US just opened its tour visa to china 2 months ago and for the past deacades this is pretty much the only way for chinese industy leaders to really tour US.
re: AlcaLu Pays Up in Chinese Bribes CaseTHe only telecom companies that do not pay off Chinese officials are companies who do not get contract in China. It is a requirement and an expected part of doing business.
"Respectable" companies keep their hands clean by hiring "consultants." These consultants are paid large sums of money supposedly for their expertise in dealing with Chinese officials. A large part of the consulting fee goes to bribes, but the "respectable" vendor does not get involved other than paying the consulting fee, which everyone knows is going to pay bribes.
Sounds like Lucent got in trouble for being stupid about the way they executed it and accounted for it.
re: AlcaLu Pays Up in Chinese Bribes Case"THe only telecom companies that do not pay off Chinese officials are companies who do not get contract in China. It is a requirement and an expected part of doing business. " ________________________________________________
This was largely true of India as well. European firms were particularly notorious, since there is nothing equivalent of the FCPA in Europe. Most American companies worked through consultants, aka, middlemen.
Thankfully, with most carriers now being private companies, this is a declining trend. But there still could be some of this happening with BSNL, which is a state owned firm.
re: AlcaLu Pays Up in Chinese Bribes CaseI think the problem is that we go overboard in everything that we do here. We find these financial scandals and we try to tighten up the screws on everything. Business requires people to be creative (not vouching that bribing is right), but I don't see any problem with 'Being Roman when you are in Rome'. I guess in this case, Lucent wasn't creative enough compared to other companies.
re: AlcaLu Pays Up in Chinese Bribes CaseI think possible solutions to this are:
1) Stop doing business with China, India, Africa, CIS, SE Asia, Latin America, and a few other places. I imagine an embargo like the one impose on South Africa would do the trick. These countries would go back to the stone ages. 2) After Jack Abramoff and Bob Ney get out of prison, send them as trade advisors to these countries and properly explain to these "we are only poor corrupt officials" that taking golf junkets is the acceptable way. Even better, Jack and Bob should conduct seminars on setting up lobbies and make the whole corrupting process fully sanctioned by governments, foreign and domestic.
This could be a moot point soon if the America Peso gets much lower. We will continue to inflate out of our over-spending and beg foreign countries (mostly from corrupt countries) to bail us out on a daily basis. If you thought the optical transmissions market was tough, have you seen our 2/5/10-year debt auctions for the past 3 years? Talking about our proud government bending over and grabbing the ankles. In no time, USD will no longer be viewed as a currency of real value.
Merry Christmas Everyone. May our Savior bless all of us in the coming year.
'Verizon' as a custmer have a long standing internal policy not to accept anything from vendors even if won at a trade show and trips are double checked by other internal groups.
"Respectable" companies keep their hands clean by hiring "consultants." These consultants are paid large sums of money supposedly for their expertise in dealing with Chinese officials. A large part of the consulting fee goes to bribes, but the "respectable" vendor does not get involved other than paying the consulting fee, which everyone knows is going to pay bribes.
Sounds like Lucent got in trouble for being stupid about the way they executed it and accounted for it.
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This was largely true of India as well. European firms were particularly notorious, since there is nothing equivalent of the FCPA in Europe. Most American companies worked through consultants, aka, middlemen.
Thankfully, with most carriers now being private companies, this is a declining trend. But there still could be some of this happening with BSNL, which is a state owned firm.
He takes the US off the Gold standard, and as a result sends all low wage US jobs and tons of cash to China.
Do as I say not as I do.
1) Stop doing business with China, India, Africa, CIS, SE Asia, Latin America, and a few other places. I imagine an embargo like the one impose on South Africa would do the trick. These countries would go back to the stone ages.
2) After Jack Abramoff and Bob Ney get out of prison, send them as trade advisors to these countries and properly explain to these "we are only poor corrupt officials" that taking golf junkets is the acceptable way. Even better, Jack and Bob should conduct seminars on setting up lobbies and make the whole corrupting process fully sanctioned by governments, foreign and domestic.
This could be a moot point soon if the America Peso gets much lower. We will continue to inflate out of our over-spending and beg foreign countries (mostly from corrupt countries) to bail us out on a daily basis. If you thought the optical transmissions market was tough, have you seen our 2/5/10-year debt auctions for the past 3 years? Talking about our proud government bending over and grabbing the ankles. In no time, USD will no longer be viewed as a currency of real value.
Merry Christmas Everyone. May our Savior bless all of us in the coming year.