Processing your request

please wait...

Investigations Dataset


Investigation Name:    Investigation into ITXC's Activities in Africa

Trend:    None

Type of investigation:    Internal, SEC, DOJ

Other Agencies Investigating/Assisting with SEC/DOJ Investigation:    Unknown

Whistleblower:    Unknown


ITXC Corporation was a US-based wholesale provider of Voice over IP, Internet-based phone calls.

During a routine examination of ITXC Corp.'s operations after acquiring the company in May 2004, Teleglobe International Holdings Ltd. discovered possible FCPA misconduct at ITXC. In August of that year, Teleglobe hired law firm Debevoise & Plimpton to conduct an investigation into ITXC's FCPA compliance. In November, Debevoise completed its investigation, which had determined that ITXC employees had violated the FCPA and possibly also committed commercial bribery in connection with certain telecommunications contracts in Africa. This led to the firing of several ITXC employees. Following the discovery of the misconduct in Africa, Teleglobe asked Debevoise to conduct a review of Teleglobe's foreign agency agreements worldwide. That investigation turned up no FCPA violations, but Debevoise reported that commercial bribery appears to have occurred with regard to two agents retained by Teleglobe. As a result of this investigation, Teleglobe employees were terminated or disciplined.

After the initial discovery of misconduct at ITXC, Teleglobe voluntarily disclosed the matter to the DOJ and SEC, which began their own investigations. The SEC started with an informal inquiry, and on February 15, 2005, the SEC notified Teleglobe that it had started a formal investigation. On July 27, 2005, the SEC subpoenaed documents relating to the investigation from Teleglobe. Teleglobe cooperated in the government investigations.

In 2007, former ITXC employees Steven Ott, Roger Young, and Yaw Osei Amoako had enforcement actions filed against them by both the DOJ and SEC for the FCPA misconduct at ITXC.

In February 2006, Teleglobe was acquired by, and became a wholly-owned subsidiary of, Videsh Sanchar Nigam Limited, an Indian company, which was later renamed Tata Communications Limited. In its annual report filed in October 2011, Tata Communications reported that to the best of its knowledge the DOJ and SEC had completed their investigations, and no enforcement actions were going to be filed.

Protected Content

Please Log In or Sign Up for a free account to access restricted features of the Clearinghouse website, including the Advanced Search form and the full case pages.

When you sign up, you will have the option to save your search queries performed on the Advanced Search form.