Foreign Corrupt Practices Act: Investigations Dataset

Investigation Name: Investigation into TeliaSonera's Activities in Eurasia Between 2007 and 2013

Trend: None

Type of investigation: Internal, SEC, DOJ

Other Agencies Investigating/Assisting with SEC/DOJ Investigation:

Dutch Public Prosecutor's Office
Swedish Prosecution Authority (Aklagarmyndigheten)

Whistleblower: Unknown

Summary

Telia Company AB is a Swedish multinational telecommunications company and mobile network operator present in Sweden, Finland, Norway, Denmark, Lithuania, Latvia and Estonia.

After press reports of bribery and money laundering committed during TeliaSonera's investment into Uzbekistan in 2007 surfaced in 2012, Telia Company (formerly TeliaSonera) hired Swedish law firm Mannheimer Swartling to conduct an investigation into the company's transactions in Uzbekistan. That investigation did not turn up any bribery or money laundering, but the law firm specifically notes that Telia had significant problematic business practices connected with its entry into the Uzbek market. The company's internal controls and due diligence into its local partners was deficient. Shortly after this investigation was completed, it appears that most of Telia's board of directors turned over. In April 2013, the new board then hired the global law firm Norton Rose to conduct a further review of the company's business practices and transaction throughout Eurasia.

In March 2014, Telia disclosed that it had received requests for documents relating to its Uzbek operations from both the DOJ and SEC. The company cooperated with these investigations.

In April 2014, Norton Rose presented its findings to Telia's board, which, in turn, disclosed them in a public press release. Among other things, Norton Rose noted issues surrounding payments to advisors and intermediaries for lobbying activities, lack of control of its business partners, and inadequate governance of Telia's Eurasian operations.

In September 2016, the U.S. and Dutch authorities proposed a settlement with a payment of approximately $1.4 billion to resolve their respective investigations against the company, and while the company responded that that "seemed high," Telia accrued $1.4 billion in the third quarter of 2016 for possible settlement.

The investigation appears to be ongoing.

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| Investigations Dataset

Investigations Dataset

Information & Summary

Investigation into TeliaSonera's Activities in Eurasia Between 2007 and 2013

Information & Summary

Protected Content