Alcatel to appeal 76-million-dollar fine

The Costa Rica Electricity Institute (ICE) is claiming 76 million dollars from the French company Alcatel for damages and harm caused by the poor quality of a 400,000-line cellular telephone network.

Wednesday, June 25, 2008

ICE has also broken the operating and maintenance contract that it signed with the company in December 2002.
Alcatel's Latin American communications office replied, "There are two viewpoints: one that ICE holds and one the company has."
Alcatel spokesman Marco Malfavón said his company is analyzing the document and looking for grounds to appeal.
An ICE spokesman said the institute will take over operations of the network, and predicted improved service to users within six months.

More on this topic

ICE Files Complaint Against Lucent in Florida, U.S.

May 2010

El Instituto Costarricense de Electricidad (ICE), Costa Rica's telecommunications and electricity provider, filed a complaint in Miami, Florida, against Alcatel Lucent S.A. and other related parties.

The complaint asserts claims for violations of civil racketeering and other laws of Florida in connection with Alcatel Lucent's bribery and corruption of Costa Rican officials to secure telecommunications contracts with ICE.

Costa Rica: ICE Objects to Settlement Between Alcatel and the U.S.

May 2011

ICE claims that Alcatel attempted to bribe them in order to be awarded contracts, the Justice Department thinks otherwise.

The trial undertaken by the U.S. Government against the French company Alcatel, for alleged bribes to obtain contracts abroad, especially in Costa Rica, could end in an settlement between the Department of Justice and Alcatel, who would have to pay compensation of $137 million for the damage .

Costa Rica Settles Dispute with Alcatel For $10 Million

January 2010

The agreement includes the acknowledgment on behalf of Alcatel of having bribed Costa Rican public officials.

The fact that the French company acknowledged paying bribes will certainly affect the trial currently underway against several public officials, among them ex President Miguel Ángel Rodríguez.

Alcatel Pays $137 Million For Bribes in Costa Rica

February 2010

To avoid prosecution in the United States for bribes paid in Costa Rica, Taiwan and Kenya, Alcatel-Lucent agreed to pay $137.4 million.

The Department of Justice of the United States will defer prosecution of Alcatel on charges it violated the Foreign Corrupt Practices Act, and must enter a three-year probation period monitored by a French anti corruption monitor.

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