Ericsson books $220 million for US fines on Iraq claims

STOCKHOLM: Ericsson said on Thursday it had earmarked $220 million to cover potential US fines over suspected bribes to the Islamic State group in Iraq, a case that has weighed over the Swedish telecoms group for months.

The company acknowledged in February that some employees may have bribed IS members for road transport through areas controlled by the jihadists in Iraq between 2011 and 2019. The US Department of Justice is investigating if Ericsson violated its Foreign Corrupt Practices Act (FCPA), which can be applied to foreign firms that file regulatory reports in the United States.