US Defense Company to Pay $7Mln Fine for Attempted Bribery in Kuwait

The US Justice Department announces that IAP Worldwide Services will pay a multi-million dollar fine for plotting to bribe Kuwaiti officials in order to obtain a contract.

WASHINGTON (Sputnik) – The Florida defense and government contracting company IAP Worldwide Services (IAP) will pay a multi-million dollar fine for plotting to bribe Kuwaiti officials in order to obtain a contract, the US Justice Department said in a the press release.

“IAP Worldwide Services Inc.… agreed to pay a $7.1 million penalty to resolve the government’s investigation into whether the company conspired to bribe Kuwaiti officials in order to secure a government contract,” the press release said on Tuesday.

In 2004, Kuwait’s Ministry of the Interior initiated a security project to provide nationwide surveillance capabilities for several Kuwaiti government agencies.

Between September 2006 and March 2008, IAP paid a consultant about $1.8 million with the understanding he will use at least some of the money for bribes to secure a contract with the Kuwaiti officials, according to the press release.

To resolve the corrupt practices investigation, IAP entered into a non-prosecution agreement and will review existing internal policies and procedures to ensure compliance with an anti-corruption program, the Justice Department said.

IAP former Vice President James Rama pleaded guilty to his involvement in the bribery scheme and will be sentenced on September 11, 2015.

The Florida-based IAP Worldwide Services employees more than 1,600 people in 20 countries. The company provides global-scale logistics, facilities management and advanced professional and technical services.