Oracle to pay $46 mln to settle Sun case

Jan 31, 2011
The Oracle logo is displayed on the company's world headquarters in 2009 in California. Oracle has agreed to pay $46 million to settle claims that Sun Microsystems, which it acquired last year, submitted false claims to US agencies, the US Justice Department said on Monday.

Oracle has agreed to pay $46 million to settle claims that Sun Microsystems, which it acquired last year, submitted false claims to US agencies, the US Justice Department said on Monday.

The settlement stems from allegations that Sun paid kickbacks to systems integrator companies in return for recommendations that US government agencies purchase Sun products, the department said in a statement.

"Sun executed agreements with consulting companies that provided for the payment of fees each time the companies influenced a government agency to purchase a Sun product," it said.

"Kickbacks, illegal inducements, misrepresentations during contract negotiations -- these undermine the integrity of the government procurement process and unnecessarily cost money," assistant attorney general Tony West said.

"As this case demonstrates, we will take action against those who abuse the public contracting process," he said.

The Justice Department said its ongoing investigation of government technology vendors has resulted in settlements with six other companies.

acquired Sun, a one-time star and developer of the popular Java programming language, in a $7.4 billion deal last year.

Explore further: Facebook buys fitness app Moves

add to favorites email to friend print save as pdf

Related Stories

HP reaches settlement with DOJ in kickbacks case

Aug 03, 2010

(AP) -- Hewlett-Packard Co. said Monday that it has agreed in principle to settle a lawsuit by the Department of Justice, which alleged that HP and other technology companies paid kickbacks to Accenture PLC in exchange for ...

Sun Micro: We may have broken US anti-bribery law

May 08, 2009

(AP) -- Sun Microsystems Inc. may have broken anti-bribery laws with its actions in an unspecified location outside the United States, a revelation that would-be acquirer Oracle Corp. knew about before inking ...

Recommended for you

Amazon launches grocery service for Prime members

9 hours ago

Amazon is taking aim at grocery stores and discounters like Wal-Mart with a grocery service that lets its Prime loyalty club members fill up to a 45-pound box with groceries and get it shipped for a flat rate of $5.99.

Facebook buys fitness app Moves

12 hours ago

Facebook has bought the fitness app Moves, which helps users monitor daily physical activity and their calorie counts on a smartphone.

User comments : 0

More news stories

Genetic code of the deadly tsetse fly unraveled

Mining the genome of the disease-transmitting tsetse fly, researchers have revealed the genetic adaptions that allow it to have such unique biology and transmit disease to both humans and animals.