SAP to pay $20M to settle criminal charges

Sep 15, 2011

(AP) -- Business software maker SAP AG on Wednesday said it agreed to pay $20 million to settle criminal charges from the U.S. Department of Justice against a now-defunct subsidiary, TomorrowNow.

The subsidiary was accused of 12 counts of fraud and for stealing documents from rival .'s password-protected websites. SAP had earlier acknowledged the theft and shut down the division. The $20 million penalty is twice what SAP had paid to acquire TomorrowNow in 2005.

The settlement, however, does not resolve a bigger problem for SAP in the case.

A jury awarded Oracle $1.3 billion last year in a verdict against SAP in a civil lawsuit. But on Sept. 1 a judge threw out the award, calling it "grossly excessive." Oracle said it will reject the judge's recommendation for a $272 million award, setting the stage for a new trial.

Walldorf, Germany-based SAP said Wednesday that it is "pleased to have come to an appropriate conclusion" of the . It added that SAP itself was not charged. The plea deal involved TomorrowNow pleading guilty to the charges.

Redwood Shores-based Oracle said in a statement that it has "spent the last four years uncovering SAP's massive copyright theft and SAP finally pleaded guilty in federal court to criminal charges for its illegal scheme."

U.S.-traded shares of SAP shares rose 24 cents, or 0.5 percent, to $50.53, in extended trading Wednesday. Oracle shares rose a penny to $28.16.

Explore further: US turns up heat on Takata over air bag problem (Update)

not rated yet
add to favorites email to friend print save as pdf

Related Stories

SAP won't fight Oracle claims in espionage case

Aug 06, 2010

(AP) -- In a surprise twist in a corporate espionage case involving two of the world's biggest business software makers, SAP AG on Thursday said it won't fight claims that a subsidiary stole valuable data from rival Oracle ...

$1.3B award against SAP overturned in Oracle case

Sep 01, 2011

A federal judge on Thursday threw out a "grossly excessive" $1.3 billion verdict that Oracle won against SAP in a landmark intellectual property case, possibly setting the stage for another circus-like showdown ...

Ellison: Oracle has $4 billion case against SAP

Nov 08, 2010

(AP) -- Oracle Corp. CEO Larry Ellison turned up the pressure in an industrial espionage trial Monday by testifying that archenemy SAP AG should have paid $4 billion for licenses to Oracle software.

Recommended for you

Will Apple Pay be mobile pay's kick-start?

3 hours ago

If anyone can get us to use our smartphones as wallets, it's Apple. That's what experts think about the recent launch of Apple Pay, the first mobile wallet to work on an iPhone.

Google execs discuss regulation, innovation and bobble-heads

5 hours ago

Eric Schmidt and Jonathan Rosenberg help run Google, one of the world's best-known, most successful - and most controversial - companies. They've just published a new book, "How Google Works," a guide to managing what they ...

LinkedIn reports 3Q loss but sales climb

6 hours ago

LinkedIn Corp. posted a third-quarter loss on Thursday, but its results were better than expected as revenue grew sharply, sending shares of the online professional networking service higher in extended trading.

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.