According to reports, Airbus had a dedicated annual budget of $300 million to illegally influence government and other decision makers, resulting in $1 billion-plus profits. Reports suggest this was the largest ongoing bribery case on record.
Assistant Attorney General Brian Benczkowski explained, “Airbus engaged in a multi-year and massive scheme to corruptly enhance its business interests by paying bribes in China and other countries and concealing those bribes.” Benczkowski leads the Justice Department’s criminal division.
Friday, Airbus agreed to pay a $4 billion settlement.
The scheme extended over 13 years and involved payments in Malaysia, Russia, and China, resulting in some $1.2 billion in profits.
Sandy Morris, an analyst at Jefferies International said, “All you can assume is that somehow the Airbus ethics and the philosophy in certain parts of the company simply did not move with the times. It’s a long time to be doing things wrong, and the scale of this penalty seems to suggest this wasn’t just a handful of examples.”
Investigations are ongoing and it is likely that individuals within Airbus who were involved in the scheme may also be charged.