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Ex-compliance executive sues Siemens in U.S. over alleged Asia bribery scheme

Jan 16 2013 Aruna Viswanatha, Reuters

A former compliance officer for Siemens AG in China sued the company on Tuesday, accusing it of firing him after he tried to expose a kickback scheme involving medical equipment sales to hospitals there. The allegations come after Siemens resolved charges in 2008 that it paid bribes in exchange for business around the world. The lawsuit accuses the company of violating the terms of that settlement. Meng-Lin Liu said he had uncovered "incontrovertible evidence" after he joined the company in 2008 that Siemens was engaged in a bribery scheme and submitting inflated bids on medical diagnostic and scanning equipment sales to public hospitals in China. The company then sold the equipment at much lower prices to intermediaries picked by the hospital's procurement officials, Liu said in a lawsuit filed in U.S. federal court in Manhattan. Such a scheme could violate the U.S. Foreign Corrupt Practices Act, which bars U.S.-listed firms from paying bribes to officials

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