VimpelCom to pay $795 million penalty to US and Dutch authorities

Telecom network operator VimpelCom today announced that it will make a payment of $795 million towards penalty imposed by the US and Dutch authorities after admitting the US Foreign Corruption Practices Act (FCPA) and Dutch Laws violations.

Telenor currently holds 33 percent stake in VimpelCom.

The settlement with the US and Dutch authorities follows investigation relating to VimpelCom’s business in Uzbekistan and prior dealings with Takilant.

VimpelCom has agreed to oversight by an independent compliance monitor to promote compliance enhancements across the company and its subsidiaries.

VimpelCom CEO Jean-Yves Charlier said: “The wrongdoing, which we deeply regret, is unacceptable. We have taken, and will continue to take, strong measures to embed a culture of integrity across the group. We have significantly strengthened our internal controls and compliance program.”

Since the launch of the investigation, VimpelCom has appointed a new chief executive officer, chief financial officer, group general counsel, chief performance officer and group chief compliance officer to drive the necessary change forward.