Telefonaktiebolaget LM Ericsson · bribery · telecommunications · criminal prosecution · deferred prosecution agreement · plea agreement
Why did Ericsson plead guilty after its 2019 bribery settlement with the US?
In 2019 Ericsson resolved US Foreign Corrupt Practices Act charges through a deferred prosecution agreement and a guilty plea by its Egyptian subsidiary. On 2 March 2023 the Justice Department announced that Ericsson had breached the agreement by failing to disclose information, and Ericsson agreed to plead guilty to the two deferred charges and pay a further 206,728,848 dollars. It entered the plea in federal court in Manhattan on 21 March 2023, as reported. Ericsson said its monitorship and plea agreement concluded on 2 June 2024, and it reported on 15 October 2026 that a Justice Department investigation linked to its 2019 internal Iraq report remains open.
Last verified 30 October 2026. United States
The record at a glance
| What was alleged? | The US Department of Justice charged that from 2000 to 2016 Ericsson used third party agents and consultants to pay bribes to government officials and kept false books and records in connection with business in Djibouti, China, Vietnam, Indonesia and Kuwait. In 2023 it stated that Ericsson breached its deferred prosecution agreement by failing to disclose evidence and allegations, including conduct relating to Iraq.1,2 |
|---|---|
| Who made the claim? | US Department of Justice and US Attorney's Office for the Southern District of New York, 6 December 2019 |
| How did Ericsson respond? | Ericsson admitted the FCPA violations through its agreements and guilty plea. Its position is that the 2023 plea followed non-criminal breaches of the deferred prosecution agreement, and it described the end of the monitorship as an important milestone.3 (the subject's position) |
| Was there an official finding? | Ericsson admitted in its agreements and its 2023 guilty plea that it conspired to violate the FCPA through bribery in several countries between 2000 and 2016.1,2,5 The Justice Department determined that Ericsson breached the 2019 deferred prosecution agreement.2 |
| Was liability determined? | Admitted by the subject. Ericsson pleaded guilty to conspiracy to violate the FCPA anti-bribery provisions and conspiracy to violate its books and records and internal controls provisions. The 2019 deferred prosecution agreement was itself not a conviction. The guilty plea followed the Justice Department's breach determination.2,4,5 |
| What changed later? | As of 30 October 2026 Ericsson's 2023 guilty plea stands, its plea agreement term and monitorship ended on 2 June 2024 according to the company, and a Justice Department investigation related to Iraq remained open according to Ericsson's report of 15 October 2026.2,3,7 |
| When was this checked? | 30 October 2026 |
What was alleged?
The US Department of Justice charged that from 2000 to 2016 Ericsson used third party agents and consultants to pay bribes to government officials and kept false books and records in connection with business in Djibouti, China, Vietnam, Indonesia and Kuwait. In 2023 it stated that Ericsson breached its deferred prosecution agreement by failing to disclose evidence and allegations, including conduct relating to Iraq.1,2
Made by US Department of Justice and US Attorney's Office for the Southern District of New York on 6 December 2019.
What did Ericsson say?
Ericsson admitted the FCPA violations through its agreements and guilty plea. Its position is that the 2023 plea followed non-criminal breaches of the deferred prosecution agreement, and it described the end of the monitorship as an important milestone.3
"This is an important milestone in our journey to improve our organization."
Börje Ekholm, President and CEO, Ericsson (company press release), 3 June 2024. This is the subject's own account, not a finding.
What do independent records show?
Criminal information and deferred prosecution agreement, United States v. Telefonaktiebolaget LM Ericsson, No. 19-CR-884
US Department of Justice and US District Court for the Southern District of New York, 6 December 2019
Two counts of conspiracy, to violate the FCPA anti-bribery provisions and to violate its books and records and internal controls provisions. Ericsson agreed to a criminal penalty of 520,650,432 dollars and a three year independent compliance monitor. Ericsson Egypt Ltd pleaded guilty to one count of conspiracy to violate the anti-bribery provisions. The SEC resolution added about 540 million dollars in disgorgement and interest, for a total above 1 billion dollars.1
Breach determination and plea agreement
US Department of Justice, 2 March 2023
The Department said Ericsson failed to fully disclose facts and evidence about the Djibouti and China schemes and other potential FCPA violations and did not promptly report Iraq-related conduct. Ericsson agreed to plead guilty to the two deferred counts and pay 206,728,848 dollars, with probation through June 2024 and the monitor term extended by one year.2,4
Guilty plea hearing (as reported by Bloomberg and Law360)
US District Court for the Southern District of New York (Judge Laura Taylor Swain), 21 March 2023
Ericsson pleaded guilty to the two conspiracy counts. Bloomberg reported that its representative admitted that, between 2000 and 2016, employees used third party agents to pay bribes to government officials, and that Ericsson will remain on probation until June 2024. Law360 reported that Ericsson was ordered to pay 206.7 million dollars.5,6
Conclusion of monitorship and plea agreement
Ericsson (company announcement), 2 June 2024
Ericsson said the monitor certified on 28 March 2024 that its compliance programme met requirements and that the monitorship and plea agreement concluded on 2 June 2024.3
Third quarter 2026 report, Form 6-K exhibit
Ericsson (quarterly report filed with the SEC), 15 October 2026
Ericsson said it continues to cooperate fully with the Justice Department in its investigation into matters discussed in the 2019 internal Iraq investigation report and related historical conduct, that no conclusive determinations are expected until the investigation is completed, and that its scope and duration remain uncertain.7
What was established?
- Ericsson admitted in its agreements and its 2023 guilty plea that it conspired to violate the FCPA through bribery in several countries between 2000 and 2016.1,2,5
- The Justice Department determined that Ericsson breached the 2019 deferred prosecution agreement.2
Distinctions that matter here
- A deferred prosecution agreement is not a conviction. Ericsson was convicted only after the Justice Department found a breach and Ericsson pleaded guilty.
- Describing the breaches as non-criminal is Ericsson's characterisation. The Justice Department described them as failures to disclose and report.
Was liability determined?
Admitted by the subject. Ericsson pleaded guilty to conspiracy to violate the FCPA anti-bribery provisions and conspiracy to violate its books and records and internal controls provisions. The 2019 deferred prosecution agreement was itself not a conviction. The guilty plea followed the Justice Department's breach determination.2,4,5
What remains unresolved?
- The Justice Department investigation into matters in Ericsson's 2019 internal Iraq report remained open as of Ericsson's report of 15 October 2026, with scope and duration uncertain according to the company.
- Whether the court formally imposed sentence at the 21 March 2023 hearing or later was not confirmed from the docket.
What is the current status?
As of 30 October 2026 Ericsson's 2023 guilty plea stands, its plea agreement term and monitorship ended on 2 June 2024 according to the company, and a Justice Department investigation related to Iraq remained open according to Ericsson's report of 15 October 2026.2,3,7
As of 30 October 2026. No next proceeding is scheduled in the records we found.
Timeline
- Deferred prosecution agreement and Ericsson Egypt plea announced.1
- Justice Department announces breach and plea agreement.2
- Ericsson pleads guilty in Manhattan federal court, as reported.5,6
- Monitor certifies Ericsson's compliance programme, according to Ericsson.3
- Monitorship and plea agreement conclude, according to Ericsson.3
- Ericsson discloses the SEC closed its Iraq-related investigation without charges.8
- Ericsson reports that the Justice Department's Iraq-related investigation is continuing.7
Sources
- US Department of Justice, Office of Public Affairs, Ericsson Agrees to Pay Over $1 Billion to Resolve FCPA Case, 6 December 2019 · document record Government, parliamentary or audit document
- US Attorney's Office for the Southern District of New York, Ericsson To Plead Guilty And Pay Over $206 Million Following Breach Of 2019 FCPA Deferred Prosecution Agreement, 2 March 2023 · document record Government, parliamentary or audit document
- Ericsson, Ericsson announces conclusion of Monitorship, 3 June 2024 · document record Filing or formal statement by the subject
- US Department of Justice, Criminal Division Fraud Section, United States v. Telefonaktiebolaget LM Ericsson (FCPA case page) · document record Government, parliamentary or audit document
- BNN Bloomberg, Ericsson pleads guilty to breaching US agreement in bribery case (Bloomberg), 21 March 2023 Independent reporting
- Law360, Ericsson Pleads Guilty And Will Pay $207M Over Botched DPA, 21 March 2023 Independent reporting
- Ericsson (SEC filing), Ericsson third quarter report 2026 (Form 6-K, Exhibit 99.1), 15 October 2026 · document record Filing or formal statement by the subject
- Global Investigations Review, SEC's Ericsson bribery probe is done, company says, 15 October 2024 Independent reporting
Revision history
- 30 October 2026: First published after source verification.
Related: Telefonaktiebolaget LM Ericsson, bribery, telecommunications, criminal prosecution, deferred prosecution agreement, plea agreement, United States. To submit a document or request a correction, see right of reply.