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Wednesday 24 September 2008, San José, Costa Rica  

Foreign Trade Minister Positive US Will Grant An Extension On The TLC
ICE Requests Electrical Rate Increase Of Up To 56%
Former Alcatel Costa Rica Executive's Hot Phone Plan
Stocks Close Higher In Costa Rica, Lower In Panama, Flat In El Salvador
Babcock Genetics' Costa Rican Partnership
 
Former Alcatel Costa Rica Executive's Hot Phone Plan
What can us$2.5 million get you these days other than a failing bank on Wall Street? For a former Alcatel exec, it ensured his company a us$149 million contract from a state agency in Costa Rica.

A federal judge in Miami sentenced 62 year old Christian Sapsizian,  former executive of Alcatel Costa Rica, to 30 months in prison for bribing Costa Rican officials.

The bribes, used to win a lucrative contract from the Instituto Costarricense de Electricidad (ICE) - the state run telecom, violated the Foreign Corrupt Practices Act.

Sapsizian, a French citizen, cooperated with U.S. authorities. He admitted that between February 2000 and September 2004 he worked with Alcatel's senior country officer in Costa Rica to pay more than $2.5 million to officials at the Instituto Costarricense de Electricidad, the agency responsible for awarding telecommunications contracts.

Plea documents in the case show that the payments went directly to the agency's director. He in turn shared his "earnings" with a senior level Costa Rican government official.

The payments were made to a board director for ICE responsible for awarding all telecommunications contracts. Sapsizian told the court that the ICE official was an adviser to a senior Costa Rican government official and that the payments were shared with that senior official.

The payments, funneled through one of Alcatel's Costa Rican consulting firms, were intended to encourage the ICE official and the senior government official to exercise their influence to create a bidding process favoring Alcatel's products. ICE awarded a $149 million contract to Alcatel in August 2001.

Former Costa Rican president, Miguel Ángel Rodríguez, and ICE board director, José Antonio Lobo and Hernán Bravo are waiting trial on charges of receiving bribes from Alcatel executives. It was Lobo, a close ally and friend of Rodríguez, who implicated the former president.

Sapsizian was employed with the company more than 20 years at the time the corrupt payments took place and was the assistant to the vice president for Alcatel's Latin American region. For the generous donation he oversaw, Sapsizian won Alcatel a us$149 million contract in August of 2001.

In addition to prison, Sapsizian was ordered to serve three years of supervised release, a fine of us$261,500, and to pay a us$200 special assessment. The FBI and Immigration and Customs Enforcement continue to investigate the case.

 
 
 

 

 

 
 

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