Ericsson States Its Views on Prosecution.STOCKHOLM, Sweden -- Swedish public prosecutors today laid charges against present and former employees of Ericsson (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : ERICY) for evasion of tax evasion of tax n. the intentional attempt to avoid paying taxes through fraudulent means, as distinguished from late payment, using legal "loopholes" or errors. (See: income tax, estate tax) control. Ericsson believes that none of its employees are guilty of the offence. Ericsson presents its views on the prosecution in a document available on the web in Swedish and English at Ericsson's home page. Carl-Henric Svanberg Carl-Henric Svanberg (born May 29, 1952, Porjus, Norrbottens län) is a Swedish businessman who is the current CEO of telecommunications company Ericsson. Born in the north of Sweden, Svanberg studied in the south and graduated with a Masters degree in Applied Physics and , President and Chief Executive Officer, says in the document: "The fact that charges have been laid is not in itself a reason to reassess reassess Verb to reconsider the value or importance of reassessment n Verb 1. reassess - revise or renew one's assessment reevaluate the confidence we have in those accused individuals who remain employees of Ericsson." Ericsson has published the document since it feels a general obligation, particularly to its employees and business partners, to clarify some facts and present its view of what has happened. The prosecution concerns technical accountancy issues related to Ericsson's since-abandoned system for payments to commercial agents. The public prosecutor takes the view that the system was designed to evade e·vade v. e·vad·ed, e·vad·ing, e·vades v.tr. 1. To escape or avoid by cleverness or deceit: evade arrest. 2. a. tax control. Ericsson explains in its document why the system was introduced and later abandoned. The company agrees that the system led to misunderstandings with the authorities and therefore was flawed. However, it is clear that there was never any intent to evade tax control or taxes in either the introduction or operation of the system. The document also comments on some remarkable circumstances that have arisen during the investigation. Some of these have been directed against Ericsson and may also have caused direct economic damage. In addition, they may have negatively affected the overall image of Ericsson. During the investigation, it was revealed that several seized documents were falsified and that someone in this way had attempted to hide the facts. Ericsson has, related to the investigation, filed a criminal complaint in Switzerland against a former employee for misappropriation misappropriation n. the intentional, illegal use of the property or funds of another person for one's own use or other unauthorized purpose, particularly by a public official, a trustee of a trust, an executor or administrator of a dead person's estate, or by any of funds, with an alternative charge of embezzlement embezzlement, wrongful use, for one's own selfish ends, of the property of another when that property has been legally entrusted to one. Such an act was not larceny at common law because larceny was committed only when property was acquired by a "felonious taking," i. . The Ericsson document is available in Swedish at http://www.ericsson.com/news/doc/prosecution_sv.pdf and English at http://www.ericsson.com/news/doc/prosecution_en.pdf. Ericsson is shaping the future of Mobile and Broadband Internet See broadband. communications through its continuous technology leadership. Providing innovative solutions in more than 140 countries, Ericsson is helping to create the most powerful communication companies in the world. Read more at http://www.ericsson.com/press |
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