The United States announced its settlement with Daimler regarding bribes paid through Latvian banks to Latvian and Russian recipients back in 2010. Germany followed up by announcing an investigation of Hewlett-Packard regarding bribes paid through Latvian banks to Russian recipients.
Now in 2012, Germany has announced that three former Hewlett-Packard managers have been charged with bribery. The bribes facilitated the sale of computers to the Chief Public Prosecutor’s Office of the Russian Federation.
We can now understand why Russian prosecutors tolerate the enormous flow of Russian money through shell-company deposits held with Latvian banks. The prosecutors themselves are receiving some of the money!
Latvian and Russian prosecutors refuse to prosecute the people involved in the Daimler case. Therefore, it seems unlikely that they will prosecute the people involved in the Hewlett-Packard case.
When will the United States and European Union help the people of Latvia and Russia by blacklisting the offshore banks licensed in Latvia?
Here is the article from Business Week: