Telecommunications Company Agrees to Pay $3 Million for FCPA Violations

On December 31, 2009, the Securities and Exchange Commission ("SEC") charged telecommunications company UTStarcom, Inc. ("UTSI") with violations of the Foreign Corrupt Practices Act ("FCPA") for authorizing unlawful payments to foreign government officials in Asia, including China. UTSI, which designs, manufactures and sells network equipment and hardware, agreed to pay a total amount of $3 million to the government in fines, $1.5 million to the SEC and $1.5 million to the Criminal Division of the U.S. Department of Justice ("DOJ").