Two former Philips managers accused of corruption

Posted on 18 May 2011 by The Manufacturer

Two former managers at the Dutch electronics and hospital equipment manufacturer are to stand trial for corruption in July, according to the national press in Holland.

According to a whistleblower named Martin Kulig, he was made to deliver briefcases full of cash to hospital directors during a six-year period between 2000 and 2006. The managers are accused of paying a number of directors millions of Euros as kickbacks in return for the purchase of a large amount of Philips hospital equipment.

The company made no comment, preferring to wait until after the internal investigation.

The case first came to light in September last year, after a Polish journalist by the name of Robert Socha released video footage of an interview with Kulig. The philips employee was allegedly responsible for operating the kickbacks scheme under the direction of the two former managers.

Hospital directors were reported to have allowed Kulig to write technical specifications on the equipment that Philips specialised in, to guarantee that they would win the contract. The hospital directors then reportedly accepted cash, and then the equipment was delivered at a mark-up. This was then distributed among Kulig and the two managers.