IT manager faces US bribe charges
A former Commonwealth Bank IT manager who allegedly took bribes to facilitate contracts with the bank is facing criminal charges and civil action in the US courts.Jon Waldron, a former IT manager at Commonwealth Bank, faces charges in a Los Angeles court for participating in a scheme with a US supplier. The scheme allegedly facilitated the approval of contracts with ServiceMesh (a CBA supplier) in exchange for approximately US$1.9 million in bribes, most of which was allegedly paid to Waldron through "a shell company in New Zealand." The federal grand jury in LA has returned an indictment charging, in the first instance, Eric Pulier - the founder, CEO and largest shareholder of ServiceMesh - with orchestrating the international fraud scheme involving the payment of approximately US$2.5 million in bribes to two senior technology executives at CBA, Law Fuel reports. "In exchange for the bribes, the indictment alleges, the IT executives facilitated US$10.4 million in contracts for the sale of software from ServiceMesh to CBA in late 2013 and January 2014. The CBA contracts triggered an 'Earnout' payment as part of a sale agreement with CSC that caused CSC to pay an additional $98 million to ServiceMesh shareholders, about US$30 million of which went directly to Pulier," Law Fuel reports. Warrants for the arrest of Pulier, 50, of Los Angeles, and Waldron, 47, of Sydney, Australia, have been issued, Law Fuel reports. The report says Pulier is "expected to surrender to authorities in the coming days" while "Waldron remains in Australia facing related charges brought by Australian authorities."The United States Securities and Exchange Commission has also just filed a civil action against both men charging them with securities fraud, Law Fuel says.