Amazon India Probe: Lawyers Allegedly Bribed Government Officials

Amazon Investigates Alleged Bribery of Indian Government Officials

Following a whistleblower's report, Amazon has initiated an internal review concerning the actions of its legal team in India.

The allegations center around potential bribery of government personnel by one or more of the company’s legal representatives, as reported by the Morning Context on Monday.

Details of the Investigation

The investigation is focused on determining if funds allocated for legal expenses were misused to offer bribes to government officials.

Sources familiar with the matter, who have requested anonymity, indicate that Amazon has temporarily removed Rahul Sundaram, a senior corporate counsel, from his duties pending the outcome of the inquiry.

Amazon’s Official Response

In a statement provided to TechCrunch, an Amazon spokesperson affirmed the company’s unwavering commitment to ethical conduct.

They stated that Amazon maintains a “zero tolerance” policy towards corruption and that all allegations are taken seriously and thoroughly investigated.

However, the spokesperson declined to provide specific details regarding the ongoing investigation or comment on the allegations themselves.

Significance of the Indian Market

India represents a strategically important international market for Amazon.

To date, the American e-commerce giant has invested over $6.5 billion in its Indian operations, demonstrating a strong commitment to growth within the South Asian nation.

This investment has fueled rapid expansion across numerous product categories in recent years.

Recent Scrutiny and Ongoing Challenges

This development occurs after previous reports by Reuters detailed concerns about Amazon’s business practices in India.

These reports alleged that the company favored certain large sellers, obscured its relationships with them, and potentially circumvented foreign investment regulations.

Currently, Amazon is also facing an active antitrust investigation within India.

Earlier this year, a senior executive was questioned by local authorities regarding a Prime Video political drama that allegedly offended religious sensibilities and sparked public outrage.