HP has agreed to settle a probe into allegations it organised a kickback scheme with other firms working on US government contracts.
The unspecified sum is expected to reduce the HP’s third quarter earnings by two cents a share, the firm said.
The United States Department of Justice first filed its complaint against HP, along with Sun Microsystems and Accenture, in 2007. According to Reuters, the DoJ alleged millions of dollars in kickbacks and illegal rebates had been paid between firms working on government contracts dating back as far as the 1990s.
“HP denies engaging in any illegal conduct in connection with these matters. HP has agreed to a settlement with the Department of Justice, without any admission of wrongdoing, in order to resolve the allegations in full,” the PC giant said in a statement.