Business

Did Uber Bribe Foreign Officials? US Justice Dept Investigates

न्यूज़ वर्ल्ड इंडिया | 0
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| August 30 , 2017 , 13:11 IST

The start-up that revolutionised the concept of app-based cab aggregation services, Uber, which is available in 83 countries across the world, is now facing an investigation by the US Justice Department on whether the California-based company broke American laws against bribing foreign officials to promote its business interests.

Uber confirmed on Tuesday that it was cooperating with an investigation into possible violations of the Foreign Corrupt Practices Act but did not reveal any details.

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According to the US Foreign Corrupt Practices Act, paying officials of foreign governments to get or keep business is barred.

The news of the US Probe into Uber comes soon after the ride-hailing app named American travel company Expedia's Dara Khosrowshahi as its new CEO after its founder and former chief executive Travis Kalanick resigned in June.

Although Khosrowshahi is yet to formally accept the post, Expedia board chairman Barry Diller indicated that the appointment was likely to go through.

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"As you probably know by now, Dara Khosrowshahi has been asked to lead Uber," read a memo from Expedia board chairman Barry Diller to Expedia employees.

"Nothing has been yet finalized, but having extensively discussed this with Dara, I believe it is his intention to accept," the memo said.

Earlier this year as well, the US government was reported to have launched an investigation into Uber regarding the use of secret software so that the company could operate in areas where it was banned or arrested.