Oracle To Pay $46M To Settle Sun Kickback Suit

Law360, New York (January 31, 2011, 6:58 PM EST) -- Oracle Corp., which bought Sun Microsystems Inc. in 2010, agreed Monday to pay $46 million to settle claims that Sun paid kickbacks in exchange for recommendations that federal agencies use its products.

The U.S. Justice Department said the deal in the case, in the U.S. District Court for the Eastern District of Arkansas, resolves False Claims Act and Anti-Kickback Act allegations brought in 2004 by qui tam plaintiffs Norman Rille and Neal Roberts.

The plaintiffs claimed Sun made agreements with consulting companies to pay them fees when...
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