Adobe to pay US$3mil to settle kickback allegations

Adobe to pay US$3mil to settle kickback allegations

The company was accused of improper payments under its Solution Partner program.

Between January 2011 and December 2020, Adobe allegedly paid the companies a percentage of the purchase price of federal software. (File pic)
WASHINGTON:
Photoshop maker Adobe Inc has agreed to pay US$3 million to settle US kickback allegations involving federal software sales, the US justice department said in a statement on Thursday.

The settlement resolves allegations that Adobe made improper payments under its Solution Partner program to companies that had a contractual or other relationship with the government that allowed them to influence federal purchases of Adobe software, the justice department said.

Between January 2011 and December 2020, Adobe allegedly paid the companies a percentage of the purchase price of the software, according to the justice department.

The US contends that these payments constituted prohibited kickbacks that resulted in Adobe causing false claims for payment to be submitted to federal agencies.

The company did not immediately respond to a request for comment on Thursday.

“Those who do business with the government are prohibited from paying kickbacks, which can result in unnecessary purchases and increase costs to taxpayers,” said Brian Boynton, head of the justice department’s civil division.

“We will continue to use all appropriate tools to safeguard the integrity of the federal procurement process,” Boynton said.

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