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Redflex Traffic Systems, Bribery, Ohio 2019

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Redflex Traffic Systems, Bribery, Ohio 2019

COLUMBUS, Ohio — Redflex Traffic Systems Inc., a Phoenix-based automated safety company, has entered into a Non-Prosecution Agreement with the United States government.

The agreement was announced by Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division; Benjamin C. Glassman, United States Attorney for the Southern District of Ohio; and Zachary T. Fardon, United States Attorney for the Northern District of Illinois.

The agreement was reached in part due to Redflex’s extensive and thorough cooperation over recent years, which is detailed in the agreement. It included cooperation with the successful prosecutions of several individuals, including a Columbus lobbyist, a high-ranking city of Chicago official and Redflex’s prior Chief Executive Officer.

Among the company’s obligations under the two-year agreement, Redflex will pay restitution of $100,000 to the City of Columbus. The company will also pay restitution and compensatory damages to the City of Chicago, the amount of which will be determined either by a final judgment or a settlement agreement in Chicago’s pending civil lawsuit against Redflex.

Redflex agreed to cooperate fully with the US government and any other law enforcement agency designated by the government, including the Australian Federal Police and other Australian law enforcement authorities. The company must provide non-privileged information, documents, records, or other tangible evidence upon request.

Redflex accepted responsibility for its conduct related to the illegal activities of its employees in recent U.S. investigations. Its former CEO was convicted as part of the probes into bribes paid to elected officials to procure or expand Redflex’s contracts with Chicago and Columbus.

The agreement does not relate to any potential tax charges. Redflex has initiated substantial additions and changes to its compliance program, policies and procedures since the inception of the U.S. investigations.

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