U.S. bankruptcy operators sued Motorola to help high-level fraud conspiracy

According to foreign media reports, the United States on Thursday, a defunct cable network operator Ade Phil (Adelphia), the Motorola company to court, the reason is the Motorola company to assist the former top the company implemented a fraud, resulting in corporate bankruptcy. On Thursday, U.S. prosecutors also accused the Scientific Atlanta Inc, which had been acquired by CISCO, in connection with the Ade Phil fraud.

Ade Phil filed a complaint with the U.S. bankruptcy court in New York. In the complaint, Motorola said in the case of knowing the company's top executives to help Ade Phil false company's operating profit, and resulted in bankruptcy in 2002. Ade Phil asked Motorola to pay at least $sixty million. It is reported that Scientific Atlanta Inc and Ade Phil has reached a preliminary settlement agreement, the company will pay $twenty million to the $. Atlanta has also reached a settlement with another defendant, the federal securities and exchange commission.

Motorola is known as a mobile phone and communications equipment manufacturer, but Motorola is also one of the two major cable TV set-top box providers in the United states. This lawsuit is related to the set-top box and the transaction.

In 2002, Ade Phil, the company's founder, and his son, co - operative fraud, lost nearly $two billion to the company, and the company went bankrupt in. Two years later, Riggs and his son were sentenced to eighteen counts of fraud in the United States court.

It is reported that even fraud through false and main operating profit to achieve. In this process, Ade Phil's two set-top box suppliers are informed of the situation to help the father and son of Riggs. According to the complaint, Motorola in the set-top box procurement contract has been completed, the accounting means to improve the price of the set-top box, which led to Ade Phil's sales rose.

In the face of the lawsuit, Motorola issued a statement saying that the company had no knowledge of Ade Phil's fraud.

Ade Phil said they would ask Motorola to pay $62 million in damages, and Motorola is responsible for nearly $one billion in economic losses caused by fraud. Ade Phil, a spokesman for the company, said that they have made the same claims for scientific Atlanta, but has now reached a settlement agreement with.