IBM is reported to have been involved in a bribery scandal in China.

Local media report that a Beijing court has mentioned in its judgment against Zhang Enzhao, former president of China Construction Bank, that IBM had assisted a sales agent named Zou Jianhua in bribing Zhang by paying him US$225,000.

Zou, a friend of Zhang, is said to have recommended IBM to Zhang, and he has also been detained since Zhang's case was first exposed. IBM has not made any comment, since it says it has not read the court's sentence.

Apart from IBM, Hitachi's Hong Kong Office is also mentioned in the judgment. The latter is now being investigating in regards to the case.

In recent years, competition has been fierce among foreign companies in winning deals from Chinese national banks who are paying large amounts the upgrade their IT systems.

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