*NEWS*FUJI XEROX BRIBING CHINA OFFICALS ?

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Date: Tuesday January 24, 2006 10:12:00 am
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    Video allegedly of Fuji Xerox officials bribing Chinese arbitrator posted online
    Shanghai. 
    January  2006-CHINA – A video clip allegedly showing Fuji Xerox
    officials attempting to bribe a Chinese arbitrator presiding over an
    arbitration case filed against the Japanese firm was posted on Chinese
    news portal Sina

    Fuji Xerox officials were not immediately available for comment on the video.
    An
    unidentified publishing house based in the northern Chinese
    municipality of Tianjin filed for arbitration against Fuji Xerox in
    August of 2003 on charges the Japanese firm sold it faulty digital
    printers in a deal worth RMB 2.5 mln (USD 0.3 mln). The publishing
    house asked that Fuji Xerox refund it for the purchase. However, the
    arbitration commission ruled in November last year that Fuji Xerox
    (China) should only pay the publishing house RMB 102,442 (USD 12,805).
    The Tianjin-based publishing house, citing a video made by some of its
    employees as evidence, is now charging that Fuji Xerox (China)
    officials bribed one of the arbitrators on the commission.
    The
    publishing house gave copies of the video, purportedly made on July 6,
    2005, to Sina.com and Chinese newspaper China Business News. The video
    allegedly shows Chen Zhenwei, a Fuji Xerox (China) legal official, and
    the company’s corporate lawyer Zhang Decai having dinner with an
    arbitrator surnamed Qi.
    “So far, we have received no information
    about the video,” an official with the Tianjin Arbitration Commission,
    surnamed Yang, told Interfax. “I’ll report the video to senior
    officials and they will decide whether we need to re-arbitrate the
    case. Arbitrators are definitely not allowed to have personal meetings
    with parties involved in cases.”
    In July of last year, the case
    between Fuji Xerox and the publishing house was ongoing and Qi was a
    member of the arbitration commission presiding over the case. The
    publishing house is arguing that the Fuji Xerox officials should not
    have been having dinner with Qi while the case was ongoing. However,
    the video, which is only 25 seconds in length, shows litte more than a
    brief glimpse of a private dinning room at a restaurant and the faces
    of three individuals.
    An official with the publishing house said
    that he felt the arbitrators’ attitudes changed obviously after the
    dinner, which allegedly took place in July of last year, China Business
    News reported.
    In addition, the paper quoted Zhang, Fuji Xerox’s
    lawyer, and the arbitrator surnamed Qi as saying that the dinner took
    place because Qi was leaving his position as an arbitrator on the
    commission overseeing the case between Fuji Xerox and the publishing
    house.
    The publishing house signed a RMB 2.5 mln (USD 0.3 mln) deal
    with Fuji Xerox (Shanghai) in late 1999 to purchase digital printers.
    However, the printers needed to be repaired 166 times from March to
    September 2003, the publishing house alleged. The publishing house
    applied to the Tianjin Arbitration Commission in August 2003 for Fuji
    Xerox to refund money paid for the printers. The commission ruled that
    Fuji Xerox should pay RMB 102,442 (USD 12,805) to the publishing house
    in November of last year.
    Meanwhile, in addition to this case in
    Tianjin, a number of Chinese media reported in January this year that
    Fuji Photo Film had been smuggling film and photo-paper into the
    Chinese market through one of its local partners in the Guangxi
    Autonomous Region. The Chinese government has yet to take any official
    action in the case. Fuji officials, moreover, have strongly denied the
    reports.

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