Former Bridgestone exec pleads guilty in Marine Hose case

ERJ staff report (DS)

Washington, DC -- Yet another scalp has fallen to the Marine Hose price fixing investigation. Misao Hioki, the former general manager of Bridgestone's International Engineered Products (IEP) Department. was sentenced to serve two years in jail and to pay an $80 000 criminal fine for participating in two conspiracies to rig bids and bribe foreign government officials affecting the sale of marine hose and other industrial rubber products

Hioki is the ninth individual to plead guilty in the marine hose bid-rigging investigation. He is the first individual to plead guilty to charges of conspiracy to violate the Foreign Corrupt Practices Act (FCPA). Hioki agreed to cooperate fully in the Department's ongoing antitrust and FCPA investigations. Hioki admitted guilt in making corrupt payments to government officials in Latin America and elsewhere to obtain and retain business.

The affair has seen executives from Dunlop Oil & Marine; Trelleborg Industrie S.A.S,; Manuli Rubber Industries SpA and now Bridgestone Corp. fined and sent to jail. Manuli and Dunlop Oil & Marine have both been fined for their part in the conspiracy. In addition, , Peter Whittle, a former Dunlop executive and now the sole proprietor of PW Consulting (Oil & Marine) Ltd. was fined and jailed.

The only trial outstanding is that of Uwe Bangert, a German national and former executive with Dunlop's former parent company, Phoenix AG, who was indicted on July 19, 2007, for his participation in the marine hose cartel. A trial date has not been set.

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Press release from US Department of Justice