The U.S. government charged Smartmatic in October 2025 with conspiracy to violate the FCPA’s anti-bribery provisions, money laundering conspiracy, and money laundering, tied to an alleged scheme to bribe the former chairman of the Philippines’ Commission on Elections, known as COMELEC.
It was the first criminal indictment of a business organization for FCPA violations since 2010. Every prior corporate FCPA resolution in those fifteen years came through a plea agreement or deferred prosecution agreement, a non-prosecution agreement, or a declination with disgorgement.
Smartmatic moved to dismiss on “vindictive and selective prosecution” grounds. That motion is fully briefed and awaits a ruling.
But the case has already shifted once. The government’s Superseding Indictment, also filed in October 2025, added SGO as a co-defendant and deleted a critical phrase: “obtain and retain contracts.” The original indictment alleged that defendants bribed COMELEC chairman Mr. Bautista to win election-servicing contracts for the 2016 Philippine national elections. The superseding version doesn’t. Now the government says the scheme aimed to collect milestone and VAT payments already owed under contracts that had already been awarded.
Two COMELEC employees, Julio Hernan and Rey Doma, testified in June 2025 Philippine depositions that COMELEC’s bidding process was fair, transparent, and merit-based. That testimony cuts against the original theory, which may explain why the government pivoted.
SGO hasn’t had the chance to take its own Rule 15 depositions yet. The dismissal motion ruling comes first.
— James Okafor