A subsidiary of a Spanish telecommunications firm, based in Venezuela, has agreed to pay over $85 million to settle an investigation led by the U.S. Justice Department regarding illegal bribery practices involving Venezuelan government officials. This announcement was made on Friday.

The investigation revealed that Telefónica Venezolana, which operates under Telefónica S.A., was involved in bribing officials to facilitate its participation in an auction that enabled the exchange of Venezuelan bolivars for U.S. dollars. According to officials, this exchange was critical for the subsidiary’s operations amidst the country’s economic struggles.

In order to execute this bribery scheme, Telefónica Venezolana acquired equipment at inflated prices from various suppliers, who subsequently paid bribes on behalf of the company to conceal the unlawful activities. The Justice Department underscored the seriousness of the actions taken by the subsidiary, with Nicole Argentieri, the Principal Deputy Assistant Attorney General and head of the Criminal Division, stating that the company opted to engage with a corrupt regime rather than addressing the challenges of operating lawfully in Venezuela.

The subsidiary faces charges in a U.S. federal court for conspiring to breach the Foreign Corrupt Practices Act. However, it may avoid additional prosecution under a settlement agreement, contingent upon its compliance with specific requirements set by the Justice Department. As of now, officials from Telefónica S.A. have not provided any immediate response to inquiries regarding the matter.