Former ITXC execs sentenced

A former managing director of wholesale VoIP provider ITXC found guilty of bribery will avoid prison due to cooperation with federal authorities, according to a Dept. of Justice release. Roger Young, will receive five years probation, three months each of home confinement and community confinement, and a $7,000 fine. Young was found guilty along with former ITXC Vice President Steven J. Ott, who was also given five years probation, but was also given the harsher sentence of six months each of home and community confinement and a $10,000 fine.

Young and Ott plead guilty in July to conspiracy charges related to a scheme in which $267,000 in illegal "commissions" were given to employees of African-based telecommunications companies in exchange for continued contracts with ITXC (purchased by Teleglobe Bermuda Ltd. in 2004).

The payments violated the anti-bribery provisions of the Foreign Corrupt Practices Act.

Both Ott and Young were given reduced sentences due to continued cooperation with the FBI, which is still investigating the case. They admitted to conspiring to making the payments, in knowing violation of the provisions of the law.

Time will tell if the investigation will roll heads at any other notable VoIP firms in connection with Young and Ott's conspiracy.

For more:
- read all the sordid details in the Dept. of Justice report [1]