Key facts
- Alibaba and AUS Merchant Services will pay $600 million to the U.S. government.
- The settlement resolves allegations of failing to prevent illegal pharmaceutical sales.
- The settlement also covers illegal pharmaceutical equipment sales and imports.
- Alibaba has filed a lawsuit against the Pentagon.
- Recent reads explore the status of a rare earth minerals truce.
- Recent reads examine U.S. arms sales to Taiwan.
Chinese e-commerce giant Alibaba and its U.S. payment processor, AUS Merchant Services, have agreed to a $600 million settlement with the U.S. government. This resolution addresses allegations that the companies failed to prevent the sale and import of illegal pharmaceuticals and related equipment into the United States. The settlement marks a significant financial penalty for the companies involved in facilitating such trade.