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Harry Cassin
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Thomas Fox
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Russell A. Stamets
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Eric Carlson
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Image Sensing discloses Poland investigation

Minnesota-based Image Sensing Systems said Tuesday an investigation by police in Poland has triggered an FCPA and U.K. Bribery Act investigation.

The developer of traffic enforcement solutions said two employees of its Poland unit have been charged with criminal violations related to a project in the City of Łodź, Poland.

No charges have been filed against the company or its Polish subsidiary, Image Sensing said.

Another traffic-enforcement firm, Redflex Traffic Systems, was the subject of reports earlier this month. An internal investigation at the company allegedly uncovered more than $2 million in possible bribes to a former official of the Chicago Department of Transportation. Redflex, based in Australia, supplies red light cameras to Chicago.

Image Sensing said it disclosed the ongoing Poland investigation to the SEC and DOJ.

CEO Kris Tufto said in Tuesday’s disclosure, ‘We take these matters very seriously, and are cooperating fully. Image Sensing Systems aims to conduct its business lawfully and ethically. We have taken remedial actions, including ending the employment of the two Polish employees. We are also assessing and implementing enhancements to our internal policies, procedures and controls.’

Image Sensing this year has spent this about $1.5 million through March 22 on the investigation. It said its 2012 cost were immaterial.

‘While we are working diligently towards a timely conclusion, we are presently unable to determine the likely outcome or range of loss, if any, or predict with certainty the timeline for resolution of these matters,” Tufto said.

Image Sensing Systems, Inc. trades on Nasdaq under the symbol ISNS.


All FCPA-related disclosures by issuers are available from ethiXbase, the world’s biggest anti-corruption enforcement database.

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