MIAMI — Smartmatic, the company at the center of defamation lawsuits following its involvement in the 2020 U.S. election, has been indicted by a federal grand jury in Miami for allegedly bribing a Philippine official in connection with the 2016 Philippine national elections. The indictment also names Smartmatic’s parent company, SGO Corporation Ltd., in an ongoing case against three of the company’s executives.
The indictment, announced on Thursday by the Department of Justice, accuses Smartmatic executives Roger Alejandro Piñate Martinez, Jorge Miguel Vasquez, and others of paying at least $1 million in bribes to the former chairman of the Commission on Elections (COMELEC). The charges cover actions that allegedly took place between 2015 and 2018.
COMELEC, an independent agency mandated to enforce and administer election laws in the Philippines, opened the bidding process for the lease of 23,000 election machines in 2014, ahead of the 2016 elections. Smartmatic won the contract in 2015, and later secured two additional contracts for the 2016 elections, including one for the lease of 70,977 voting machines and related services.
The indictment claims that Smartmatic executives attempted to secure these contracts by offering bribes to the COMELEC chairman and by securing the release of favorable value-added tax (VAT) payments. The alleged bribes were said to be paid by over-invoicing the cost of each voting machine used in the election. To conceal the illicit transactions, the indictment states that Smartmatic executives used coded language, fabricated contracts, and sham loan agreements. They also routed payments through bank accounts in Asia, Europe, and the U.S., including within the Southern District of Florida.
The charges against Smartmatic, Piñate, and Vasquez include one count of conspiracy to violate the Foreign Corrupt Practices Act, one count of conspiracy to commit money laundering, and three counts of international laundering of monetary instruments.
In response to the indictment, Smartmatic issued a statement denying the allegations, labeling them as “targeted, political, and unjust.” The company further stated, “Smartmatic will continue to stand by its people and principles. We will not be intimidated by those pulling the strings of power.”
This legal battle is not the first time Smartmatic has faced scrutiny. Following the 2020 U.S. election, Smartmatic filed defamation lawsuits against Fox News and Newsmax, alleging that the networks spread false claims about the vulnerability and security of the company's voting machines.
Notably, in an August filing, Fox News claimed that Smartmatic had also provided unlawful gifts to a Los Angeles County official, helping the company secure a lucrative contract with the county. The network also alleged that Smartmatic funneled L.A. County tax dollars to a “slush fund.”
As the legal proceedings unfold, this case underscores the ongoing controversies surrounding Smartmatic, not only in relation to its role in election technology but also its alleged involvement in illegal activities spanning multiple continents.
