Feds demand LCD maker pay $1 billion - 13 WTHR Indianapolis

Feds demand LCD maker pay $1 billion

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SAN FRANCISCO -

Federal prosecutors are seeking harsh sentences against a Taiwan company and two of its former executives, saying they participated in the most significant price-fixing "cartel" ever prosecuted in the United States.

The U.S. Department of Justice on Tuesday demanded AU Optronics Corp. pay $1 billion and the two former executives each serve 10-year prison sentences for illegally fixing computer screen prices.

The company's lawyers are arguing for a fine of no more than $285 million and significantly lighter, but undefined, prison terms for the executives.

A federal jury in March found the company and the two executives guilty of price fixing.

Six other Asian LCD screen makers have paid a combined $860 million in fines after pleading guilty.

(Copyright 2012 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.)

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