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ARMONK, NY - IBM is under investigation by the Environmental Protection Agency (EPA) and has been temporarily barred from participating in any new business with the federal government.

The notice of suspension relates to an investigation by the EPA for possible violations regarding an IBM bid for EPA business submitted in March 2006.

The investigation stems from IBM's alleged violation of rules under the procurement integrity portion of the Office of Federal Procurement Policy Act, which establishes requirements regarding vendor integrity in federal government contracts. The law governs vendor behavior when dealing with a contracting official of the agency, including making offers of employment or business opportunities, offering money, gratuities, or soliciting or obtaining confidential information about a contract before an award is made.

In addition, the US Attorney’s Office for the Eastern District of Virginia has served some IBM employees with grand jury subpoenas regarding interactions between IBM employees and the EPA.

IBM released a statement saying that the company had "served the federal agency community for many decades as a vendor in good standing and is committed to the highest standards of business ethics. IBM provides training on its business conduct guidelines to all employees... to ensure compliance with all applicable federal requirements.”

IBM also said that prior to learning of the suspension, it was not aware that the EPA or US Attorney’s Office were considering any action against the company.

IBM has 30 days to contest the suspension, which can continue for up to one year pending the completion of the investigation. IBM said that while it will cooperate with the investigation, it will take all appropriate action to challenge the suspension.

BANNOCKBURN, IL – The IPC has honored Colonial Circuits, Inc. with the Peter Sarmanian Award, and Lockheed Martin with the Stan Plzak Award, in recognition of their support of IPC in standards development and other IPC activities. The companies were recognized during the IPC Annual Meeting Luncheon, April 1 in Las Vegas.

Colonial Circuits has been an IPC member since 1981 and is a member of IPC’s Executive Market and Technology Forum. For more than 15 years, Colonial Circuits has been host to various IPC design for manufacture workshops (DfM) at its Fredericksburg, Va. Location.

Lockheed Martin is one year away from celebrating its 50th anniversary as an IPC member company, and more than three dozen Lockheed Martin staff provide technical expertise on 110 standards development committees ranging from assembly and design, to boards and supply chain standards.

PANANJI, INDIA - Nokia plans to recruit 5,500 more employees in India by the end of the year, increasing employment to 15,000. Most of the new recruitments will be at the company’s Sriperumbudur plant in Tamil Nadu.

SCHAUMBURG, IL – Motorola Inc. will separate its struggling handset business from other operations, forming two separate publicly traded companies.

The company said the handset business will make up one unit, while home and networks products, and enterprise mobility solutions will be bundled into a separate business. Pending shareholder approval, the moves would take place next year.

The move is seen as a response to heavy pressure from its second-leading shareholder, Carl Icahn, to revamp the business.

"Our priorities have not changed with today's announcement," said chief executive Greg Brown said in a statement. "We remain committed to improving the performance of our Mobile Devices business by delivering compelling products that meet the needs of customers and consumers around the world."

Motorola will seek a new chief executive for the Mobile Devices business, which has suffered heavy fiscal and market share losses during the past two years.