International Business Machines (IBM.NYSE) has been accused of defrauding investors by concealing a sharp decline in China sales following revelations that the company had been cooperating with the US National Security Agency, Reuters reported, citing a complaint filed on Thursday by the Louisiana Sheriffs’ Pension and Relief Fund. The complaint said IBM lobbied Congress hard to pass a law letting it share personal data of customers in China with the NSA. As a result of the revelations, IBM saw business slump and on October 16 it posted disappointing third-quarter results, including drops in China of 22% in sales and 40% in hardware sales, the complaint claimed.
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