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ZTE pleaded guilty in the Texas district court for shipping American technology to Iran despite US sanctions.
The Chinese telecom provider agreed Wednesday to pay $892 million in penalties. It could pay another penalty worth $300 million should it violate the provisions of its deal with US regulators over the succeeding seven years.
Dallas federal judge Ed Kinkeade authorized the company's settlement on the grounds of obstructing justice, providing a fraudulent statement, and conniving to ship US-made products to Iran without securing a license.
Earlier, the federal judge asked ZTE official Xu Huijun whether he understood the infringement of the current pact would make him give a recommendation to the federal agency that it should take the $300 million during that period. Xu responded yes through an interpreter.
