Alibaba Group and its U.S. payment processor, AUS Merchant Services, will pay $600 million to resolve a Department of Justice investigation. The settlement addresses failures to prevent the import of illegal pharmaceuticals and related equipment. Both companies reached the resolution under non-prosecution agreements.
Alibaba admitted its platforms facilitated approximately 80,000 illegal sales between 2016 and 2024. These transactions represented a gross merchandise value exceeding $200 million.
Alibaba will pay a $125 million penalty. The company will also forfeit $200 million. AUS Merchant Services will pay an $85 million penalty. AUS will forfeit an additional $190 million. Both entities agreed to enhance their compliance programs.