A Venezuelan subsidiary of a Spanish phone company will pay more than $85 million to resolve a U.S. Justice Department investigation into a scheme to bribe Venezuelan government officials, the department said Friday.

Telefónica Venezolana, a subsidiary of Telefónica S.A., bribed Venezuelan officials to participate in an auction that allowed it to get U.S. dollars in exchange for Venezuelan bolivars, Justice Department officials said.

Telefónica Venezolana bought equipment at inflated prices from suppliers, who then paid the bribes on its behalf in an attempt to hide the illegal scheme, prosecutors said.

Maine limit on PAC contributions faces challenge

Maine residents this week overwhelmingly approved a referendum to limit donations to political action committees that spend independently in candidate elections, setting the stage for a legal showdown over caps on individual contributions to so-called super PACs that spend freely in elections.

In the nation’s only campaign finance reform initiative on the ballot on Election Day, residents voted to cap individual donations to super PACs at $5,000. Supporters fully expect a lawsuit that they hope will bring clarity to PAC donations after the U.S. Supreme Court opened the door to unlimited spending by super PACs.

The measure was carefully crafted to survive legal challenges as states try to find a way to regulate campaign spending after the Supreme Court’s 2010 Citizens United decision, said state Sen. Rick Bennett, a supporter of the proposal.