ATHENS - GREECE'S privacy watchdog has fined the Greek unit of telecom equipment maker Ericsson more than 7 million euros (S$14.5 million) over a wiretapping scandal that rocked the country last year.

The Greek government in 2006 revealed that more than 100 people, including the prime minister and senior ministers as well as journalists and activists, had their mobile phones tapped for about a year around the Athens 2004 Olympics.

'The Hellenic Authority for Information and Communication Security and Privacy (ADAE) decided to fine Ericsson Hellas 7.36 million euros in relation to the wiretap issue,' ADAE said in a statement released late on Wednesday.

It gave no further details.

Officials at Ericsson Hellas were not immediately available for comment.

ADAE has said Ericsson Hellas's equipment was used in the phone tapping.

In December 2006 ADAE also fined the Greek unit of Vodafone 76 million euros for a 'number of infringements attributed to the company' also without giving further details.

Vodafone Hellas has rejected the decision, saying it considers the fine illegal and is appealing the decision.

The phones were found to have been bugged mostly before and during the Athens Games by unknown eavesdroppers, and the case became public after Vodafone Greece informed the government of its concerns when it suspected its equipment was being used.

The government went public with the case almost a year after it was informed by Vodafone, prompting questions in the media about whether foreign intelligence services were involved.

Using Ericsson-supplied software, the wire tapping took place from June 2004 until March 2005, the Greek government said at the time.

Calls were relayed to unknown destinations via four mobile phone antennas in central Athens. The bugging stopped when Vodafone Greece discovered the software and removed it from the system. -- REUTERS