Charging ahead with the Foreign Corrupt Practices Act (FCPA)

The US Justice Department and SEC are charging forward with the FCPA, and does not give out any signs of stopping.

Few multinational companies can afford to ignore the 1977 law, which bars foreign bribery and requires companies to keep accurate books and records. U.S. companies, companies that trade on U.S. stock exchanges, and even foreign companies that further corrupt schemes in the U.S. fall under the FCPA’s prodigious umbrella. Foreign subsidiaries are included if U.S. authorities can show the conduct in question was “authorized, directed, or controlled” by the parent company.

Average FCPA penalty: About $25 million in most years

Corporations under the Watch: Siemens AG, Halliburton Co., Panalpina World Transport Ltd Pfizer Inc., Johnson & Johnson to name a few

FCPA with cooperative internal probes: Avon Products Inc., Weatherford International Ltd. and Wal-Mart Stores Inc.

Fugitives on the run: Apparently the  ”Siemens 8″ have yet to make their initial appearance in court and are still living freely in Argentina, Germany or Switzerland

FCPA Investigations and Market price: Companies’ stock prices seem to have increased, on average, by 1.1% after FCPA settlement

………..

For more stories on Corruption, check out The Scandal Club>Bribery and Corruption

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