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Jessica Tillipman Senior Editor

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Cody Worthington Contributing Editor

Julie DiMauro Contributing Editor

Thomas Fox Contributing Editor

Marc Alain Bohn Contributing Editor

Bill Waite Contributing Editor

Shruti J. Shah Contributing Editor

Russell A. Stamets Contributing Editor

Richard Bistrong Contributing Editor 

Eric Carlson Contributing Editor

Bill Steinman Contributing Editor

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FCPA Blog Daily News

« Small (Bribe) Talk From The Editors | Main | China Corruption Blotter (August 1, 2012) »
Thursday
Aug022012

Expand Training Or Else

It's hard enough for most companies to train their own employees about FCPA compliance.

But now, according to Nordam's non-prosecution agreement, the DOJ wants training pushed out to all third parties that represent a compliance risk.

Privately held Nordam, an aircraft maintenance company based in Tulsa, paid $2 million and entered into a three-year non-prosecution agreement this month with the DOJ to resolve FCPA violations. The company and affiliates bribed 'employees of airlines created, controlled and exclusively owned by the People’s Republic of China in order to secure contracts' from those airlines, the DOJ said.

Last year, every FCPA enforcement action somehow involved third party intermediaries -- partners, agents, suppliers, distributors, and consultants.

So it's no surprise the DOJ is now telling companies to extend training to those intermediaries.

In Nordam's July 16 non-prosecution agreement (Attachment B, Corporate Compliance Program), the DOJ required the company to:

Train directors, officers, employees, agents, consultants, representatives, distributors, joint venture partners, and relevant employees thereof, who present corruption risk to the Company, on the anti-corruption laws and the Company’s policies and procedures regarding anti-corruption laws.

It's up to Nordam (and everyone else) to figure out just how to meet the requirement.

______________

FCPA Blog sponsor Click 4 Compliance is the leader in online compliance training for global anti-corruption. Its practical, cost-effective training meets the needs of HQ and "the field" with real life examples (and no legal-ese). C4C's course is available in 22 languages to help reduce global risks. Click 4 Compliance is ideal for companies creating, maintaining or improving their compliance efforts (and often part of remediation plans for companies before the SEC and DOJ).

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