In any country, paying for travel for government officials, customers at state-owned enterprises, or customers at purely private enterprises can present corruption risks. . . .
Entries in IBM (8)
IBM said in an SEC filing this week that the DOJ has opened an FCPA investigation into transactions in Poland, Argentina, Bangladesh, and Ukraine. 'The DOJ is also seeking information regarding the company’s global FCPA compliance program and its public sector business,' IBM said.
A federal judge Thursday angrily rejected a proposed 2011 settlement between the SEC and IBM, saying the company should be required to report all accounting violations and not just FCPA anti-bribery problems.
There's always a danger that an unhealthy corporate practice, even an illegal one, will gain internal acceptance and legitimacy simply because it happens all the time.
The pro-business U.S. Chamber of Commerce is running a high-profile campaign to weaken the Foreign Corrupt Practices Act. But not everyone in the business world is happy about that.
During the first quarter of 2011, two earlier FCPA-related indictments were disclosed. And there were four corporate actions, four guilty pleas, including two shot-show defendants and the former KBR middleman Jeffrey Tesler, who was hit with the biggest forfeiture order in FCPA history, and two sentencings of individuals to prison.
In 2007, we listed ten elements of an effective compliance program. Several elements made it clear that high-level oversight is always critical. In IBM's case, that oversight was missing.
IBM will disgorge $5.3 million and $2.7 million in prejudgment interest, and pay a $2 million civil penalty to the SEC for FCPA violations in South Korean and China.