Avon, the beauty products seller, announced that is voluntarily conducting an investigation of its China Operations, focusing on compliance with the Foreign Corrupt Practices Act. “The Company, under the oversight of the Audit Committee, commenced in June 2008 an internal investigation after it received an allegation that certain travel, entertainment and other expenses may have … Read more »
Category: Foreign Corrupt Practices Act
Text of the Foreign Corrupt Practices Act
You can find the complet text of the Foreign Corrupt Practices Act on the Department of Justice’s Foreign Corrupt Practices Act site. § 78dd-2. Prohibited foreign trade practices by domestic concerns (a) Prohibition It shall be unlawful for any domestic concern, other than an issuer which is subject to section 78dd-1 of this title, or … Read more »
Who is a Foreign Official under the FCPA?
The FCPA defines “foreign official” as: [A]ny officer or employee of a foreign government or any department, agency, or instrumentality thereof, or a public international organization, or any person acting in an official capacity for or on behalf of any such government or department, agency, or instrumentality, or for or on behalf of any such … Read more »
Kay – Certiorari Denied
The U.S. Supreme Court will not be reviewing the Fifth Circuit’s decision in Kay v. U.S. (cert denied shows up page 8 of the Orders List from October 6, 2008.) Kay argued that the FCPA didn’t apply to bribes to reduce taxes, or that if it applied, the “obtaining or retaining” language in the law … Read more »
Walking The Fine Line Of Compliance In China
Jeffrey M. Rawitz and Erica L. Reilley of Jones Day published an article in Mondaq: China: The Foreign Corrupt Practices Act: Walking The Fine Line Of Compliance In China. Four Suggestions for Avoiding FCPA Complications in China Any company seeking to avoid potential FCPA problems in China, or elsewhere, should start by developing a rigorous … Read more »
Shearman & Sterling’s FCPA Digest
Danforth Newcomb of Shearman & Sterling LLP put together a digest of FCPA cases and review releases (.pdf) relating to bribes of foreign officials under the Foreign Corrupt Practices Act (through February 13, 2008). Read more »
Product Samples and The Foreign Corrupt Practices Act
Richard L. Cassin of The FCPA Blog highlights Review Procedure Release No. 81-02 from December 11, 1981: A Rare (Or Medium-Rare) Opportunity. The release helps give a roadmap on how to introduce new products to potential government customers in foreign countries without violating the Foreign Corrupt Practices Act. In Release 81-02 (December 11, 1981), the … Read more »
History of the Foreign Corrupt Practices Act
In 1977, Congress enacted the Foreign Corrupt Practices Act as part of the 1934 Securities Exchange Act . The FCPA criminalized the bribery of foreign officials by U.S. corporations and individuals pursuing business in other countries and required that companies with publicly-traded stock meet certain standards regarding their accounting practices, books and records, and internal … Read more »
FCPA Investigations are on the Rise
According to the Wall Street Journal’s Law Blog, And the FCPA Party Continues: “U.S. government had open investigations into 84 companies at the end of last year, up from three in 2002, according to Shearman & Sterling. “In the 30-plus years I have followed these matters, there were long periods of little activity and few … Read more »
Kay v. United States
Kay v. United States (Docket: 07-1281) is on the docket of the Supreme Court’s opening conference on September 29, 2008 for the Court’s October 2008 term. The petition for certiorari and all cert-stage briefs are available at scotusblog.com. David Kay and Douglas Murphy were sentenced in 2005 to 37 and 63 months in prison respectively … Read more »