On June 7, 2016, two non-prosecution agreements were reached in FCPA cases. One agreement was reached between the Securities and Exchange Commission and a Massachusetts-based internet services provider, in the amount of $652,452 plus interest. The SEC’s investigation led them to a foreign subsidiary that used bribes to induce Chinese officials to purchase more services than needed.
Also on June 7, 2016, SEC announced that a Rhode Island building products manufacturer had agreed to pay $291,403 plus interest to settle claims that its subsidiary bribed Chinese officials to secure preferential treatment.
Though the settlement amounts may seem large, it is safe to assume that the companies’ respective self-reporting and compliance with investigators served to mitigate damages. Furthermore, each company took measures to prevent this from happening again and this helped keep financial damage at a minimum. This firm stands ready to assist companies in complying with the FCPA and can help mitigate damages should situations like the ones detailed above arise. The SEC’s press releases regarding these cases can be found here.