In the United States, the Foreign Corrupt Practices Act has received significant attention due to some recent high-profile prosecutions. Just to the North, there is the Canadian equivalent to the FCPA: the Corruption of Foreign Public Officials Act. It has not yet been a significant concern for most businesses that fall within its jurisdiction. But … Read more »
Category: Bribery and Corruption
FCPA Conviction
Gerald Green and Patricia Green, Los Angeles-area film executives, were found guilty of conspiracy to violate the Foreign Corrupt Practices Act and money laundering laws of the United States, as well as substantive violations of the FCPA and U.S. money laundering laws. The verdict was handed down late on Friday. The Greens were charged by the … Read more »
New Liability Under the FCPA: Control Person Liability
The SEC charged Nature’s Sunshine Products Inc. with violating the Foreign Corrupt Practices Act after its Brazilian subsidiary made cash payments to customs officials to get their products imported into the country. The SEC also included two officers of the company in those charges. That part of the case was fairly standard. What was new … Read more »
Self-Reporting Corruption in the UK
As part of its renewed efforts to combat overseas corruption, the United Kingdom’s Serious Fraud Office published its new Approach of the Serious Fraud Office to Dealing with Overseas Corruption . Previously, the Serious Fraud Office saw its role as an after-the-event investigator and prosecutor, difficult for a company to engage except in the context … Read more »
A Simple Strategy to Avoid Paying a Bribe
Alexandra A. Wrage writes on the WrageBlog about Simple Strategies to avoid paying a bribe: “Our informant carefully prepared himself to meet with a notorious bribe-demanding functionary for the first time. He scripted his approach to the exchange: (a) Stand quietly at the functionary’s little window until the functionary looked at him, (b) Smile confidently, (c) … Read more »
The Anti-Corruption Principle in the U.S. Constitution
Are integrity or self-governance part of the constitutional framework of the United States? Do we need to give constitutional-like weight to the distortions to our democracy seen in campaign finance, redistricting, term limits and lobbying? Zephyr Teachout published an article in the January 2009 edition of the Cornell Law Review: The Anti-Corruption Principle (pdf). The … Read more »
Blagojevich Investigation Started With Real Estate Corruption
According to a story in The New Yorker, an investigation into real estate corruption ultimately caught the governor of Illinois trying to sell Barack Obama’s Senate seat: Whistle-blower by Nina Burleigh. According to the story, an Illinois hospital was having trouble getting permits from the planning board. That is until they agreed to hire a … Read more »
Kickbacks at Fry’s Electronics
Ausaf Umar Siddiqui was arrested on federal charges of money laundering and wire fraud. He allegedly charged vendors commissions in exchange for agreeing to buy merchandise at inflated prices. According to the news stories, he siphoned off as much as $65 million and used the money for Las Vegas gambling. Read more »
Real Estate Development and Corruption
Wicked Local Newton is reporting that the Maynard, Massachusetts superintendent of public works was arrested for soliciting cash payments from a private developer in exchange for relaxing permitting and inspection requirements: Maynard public works chief, a Newton resident, charged with accepting bribes. Paul Camilli, 38, of Newton, let an unnamed developer know that he would … Read more »
At Siemens, Bribery Was Just a Line Item
The New York Times ran an in-depth look at how entrenched corruption had become at the multi-national corporation: At Siemens, Bribery Was Just a Line Item. For his part, Mr. Siekaczek is uncertain about the impact of the Siemens case. After all, he said, bribery and corruption are still widespread.“People will only say about Siemens … Read more »