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Reuters: SEC Investigation Of Movie Studios Focuses On China

Aruna Viswanatha of Reuters reported that the SEC is investigating the practices of major U.S. movie studios  in China about possible violations of the FCPA.

At least five movie studios have received letters from the SEC, including News Corp’s 20th Century Fox, Disney, and DreamWorks Animation.

‘The letters ask for information about potential inappropriate payments,’ Viswanatha reported today, ‘and how the companies dealt with certain government officials in China . . . ‘

Homer Moyer at Miller & Chevalier told Reuters: ‘Typically those (industry sweeps) arise where the agencies, most commonly the SEC, see a situation in a particular company that it believes for some reason may reflect a broader practice or pattern in the industry.’

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