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Harry Cassin
Publisher and Editor

Andy Spalding
Senior Editor

Jessica Tillipman
Senior Editor

Bill Steinman
Senior Editor

Richard L. Cassin
Editor at Large

Elizabeth K. Spahn
Editor Emeritus

Cody Worthington
Contributing Editor

Julie DiMauro
Contributing Editor

Thomas Fox
Contributing Editor

Marc Alain Bohn
Contributing Editor

Bill Waite
Contributing Editor

Shruti J. Shah
Contributing Editor

Russell A. Stamets
Contributing Editor

Richard Bistrong
Contributing Editor

Eric Carlson
Contributing Editor

Excavating Enforcement Data

Qi Chen, a student from the Chicago-Kent Law School, has updated some important numbers we first reported about two years ago.

Then and now he analyzed how many corporate enforcement actions since 2005 didn’t involve criminal or civil charges against any employees from the company. Those numbers are surprisingly elusive. Results can vary depending on the way enforcement actions are reported, when they’re commenced and finished, what charges are brought, and whether targets are parent companies, subsidiaries, or a combination. So there are lots of decisions to make when counting the cases.

Qi Chen’s methodology was directed by our Senior Editor, Andy Spalding, who also supervised the research. We’re grateful to Prof Spalding as well. But as always, any errors in the final numbers are ours alone.

Digging out the numbers reveals something about how enforcement decisions are made. And that in turn provides some clues as to whether corporate settlements might be replacing individual prosecutions.

*     *     *

From 2005 through 2011, Qi found 85 corporate enforcement actions by the DOJ or SEC or both. He also found for the same period 106 individuals targeted in criminal or civil enforcement actions or both.

He excluded the 22 Africa sting defendants from all the numbers. But he included the 8 individual Siemens defendants indicted in December 2011. They’re all non-U.S. citizens living outside the U.S. None of them have appeared in the U.S. to answer the charges and all are apparently categorized as fugitives.

Of the 85 corporate enforcement actions from 2005 to 2011, there were 27 cases in which individuals from the companies were also charged. In those 27 cases, a total of 73 individuals were charged.

That means 58 companies were charged with FCPA offenses from 2005 through 2011, and none of their employees or agents faced any charges (at least not yet). A former DePuy exective was charged and jailed in the U.K. but not the U.S.

For comparison, as of 2009, 37 companies had settled enforcement actions since 2005 and had none of their personnel charged for violating the FCPA.

The research also means that from 2005 through 2011, 33 individuals were charged and the company they worked for wasn’t charged.

_____________________

For 2005 through 2011, the corporations charged with FCPA offenses but having no employees or agents charged by either the DOJ or SEC were:

  1. AB Volvo
  2. ABB Ltd
  3. AGA Medical Corp
  4. AGCO Ltd.
  5. Aibel Group Ltd.
  6. Akzo Nobel N.V.
  7. Aon Corporation
  8. Avery Dennison Corp.
  9. Ball Corporation
  10. Bristow Group Inc.
  11. Chevron Corp.
  12. Comverse Technology Inc
  13. Comverse Technology, Inc
  14. Con-way Inc.
  15. Daimler AG
  16. Delta & Pine Land Co.
  17. DePuy, Inc
  18. Diageo plc
  19. DPC (Tianjin) Co. Ltd.
  20. Fiat S.p.A., et al.
  21. Flowserve Corp.
  22. GE Invision, Inc.
  23. General Electric Co
  24. GlobalSantaFe Corp
  25. Helmerich & Payne, Inc
  26. IBM Corp
  27. Ingersoll-Rand Co. Ltd.
  28. ITT Corp.
  29. JGC Corporation (S
  30. Johnson & Johnson
  31. Lucent Technologies Inc.
  32. Magyar Telekom, Plc
  33. Maxwell Technologies, Inc
  34. Micrus Corp.
  35. NATCO Group Inc
  36. Noble Corp
  37. Novo Nordisk A/S
  38. Oil States Int’l, Inc.
  39. Panalpina World Transport (Holding) Ltd
  40. Paradigm B.V.
  41. RAE Systems Inc
  42. Rockwell Automation, Inc
  43. Royal Dutch Shell plc
  44. Shell Nigeria Exploration and Production Company Ltd
  45. Snamprogetti Netherlands 
  46. Statoil ASA
  47. Technip
  48. Tenaris
  49. Textron Inc.
  50. The Dow Chemical co.
  51. Tidewater Marine International, Inc
  52. Transocean Inc
  53. Tyco Int’l Ltd.
  54. Tyson Foods, Inc
  55. Universal Leaf Tabacos Ltda
  56. Veraz Networks, Inc
  57. Westinghouse Air Brake Technologies Corp.
  58. York International Corp.

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