The parent company of Virginia-based DynCorp International Inc. said Wednesday the DOJ won’t bring an enforcement action following an investigation into payments by two subcontractors to speed up the issuance of visas and permits.
Dyncorp first disclosed in November 2009 that it had found about $300,000 in payments by third parties to ‘expedite the issuance of a limited number of visas and licenses from foreign government agencies.’
The company didn’t include any details about the project involved or the subcontractors referred to in the disclosure. It said it had self-reported the payments to the DOJ and SEC.
In a further SEC filing in 2009, the company said, ‘Curtis L. Schehr’s employment as Senior Vice President, Chief Compliance Officer and Executive Counsel of DynCorp International LLC, DynCorp International Inc.’s wholly-owned subsidiary, was terminated without cause.’
DynCorp became a subsidiary of Delta Tucker Holdings after a privatization in 2010. Delta Tucker is an ‘issuer’ — it files periodic reports to the SEC — but it has no publicly traded shares.
DynCorp International Inc. formerly traded on the New York Stock Exchange under the symbol DCP.
It was founded in 1951. According to its website, it provides ‘support of U.S. national security and foreign policy objectives, delivering support solutions for defense, diplomacy, and international development,’ .
In 2010, DynCorp personnel were deployed as civilian peacekeepers and police trainers under the auspices of the State Department to countries such as Haiti, Bosnia, Afghanistan, and Iraq. It was also providing logistics support to the U.S. military in Afghanistan, Kuwait, and locations in Africa.
All FCPA-related disclosures by issuers are available from ethiXbase, the world’s biggest anti-corruption enforcement database.
Here’s the FCPA disclosure by Delta Tucker Holdings, Inc. from its Form 10-K filed with the SEC on March 27:
As previously disclosed in our periodic filings, we identified certain payments made on our behalf by two subcontractors to expedite the issuance of a limited number of visas and licenses from a foreign government agency that may raise compliance issues under the U.S. Foreign Corrupt Practices Act. We retained outside counsel to investigate these payments. In November 2009, we voluntarily brought this matter to the attention of the U.S. Department of Justice and the SEC. We cooperated with the government’s review of this matter. On February 5, 2013, the U.S. Department of Justice notified us that their inquiry regarding this matter has been closed based upon a number of factors, including, but not limited to, the voluntary disclosure by the company, the thorough investigation undertaken by the company, and the steps taken to enhance the company’s anti-corruption compliance program.