Hewlett-Packard’s $108 million settlement this week didn’t quite make our list of the top ten FCPA cases of all time. But with a disgorgement to the SEC of $26.4 million, H-P landed eleventh on the list of the biggest FCPA disgorgements.
(An earlier version of this post incorrectly said H-P’s disgorgement was the tenth biggest. We’re sorry for the error and thank a sharp-eyed reader for the correction.)
Disgorgement, according to contributing editor Marc Alain Bohn, is a remedy authorized by the Securities Exchange Act of 1934 that’s “used to deprive wrong-doers of their ill-gotten gains and deter violations of federal securities law.”
Disgorgement first appeared in an FCPA enforcement action in 2004 when ABB Ltd disgorged $5.9 million to resolve books and records and internal controls offenses.
Since then the SEC has used disgorgement in more than three-quarters of its FCPA-related enforcement actions.
Here are the current top ten FCPA-related corporate disgorgements:
1. Siemens $350 million in 2008
2. KBR $177 million in 2009
3. Alcoa $161 million in 2014
4. Total S.A. $153 million in 2013
5. Snamprogetti $125 million in 2010
6. Technip $98 million in 2010
7. Daimler $91.4 million in 2010
8. Pfizer $45.2 million in 2012
9. Alcatel-Lucent $45 million in 2010
10. Archer Daniels Midland $36.5 million in 2013
11. Hewlett-Packard $26.4 million in 2014
For comparison, here’s our current list of the top ten FCPA enforcement actions of all time.
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Richard L. Cassin is the Publisher and Editor of the FCPA Blog. He can be contacted here.
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