Editors

Harry Cassin
Publisher and Editor

Andy Spalding
Senior Editor

Jessica Tillipman
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

Bill Steinman
Contributing Editor

Walmart pays $282 million for FCPA resolution

Walmart Inc. agreed Thursday to pay the DOJ and SEC $282 million to settle allegations that it violated the Foreign Corrupt Practices by paying an intermediary in Brazil for help obtaining construction permits and having weak anti-corruption internal controls in Brazil, China, India, and Mexico.… Continue Reading

Uber discloses FCPA investigation

Uber Technologies, Inc. said Thursday the U.S. Department of Justice is investigating possible FCPA violations related to its activity in Asia. 

According to Uber’s S-1 filing, the DOJ is investigating potential bribes in countries including Indonesia, Malaysia, China, and India. 

In Indonesia, the ride-hailing company is being investigated for allegations of small payments to police, and “other potential improper payments.”

Here is the text from Uber’s S-1 filed April 11, 2019, courtesy of FCPA Tracker

We received requests from the DOJ in May 2017 and August 2017 with respect to an investigation into allegations of small payments to police in Indonesia and other potential improper payments in other countries in which we operate or have operated, including in Malaysia, China, and India.Continue Reading

After Strkyer II, are per diems atop expenses always improper?

A little-noticed nugget in the recent Stryker SEC Order (Stryker II) — in addition to overbilling, kickbacks, and using unvetted intermediaries in India and China — was the allegation that Stryker’s “Kuwait Distributor made over $32,000 in improper ‘per diem’ payments to Kuwaiti [healthcare providers] to attend Stryker events, when Stryker had directly paid the costs for lodging, meals, and local transportation for these individuals.”  

This strongly implies that the per diems were improper because they were paid in addition to all other costs (“Per-Diems-Plus”). 

It is common practice to advise clients that the payment of Per-Diems-Plus increases compliance risk, but to my knowledge, the SEC and DOJ have never gone so far as to state or even imply that Per-Diems-Plus are per se improper.… Continue Reading

India construction company faked experience in World Bank bid

The World Bank debarred an Indian construction services company Wednesday for faking past experience in the bidding process for a road project in India.  

M/s Om Sakthi Constructions “submitted a fraudulent certificate of past experience in its bid” for a highway construction contract, the World Bank said. 

The 15 month debarment is for “fraudulent practices” related to the Second Tamil Nadu Road Sector Project in India. 

The World Bank financed $300 million of the $780 million project.… Continue Reading