What is the purpose of the FCPA?
The FCPA has two primary provisions: (1) an anti-bribery provision which makes it unlawful for a U.S. company or citizen, and certain foreign issuers of securities, to make a corrupt payment to a foreign official for the purpose of obtaining or retaining business and (2) an accounting provision which requires companies …
What government agency is responsible for enforcing the FCPA?
The Foreign Corrupt Practices Act (FCPA) is a U.S. statute that prohibits firms and individuals from paying bribes to foreign officials to further business deals. Both the Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) are responsible for enforcing the FCPA.
What is FCPA compliance?
The Foreign Corrupt Practices Act (“FCPA”) prohibits companies from bribing foreign officials in an effort to obtain or retain business, and it requires that companies maintain adequate books, records, and internal controls to prevent unlawful payments.
When was the FCPA last amended?
1988
On November 10, 1998, President Clinton signed the International Antibribery and Fair Competition Act of 1998. ‘ This law amended the Foreign Corrupt Practices Act (FCPA)2 first adopted in 1977’ and last amended in 1988.
How is the FCPA enforced?
The FCPA is jointly enforced by the Department of Justice (DOJ) and the Securities and Exchange Commission (SEC), which apply criminal and civil penalties, respectively.
Who needs to comply with FCPA?
Who Is Covered by the FCPA? The FCPA applies to two broad categories of persons: those with formal ties to the United States and those who take action in furtherance of a violation while in the United States. U.S. “issuers” and “domestic concerns” must obey the FCPA, even when acting outside the country.
Who is an issuer under FCPA?
Under the FCPA, an “issuer” is any company whose securities are issued in accordance with section 12 of the Exchange Act or any company that is required to make periodic reports in accordance with section 15 of the Exchange Act.
What is anything of value in FCPA?
The term “anything of value” in the FCPA has been broadly construed to include not only cash or a cash equivalent, but also, among other things, discounts; gifts; use of materials, facilities or equipment; training and education; entertainment; meals and drinks; transportation; lodging, insurance benefits; promises of …
