Toyota may have violated U.S. anti-bribery laws, the carmaker said in a March 18 Securities and Exchange Commission filing. The company said it disclosed the potential violations, which involved its subsidiary in Thailand, to the SEC and the Justice Department in April 2020. Toyota is cooperating with both agencies -- which enforce the Foreign Corrupt Practices Act -- and said it may be subject to penalties but “cannot predict the scope, duration or outcome of the matter at this time.” A company spokesperson declined to comment.
Export Compliance Daily is providing readers with the top stories for March 8-12 in case you missed them. You can find any article by searching on the title or by clicking on the hyperlinked reference number.
The Department of Justice recently expanded its foreign bribery unit to a record 39 prosecutors, paving the way for aggressive Foreign Corrupt Practices Act enforcement under the Biden administration, the Wall Street Journal reported March 8. The agency is placing an emphasis on hiring lawyers with FCPA compliance backgrounds, the report said, which could translate to increased agency efforts to promote industry compliance. A Justice Department spokesperson pointed to the agency's 2020 year in review.
Five companies said they may have violated U.S. sanctions, export controls or anti-corruption laws, according to their February Securities and Exchange Commission filings. The potential violations involved illegal exports, providing services to sanctioned territories and gift cards sent to the Chinese government.
A new South Korea anti-corruption regulator to target high-ranking government officials could affect private companies doing business with the country, an FCPA Blog post said Jan. 20. The Corruption Investigation Office for High-Ranking Officials will act as an independent agency to investigate corruption cases among both acting and retired public officials, the post said. The body can also investigate crimes related to corruption, including bribes paid by private companies or companies that “acted as accomplices to the crimes committed by high-ranking officials.” The agency is expected to start work in the “next few months,” the post said. Companies doing business in South Korea “should carefully review their risk profiles with respect to interactions with Korea’s senior officials.”
An Ecuadorian businessman was sentenced to 35 months in prison for his role in a $4.4 million bribery scheme that violated the Foreign Corrupt Practices Act, the Justice Department said Jan. 28. Armengol Alfonso Cevallos Diaz, who pleaded guilty to the charges last year (see 2001240032), worked with others to bribe officials at Empresa Publica de Hidrocarburos del Ecuador (PetroEcuador), Ecuador's state-owned oil company, the Justice Department said. The agency also said it charged former PetroEcuador officials and other businessmen and contractors involved in the scheme.
Germany-based Deutsche Bank will pay more than $130 million to settle its violations of the Foreign Corrupt Practices Act and separate investigation into a commodities fraud scheme, the Justice Department said Jan. 8. The violations stem from a scheme to hide bribes, which included internal accounting control violations, and another scheme involving “fraudulent and manipulative commodities trading practices” in publicly traded precious metals futures.
Export Compliance Daily is providing readers with the top stories for Dec. 21-24 in case you missed them. You can find any article by searching on the title or by clicking on the hyperlinked reference number.
A New Jersey man who owned two U.S. companies involved in supplying naval goods and services, pleaded guilty to violating the Foreign Corrupt Practices Act after he bribed a South Korean government official, the Justice Department said Dec. 17. The agency said Deck Won Kang paid $100,000 in bribes to a Korean official to obtain and retain contracts with South Korea’s Defense Acquisition Program Administration (DAPA), a state-owned and -controlled defense agency.
The U.S. affiliate of one of the world’s largest energy trading firms will pay more than $150 million in fines after it violated the Foreign Corrupt Practices Act, the Justice Department said Dec. 3. The company, Vitol Inc., paid millions of dollars in bribes to Brazilian officials and conspired to bribe officials in Ecuador and Mexico, the Justice Department said. The schemes involved fake consulting agreements, shell companies and more than $8 million in bribes.