Fundamentals
Our primary company compliance and ethics document
What is the Code of Ethics
An inducement or reward offered, promised or provided in order to gain any improper commercial, contractual, regulatory or personal advantage
A bribe
A janitor of a state-run business, or an employee of a state-sponsored charity, can be this
Who is a foreign official under the FCPA
Our company's Anti-Corruption and FCPA policy prohibits bribes to these people.
Who are all third-parties (including government officials)
It is important to conduct this when engaging third parties
What is Due Diligence
A leading law that applies to the bribery of foreign officials
What is the FCPA
What is the year 2020.
This applies to any foreign official, or government employee, regardless of rank or position
Giving Superbowl tickets to a government employee responsible for zoning and his wife to attend the game
This is raised when a third party becomes part of a transaction at the insistent of a foreign official.
What is a red flag.
Violators of the FCPA can be charged here
What is anywhere outside of the US (if they are a US resident and have a connection to business in the US)
You can go to these people if you have questions about if something is permissible under the FCPA
Who is the Ethics & Compliance team, the Legal department, the Ethics Helpline
This can apply even where foreign governments are not part of a transaction
A property manager was visiting one of our new logistics facilities. He was stopped by governmental security guards and told that they would be taken into custody if they did not offer a $500 cash payment. The property manager should do this.
What is pay the $500 and contact the Ethics and Compliance team.
A payment that is paid by an agent, contractor, or third party on behalf of our company.
What is our company's responsibility under the FCPA.
Two ways in which the FCPA addresses the problem of international corruption
What are the anti-corruption and books and recordkeeping provisions
What are examples of individual penalties for FCPA violations
A trip to Paris for a government official and his wife that consisted primarily of touring activities via a chauffeur-driven vehicle
What is likely inappropriate under the FCPA
One of the primary forms of harm for improper gifts and entertainment.
What is reputational harm.
This will not insulate a company or individual from liability for unlawful conduct under the FCPA of an agent or third party.
What is willful ignorance.
The total amount of FCPA fines leveraged by the DOJ and SEC against corporations in 2019
What is $2.76 Billion
A minor payment made to expedite or secure the performance of routine governmental action
What is a facilitating payment
Our company is opening a new facility in Chicago, and hosts an exclusive reception attended by Chicago City officials who were instrumental in making the new development possible through the approvals and political support. Our company provides each attendee with a pen engraved with our company name and portable phone charter (total value $50). Permissible:
What is yes, this would likely be appropriate if recorded in a transparent and appropriate manner
A company team is considering paying for airfare, hotel, and transportation for foreign officials for the purpose of inspecting a facility in Strasbourg. The foreign officials would travel business class. An appropriate inspection takes place and, afterwards, the foreign officials would be treated to a moderately priced dinner, regular seats at a baseball game, and a play. Permissible:
What is Yes, this would likely be appropriate if recorded in a transparent and appropriate manner
Excessive commissions to third-party agents or consultants. Unreasonably large discounts to third-party distributors. Third-party consulting agreements that include only vaguely described services. Third-party consultants that are in a different line of business than that for which they are being engaged. Third parties related to or closely associated with a foreign official. Third parties that became part of a transaction at the express request or insistence of a foreign official. Third parties that are merely shell companies incorporated in an offshore jurisdiction. Third parties that requested payment to offshore bank accounts.
What are red flags.