Sunday, November 14, 2010
DOJ Settles Seven FCPA Cases and Announces New Minimum Standards for Corporate FCPA Compliance Programs
The Department of Justice and Securities and Exchange Commission (SEC) resolved seven FCPA cases last week involving the oil and gas industry. The cases involved bribes to numerous foreign officials relating to the import of goods and materials in foreign jurisdictions. To resolve the investigations each company entered into a deferred prosecution agreement and a total of nearly $122 million in fines were paid.
Each of the Deferred Prosecution Agreements included an attachment entitled “Corporate Compliance Program,” which reflect DOJ’s current position on minimum standards for FCPA compliance programs. The standards require, among other things,
i. clearly articulated and visible policies against violations of the FCPA,
ii. visible corporate support of such policies,
iii. implementation of compliance standards and procedures designed to reduce FCPA violations, and
iv. the assignment of responsibility for the implementation and oversight of such policies, standards and procedures to “one or more senior corporate executives.”