Earlier today, we looked at the arrest of company executives and employees attending the SHOT Show in Las Vegas for violations of the Foreign Corrupt Practices Act (FCPA).
The what?
The Department of Justice has posted a "Lay-Person's Guide" on its website. Now would be a good time to review some of the highlights:
The FCPA makes it unlawful to bribe foreign government officials to obtain or retain business. With respect to the basic prohibition, there are five elements which must be met to constitute a violation of the Act:
A. Who -- The FCPA potentially applies to any individual, firm, officer, director, employee, or agent of a firm and any stockholder acting on behalf of a firm. Individuals and firms may also be penalized if they order, authorize, or assist someone else to violate the antibribery provisions or if they conspire to violate those provisions...
B. Corrupt intent -- The person making or authorizing the payment must have a corrupt intent, and the payment must be intended to induce the recipient to misuse his official position to direct business wrongfully to the payer or to any other person...
C. Payment -- The FCPA prohibits paying, offering, promising to pay (or authorizing to pay or offer) money or anything of value.
D. Recipient -- The prohibition extends only to corrupt payments to a foreign official, a foreign political party or party official, or any candidate for foreign political office...a member of a royal family, a member of a legislative body, or an official of a state-owned business enterprise [could] be considered a "foreign official."
E. Business Purpose Test -- The FCPA prohibits payments made in order to assist the firm in obtaining or retaining business for or with, or directing business to, any person. The Department of Justice interprets "obtaining or retaining business" broadly, such that the term encompasses more than the mere award or renewal of a contract. It should be noted that the business to be obtained or retained does not need to be with a foreign government or foreign government instrumentality.
That's a broad-brush overview. The guide includes permissible payments, affirmative defenses, sanctions, guidance...and from the main FCPA page you can access further information, including:
Opinion Procedure Releases (1993 - Present)
Review Procedure Releases (1980 - 1992)
Lay-Person's Guide to the FCPA Statute (June 2001)
International Agreements Relating to Bribery of Foreign Officials
Other FCPA & Anti-Corruption Sites
I'm going to be talking more about the arrests in the coming days and as new information becomes available. For now, I just wanted to make sure readers knew of this resource.
Tomorrow we're going to look at the investigation and one of the principals behind it.
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More from the SHOT Show: SAF attorney tells press conference ‘You can’t pick and choose’ from Bill of Rights
Comments
Note that the provisions of FCPA do not prohibit the Senate Majority Leader from bribing any senator for the purposes of passing any part of Nancy Pelosi's agenda.
Way to go, federal government -- make America even more competitive internationally.
Proverbs 17:8
A bribe is a charm to the one who gives it; wherever he turns, he succeeds.
Proverbs 21:14
A gift given in secret soothes anger, and a bribe concealed in the cloak pacifies great wrath.
DDS - I was thinking the exact same thing as I read the article. Thanks for expressing my very thoughts.
I'm right there with you DDS and Tex. The bribes described are the standard operating procedure for the Executive branch and congress, and those participating should be charged, prosecuted, fined, and imprisoned. Why does our law prosecute foreigners for actions regarded as normal by our own government employees?
Nelson, Landreiu, Reid, et al. are headed to prison? What a great day!
Whaadaumean bribery of politicians ia legal?
Lobbying has finally been outlawed? What do ya know. Miracles do still happen. But my question is: Is the United States Penal System large enough to incarcerate most of the un-indicted felons who haunt the steps of our legislative chambers and still maintain the current status quo population of criminals?
Lets see here for a second. The FBI agents acted as if they worked for an off shore country and wanted to by products and wanted a personal 20 percent commission. Okay, clearly it seems like the employees didn't hunt down these countries to make sales more so the FBI set up an entrapment. If the FBI agents contacted these companies with the intent to get these American companies employees to break the law. That is my understanding of entrapment.
It is funny how it is never mentioned about the Informant working off charges that went out (on behalf of the FBI) and recruited these people.
"fair play"--If you have verifiable information on this you are willing to share, please email me: dcodreaAThotmailDOTcom
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