Two Individuals Fined for Bribing Foreign Officials
The Securities and Exchange Commission announced Nov. 17 that two former employees in an overseas office of a U.S.-based defense contractor will pay $20,000 and $50,000, respectively, for violating the Foreign Corrupt Practices Act. These individuals were charged with providing expensive watches to government officials in Saudi Arabia whom they believed were important to their company’s sales and taking some of them on a “world tour” prior to and following a trip to their company’s U.S. facilities for a factory equipment inspection. They also falsified records in an attempt to cover up their misconduct. The SEC notes that prior to engaging in these activities both individuals had taken FCPA training at their company that specifically identified luxury watches and side trips as prohibited gifts.