The u. S. Foreign corrupt practices act implications for international distributors

Examples show breadth of FCPA in practice

• Examples show breadth of FCPA in practice
• ▪ Pharmaceutical & medical device companies’ marketing practices under investigation: payments to MDs or employees of state-owned hospitals in China were to “foreign officials”
• ▪ Donations to legitimate charitable organizations prohibited if made at request of govt. official. Considered “indirect payment” to official
• ▪ Conviction of 2 American Rice executives who knew that it is illegal to bribe foreign officials, even though unaware of specific FCPA directives. US v. Kay, 513 F.3d 461 (5th Cir. 2008)
• ▪ Expansive jurisdiction: December 2008 Siemens settlement
• - Home office & conduct overseas; fined by Germany.
• - US still exerted jurisdiction under FCPA
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• Broad Application of FCPA