In an effort to aid companies in that endeavor, this article will briefly discuss the substance of the FCPA and then point out some common “red flags” that should be identified and addressed through any effective compliance program.
FCPA Overview
The FCPA was enacted in 1977 in an effort to end the practice of some multinational corporations obtaining business abroad by bribing foreign officials. The statute itself is a fairly simple anti-bribery and record-keeping statute, which criminalizes the act of offering or giving any payment, gift or thing of value to a foreign official for the purpose of obtaining or retaining business or in order to obtain an improper business advantage.
