Archive for the ‘Foreign Corrupt Practices Act’ Category

SEC Sues Over Kickbacks Related to Humanitarian Aid

Sunday, December 23rd, 2007

After the Persian Gulf War, as part of continued sanctions against Saddam Hussein’s regime, the United Nations prohibited Iraq from selling oil.  As a humanitarian gesture, though, it allowed Iraq to sell oil on the world market in order to raise money for food and other humanitarian supplies.  That limited relaxation of economic sanctions was known as the U.N. Oil-for-Food Program.   (more…)

SEC Files Bribery Case

Monday, December 17th, 2007

The Securities and Exchange Commission  has charged former Chairman and CEO of Schnitzer Steel Industries, Inc., Robert W.  Philip with violating the anti-bribery provisions of the Foreign Corrupt Practices Act (FCPA).   Specifically, the complaint alleges that Philip authorized payment of more than $200,000 in cash bribes and other gifts to managers at government-owned steel mills in China and more than $1.7 million in payments to managers of privately owned steel mills in both China and South Korea to induce them to purchase scrap metal from Portland-based Schnitzer.  

According to the SEC, Schnitzer generated almost $600 million in revenue from sales to customers who had received the improper payments.