Question

Examine the SEC enforcement actions against violators of the FCPA on the "SEC Enforcement Actions: FCPA Cases" web page. Look at several different examples from the site. Note that detailed information about each case is available if you click on the name of the company.
What are the typical repercussions for violators of the Act?

Answer 1

Answer:

Typical repercussions include;

1. Payment of huge amounts to resolve charges of corrupt practices by SEC.

2. Permanent bar from the securities industry.

Explanation:

The Securities Exchange Commission has among its other roles, the enforcement of the Foreign Corrupt Practices Act. It has been discovered that most organization engage in acts of corruption such as bribery in their business dealings.

When SEC finds organizations wanting in this regard, they charge them to court for violating their rules. Typical repercussions from the many examples of organizations who violated these rules include;

• being barred from the securities industry as in the case of Tim Leissner.

• majority of the companies listed, also paid huge amounts of monies running into millions of dollars to resolve the charges against them.