Explore BrainMass

Explore BrainMass

    Sarbanes Oxley and payments

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    My business paid $125,000 to a German politician to allow a purchase of a German based company. My business also paid a plant manager $2,000 to a German port officer to allow a shipment to be completed.

    Describe how each of these payments would be affected by the Foreign Corrupt Practices Act of 1977(FCPA), Sarbanes-Oxley Act of 2002(SOX) and Security and Exchange Policy(SEC)

    © BrainMass Inc. brainmass.com October 1, 2020, 8:14 pm ad1c9bdddf

    Solution Preview

    Foreign Corrupt Practices Act of 1977(FCPA):

    In response to illegal political contributions and bribery payments to foreign officials by large corporations in the 1970s, Congress enacted the FCPA in 1977 to prohibit foreign bribery. The FCPA consists of two parts: (1) an anti-bribery provision, and (2) for public companies, an accounting requirement.

    The anti-bribery provisions prohibit the bribery of foreign government officials to obtain or retain business. Those subject to the anti-bribery prohibition include any domestic company, any foreign company registered with the U.S. Securities and exchange Commission or required to file periodic reports with the SEC, any person acting on behalf any such an entity, any U.S. individual, or any non-U.S. person within United States jurisdiction.

    The U.S. Department of Justice (DOJ) is responsible for the criminal prosecution of violations of these anti-bribery provisions, while the SEC has civil ...

    Solution Summary

    Sarbanes Oxley and payments