An article for Today's General Counsel authored by Howard A. Scheck, KPMG LLP (U.S.)
Recent Foreign Corrupt Practices Act (FCPA) enforcement action paints a vivid picture of where in books and records the Securities and Exchange Commission (SEC) has found violations. Knowing where the SEC is looking can help a company assess its own bribery risks and design targeted data analytics to search books and records for potential corrupt payments.
This article offers a study of 70 SEC FCPA enforcement actions since 2009, including:
- an analysis of the accounting classifications and key terms used to inaccurately record, falsify, and/or disguise improper payments
- the kinds of benefits that companies have procured, or attempted to procure, through alleged bribery schemes
- typical internal controls allegations.