U.S. Foreign Corrupt Practices Act
The U.S. Foreign Corrupt Practices Act makes it illegal for entities and persons with U.S. ties to make payments and other expenditures in an effort to corruptly influence government officials and political figures outside the United States. The statute's anti-bribery provisions apply to U.S. entities, U.S. persons, and issuers of securities listed in the United States. The provisions also reach non-U.S. firms and persons who take any act in furtherance of a prohibited payment while in the United States.
The FCPA also requires both U.S. and non-U.S. companies with securities listed in the United States to comply with certain accounting provisions. These accounting provisions require publicly held companies to keep books and records that accurately reflect transactions and to maintain internal accounting controls.
The U.S. Justice Department and the Securities and Exchange Commission have authority to enforce the FCPA and conduct investigations of alleged violations, and have dramatically increased their enforcement activities in recent years. They have used both the anti-bribery provisions and the accounting provisions in numerous prosecutions for a broad range of payments and expenditures deemed to be in violation of the FCPA.
Counseling and representing clients on FCPA issues is a major focus of the Troutman Sanders Special Investigations Practice Group. As U.S. law enforcement authorities have made FCPA a priority in response to the expansion and complexity of cross-border business, early and careful attention to potential exposure under the statute has become increasingly important. Our FCPA clients include a wide variety of public, private, large and small, U.S.-based and non-U.S. companies, and individuals.
As the need appears, we assist our clients in developing compliance systems, training, compliance auditing, internal investigations, regulatory and law enforcement investigations, and defense to any prosecutions.
Our Washington, DC office is the center of this enforcement-focused expertise, with Daniel S. Seikaly leading the team. Dan’s experience was developed as Chief of the Criminal Division and Transnational and Major Crimes Section of the United States Attorney’s Office for the District of Columbia where he coordinated and supervised prosecutions for violations of the FCPA, export control regulations and trade sanctions, as well as international terrorism, air-piracy, hostage taking, money laundering and espionage cases and as Director of the Executive Office for National Security where he was responsible for coordination and oversight of the national security activities of the Department of Justice.
Also resident in the D.C. office is Roscoe Howard, U.S. Attorney for D.C. in 2001-2004, and in Atlanta, DeWitt Rogers, both of whom have extensive experience in counseling and representing clients on FCPA matters. Their resumes are attached also; and they are supported by partners and associates in the Special Investigations Practice Group in D.C., Atlanta, New York and Richmond.
Recent FCPA engagements have included:
- Representations in response to investigations by the U.S. Justice Department and the Securities and Exchange Commission of alleged FCPA violations relating to transactions in Europe and the Middle East.
- Assisting U.S. companies in establishing and implementing new FCPA compliance programs.
- Advising European companies on enhancements to their international anti-corruption compliance programs, including the FCPA compliance activities of their U.S. subsidiaries.
- Advising companies on the application of the FCPA to their operations in China.
- Counseling a U.S. industrial supplier on an internal audit of its non-U.S. business activities.