Enacted in 1977, the Foreign Corrupt Practices Act (FCPA) makes it illegal for U.S. citizens, U.S. companies, and certain foreign companies to bribe a foreign government official in order to obtain or retain business. Since the FCPA was enacted, trade’s importance to the U.S. economy has significantly increased with exports now at approximately $2.5 trillion in 2018. Read More...
Unfortunately, the FCPA has not evolved to reflect these changes in the global economy. Despite the law’s good intentions, FCPA enforcement practices have created major uncertainty for American businesses who now face civil and criminal penalties for conduct they are either unaware of, or is the result of a single employee’s inappropriate actions.
The Department of Justice (DOJ) has put in place a new FCPA compliance program policy that rewards companies that develop and maintain compliance programs that are designed to deter and detect violations. Even further, the compliance program allows companies to disclose wrongdoings to potentially avoid criminal charges if reported in a timely manner.
ILR’s goal is to encourage other agencies to follow the DOJ’s example on compliance enforcement policies, and ensure that U.S. companies face greater certainty and predictability when it comes to complying with the FCPA.