FCPA (Foreign Corrupt Practices Act)

FCPA (Foreign Corrupt Practices Act)

Foreign Corrupt Practice Act cannot use any form or bribery to further any sort of business deal.

Which of the following actions of Sales, Inc, a U.S. Based corporation, appears to be illegal with NO affirmative defense available under the FCPA? A - company pays a fee to the government of a foreign country to obtain a sales and distribution license in the country B - company pays a commission to the chief customs officer of the foreign country based on the amount of gross sales each month C - company pays a fee that is authorized under the laws of the country, to the chief customs official of the foreign country for consulting with the company on compliance with custom laws D - company pays transportation tax to a foreign government official for the purpose of transporting its product throughout the country

B - company pays a commission to the chief customs officer of the foreign country based on the amount of gross sales each month

Which of the following actions is illegal under the Foreign Corrupt Practices Act? A - paying a license fee to a government to conduct business in the country B - paying a documentation fee to a government agency for filing corporate documentation C - paying an expedited fee to a customs agent to ensure that goods will move quickly through the customs process D - paying a fee to a governmental agency designated for policy and fire protection within a city limit

C - paying an expedited fee to a customs agent to ensure that goods will move quickly through the customs process

Which of the following is NOT subject to FCPA? A - a U.S. corporation B - An Asian corporation with offices throughout the world, including the U.S. C- A European corporation with offices only in Europe D - an employee of a U.S. corporation

C- A European corporation with offices only in Europe

Affirmative defenses to claims of corrupt foreign practices includes:

anything of value made lawful under the written laws and regulations bona fide expenditure (travel, lodging) incurred by or on behalf of a foreign official that was directly related to the promotion, demonstration or explanation of products or services

foreign person as it relates to the FCPA

cannot engage in bribery on US soil or they are subject to the consequences.