Access over 20 million homework & study documents

5877 edited

Content type
User Generated
School
Havard university
Rating
Showing Page:
1/4
Surname 1
Name
Instructor
Course
Date
Posting #4
The Foreign Corrupt Practices Act (FCPA) is still functional today. The Foreign
Corrupt Practices Act is a piece of legislation ratified in 1977 to prevent unfair business practices
by US citizens or companies abroad (Department of Justice para. 1). The gist of this article is
that the current haze that Covid-19 casts over the business world also has a bearing on the rate of
corruption in the world. For instance, Goldman Sachs parted with a hefty $2.7 billion in
settlements in 2020 (Adolfsen para. 2). Corruption arises in this era mainly through bottlenecks
and scarcity of resources (Adolfsen para. 4 7). The high pressure inherent to these times is
highly conducive to corruption (Adolfsen para. 6). It is recommended that companies enhance
their compliance with the law instead of succumbing to the temptation to find shortcuts through
corrupt practices (Adolfsen para. 8, 9). This article is related to three concepts from the readings.
First, the concept of bribery is evident where companies are being dissuaded from parting with
funds to gain an advantage over competitors. Second is foreign corruption as distinguished from
local corruption. Instances of foreign corruption are very keenly monitored by the SEC and the
DOJ. Third is cultural relativism. Companies are at risk of running afoul of the US anti-
corruption laws and those of other countries, meaning that there is a considerable amount of
relativism in international business laws, and a business must comply with several sets of
business laws concurrently.

Sign up to view the full document!

lock_open Sign Up
Showing Page:
2/4
Surname 2
Cognizant Looks to Settle Indian Bribery Case for $95M. Cognizant, an international
telecommunications company, is in court for bribing senior government officials in India.
Allegedly, the company authorized a contractor it had hired to pay a $2 million bribe to smooth
the construction of a corporate campus in Chennai (Kovar para. 6). Cognizant has offered a
settlement of $95 million to eliminate the uncertainty, burden, and expense of further protracted
litigation” (Kovar para. 13). However, the company is adamant that the settlement should not be
mistaken for an overt admission of liability (Kovar para. 14). The first concept this article aligns
with is that US companies follow business laws in the country of operations. Cognizant had to
follow the civil laws for construction in India, which is why it was slapped with a class-action
lawsuit. The second concept is that a US company is prohibited from paying any money to any
government official or aspirant for the sake of “obtaining, retaining or directing business.” The
third concept is that of allowing small payments to foreign officials who are lower ranked. It is
mentioned that Cognizant failed to use the proper channels to incentivize the construction of its
corporate campus.
Corrupt Oil Trader Turns On Colleagues in Massive Africa Bribe Case
Glencore Plc is a company that, among other things, does mining in developing countries,
especially in Africa (Bloomberg News para. 4). Anthony Stimler, a former employee of the firm,
is helping the Department of Justice to run down the culprits responsible for the massive
amounts of corruption around the granting of mining rights to US companies in developing
countries (Bloomberg News para. 5). Anthony Stimler cooperated with the government to boost
his chances of getting a reduced or relatively lenient sentence. The first concept is that the US
strongly prohibits bribery of government officials. In this case, the Nigerian minister Madueke is
one of the officials that received large bribes from Glencore for priorities in crude oil shipments.

Sign up to view the full document!

lock_open Sign Up
Showing Page:
3/4

Sign up to view the full document!

lock_open Sign Up
End of Preview - Want to read all 4 pages?
Access Now
Unformatted Attachment Preview
Surname 1 Name Instructor Course Date Posting #4 The Foreign Corrupt Practices Act (FCPA) is still functional today. The Foreign Corrupt Practices Act is a piece of legislation ratified in 1977 to prevent unfair business practices by US citizens or companies abroad (Department of Justice para. 1). The gist of this article is that the current haze that Covid-19 casts over the business world also has a bearing on the rate of corruption in the world. For instance, Goldman Sachs parted with a hefty $2.7 billion in settlements in 2020 (Adolfsen para. 2). Corruption arises in this era mainly through bottlenecks and scarcity of resources (Adolfsen para. 4 – 7). The high pressure inherent to these times is highly conducive to corruption (Adolfsen para. 6). It is recommended that companies enhance their compliance with the law instead of succumbing to the temptation to find shortcuts through corrupt practices (Adolfsen para. 8, 9). This article is related to three concepts from the readings. First, the concept of bribery is evident where companies are being dissuaded from parting with funds to gain an advantage over competitors. Second is foreign corruption as distinguished from local cor ...
Purchase document to see full attachment
User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.

Anonymous
Great content here. Definitely a returning customer.

Studypool
4.7
Trustpilot
4.5
Sitejabber
4.4