The Foreign Corrupt Practices Act & Government Contractors: Compliance Trends & Collateral Consequences
The George Washington University Law School
June 7, 2012
Briefing Papers, Nos. 11-9, August 2011
GWU Legal Studies Research Paper No. 586
GWU Law School Public Law Research Paper No. 586
As Government contractors expand their business overseas, they expose themselves to the risk of violating the Foreign Corrupt Practices Act (FCPA) and the high sanctions that accompany those violations. Given the nature of a Government contractor’s business, they are naturally at greater risk of violating the FCPA than those companies that do not interact with Government officials on a regular basis.
This article begins by providing an overview of the FCPA and a review of recent FCPA enforcement trends, and then considers the collateral consequences of a violation of the FCPA by Government contractors. In addition to fines, penalties, and possible incarceration, Government contractors have additional concerns, including the risk of suspension or debarment from the U.S. procurement regime. Exclusion from contracting with foreign governments and international organizations, including the World Bank and EU member states, is also an increasing risk. This article is an essential primer for any Government contractor that may be exposed to FCPA liability and seeks to avoid or limit the potential collateral consequences.
Number of Pages in PDF File: 25
Keywords: FCPA, Foreign Corrupt Practices Act, Government Contracts, Procurement, Corruption, Anticorruption, Voluntary Disclosure, Bribery, Antibribery, Suspension, Debarment, Bribery Act, World Bank, Corporations, Corporate Settlements, Corporate Prosecutions, Incarceration, Forfeiture, Disgorgement, Settle
JEL Classification: F23, G15, G18, G38, H10, H40, H50, H41, H54, H56, H57, H59, H77, K14, K19, K22, K23, K33, K42, L14
Date posted: September 8, 2011 ; Last revised: June 8, 2012