Siemens, a German company that subjected itself to U.S. jurisdiction through its very significant U.S. business, violated
Question:
During this period, Siemens made thousands of payments to third parties in ways that obscured the purpose for, and the ultimate recipients of, the money. At least 4,283 of those payments, totalling approximately $1.4 billion, were used to bribe government officials in return for business to Siemens around the world. Among others, Siemens paid bribes on transactions to design and build metro transit lines in Venezuela; metro trains and signalling devices in China; power plants in Israel; high voltage transmission lines in China; mobile telephone networks in Bangladesh; telecommunications projects in Nigeria; national identity cards in Argentina; medical devices in Vietnam, China, and Russia; traffic control systems in Russia; refineries in Mexico; and mobile communications networks in Vietnam. Siemens also paid kickbacks to Iraqi ministries in connection with sales of power stations and equipment to Iraq under the United Nations Oil-for-Food Program. Siemens earned more than $1.1 billion in profits on these transactions.
1. How do the Siemens' penalties relate to the limits on fines imposed by the Alternative Fines Act, discussed earlier in this chapter?
2. Why was a German company subject to the U.S. FCPA? Do you think FCPA enforcement is effective if the foreign officials accepting the bribes are not held accountable?
3. Why did Siemens' internal efforts to stop corruption not result in more lenient treatment from the U.S. government?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
International Business Law And Its Environment
ISBN: 9781305972599
10th Edition
Authors: Richard Schaffer, Filiberto Agusti, Lucien J. Dhooge
Question Posted: