What are the 5 elements of FCPA?
The FCPA makes it a crime to: 1) make a payment of, offer or promise to pay, or authorize a payment of money or anything of value, directly or indirectly; 2) to any foreign official, politician, party official, candidate for office; 3) with a corrupt intent; 4) for the purpose of influencing one of these person’s …
What are the three specific provisions of the FCPA?
This act had three major parts: (1) it required the keeping by corporations of accurate books, records, and accounts; (2) it required issuers registered with the Securities and Exchange Commission to maintain a responsible internal accounting control system; and (3) it prohibited bribery by American corporations of …
What does the Foreign Corrupt Practices Act do?
Under the Foreign Corrupt Practices Act (FCPA), it is unlawful for a U.S. person or company to offer, pay, or promise to pay money or anything of value to any foreign official for the purpose of obtaining or retaining business.
What does the Foreign Corrupt Practices Act FCPA require that all US corporations under the jurisdiction of the Securities and Exchange Commission SEC do?
Pursuant to its anti-bribery purpose, the FCPA amends the Securities Exchange Act of 1934 to require all companies with securities listed in the U.S. to meet certain accounting provisions, such as ensuring accurate and transparent financial records and maintaining internal accounting controls.
What are the two main components of the Foreign Corrupt Practices Act FCPA?
The FCPA has two primary provisions: (1) an anti-bribery provision which makes it unlawful for a U.S. company or citizen, and certain foreign issuers of securities, to make a corrupt payment to a foreign official for the purpose of obtaining or retaining business and (2) an accounting provision which requires companies …
What are the two accounting requirements imposed by the FCPA on public companies?
The FCPA has two related accounting requirements: (1) books and records; and (2) internal controls.
Which of the following best describes an important provision of the US Foreign Corrupt Practices Act?
Which of the following best describes an important provision of the U.S. Foreign Corrupt Practices Act? … The FCPA states that all public companies registered under the 1934 Act must devise and maintain a system of internal accounting control sufficient to provide reasonable assurance against material misstatements.
What is the main provision of the FCPA quizlet?
The Foreign Corrupt Practices Act of 1977 (FCPA) (15 U.S.C. § 78dd-1, et seq.) is a United States federal law known primarily for two of its main provisions, one that addresses accounting transparency requirements under the Securities Exchange Act of 1934 and another concerning bribery of foreign officials.
Who does the US Foreign Corrupt Practices Act apply to?
Who Is Covered by the FCPA? The FCPA applies to two broad categories of persons: those with formal ties to the United States and those who take action in furtherance of a violation while in the United States. U.S. “issuers” and “domestic concerns” must obey the FCPA, even when acting outside the country.
What is the purpose of the Foreign Corrupt Practices Act quizlet?
A US law passed in 1977, which prohibits US firms and individuals from paying bribes to foreign officials in light of a business deal. There is no minimum for punishment of a bribery payment. You just studied 8 terms!
What are the benefits of complying with the FCPA?
In drafted and implemented appropriately, an FCPA compliance program will: serve as an invaluable tool against corruption, promote ethical conduct within the company, reduce the societal costs of corruption, and foster business expansion domestically and globally.
What was the purpose of the Foreign Corrupt Practices Act of 1977 was the act successful?
The act prohibits bribery of foreign officials and intends to deter corruption and abuses of power worldwide. The FCPA contains policies for governing the actions of publicly traded companies, their directors, officers, shareholders, agents, and employees.