U.S. enforcement of the Foreign Corrupt Practices Act puts our nation among the top four enforcers of international standards against cross-border corruption, according to a report by Transparency International released at the end of August.
The report divides the 41 OECD anti-bribery convention countries into those with active, moderate, limited or no enforcement. The United States, German, United Kingdom and Switzerland were the four countries with active enforcement. Four countries improved one category from their 2014 progress report.
Still, there are problems. More than half (22 of 41) of the countries failed to investigate or prosecute any foreign bribery case during the last four years. The OECD Anti-Bribery Convention established legally binding standards to criminalize bribery of foreign public officials in international business transactions. 32 OECD members and 7 non-member countries adopted the Convention, which went into force on February 15, 1999.
Brazil’s enforcement is still classified as little or no enforcement however it was able to more than double its scoring under the point system and it was only one point below classification among the countries with limited enforcement. Brazil has been pursuing enforcement actions against corruption inside its country related to Petrobras and the government’s tax collection.
We expect that the United States will make additional gains in FCPA enforcement as it continues to work through leads in this area provided pursuant to the SEC whistleblower program.