CCI columnist Mary Shirley digs into the recent FCPA resolution the DOJ reached with Boston Consulting Group over bribery allegations in Angola and what the case could signal for compliance practitioners across sectors.
Boston Consulting Group (BCG) recently resolved a Foreign Corrupt Practices Act (FCPA) matter with the DOJ by way of a declination and disgorgement penalty of more than $14 million despite there being evidence of bribery via a third-party sales intermediary engaged to assist with business in Angola.
The company has admitted that between 2011 and 2017, employees improperly paid a third party to secure business, and according to the DOJ, commissions promised to the third party were set at 20%-35% of any government contracts procured.
While the investigation found that bribery occurred, the DOJ assessed that there were sufficient mitigating factors for a declination. These factors are notable and offer many lessons for compliance practitioners, as do the firm’s efforts to improve its compliance program.
Factors contributing to declination
By way of a letter to the consulting group’s external counsel dated Aug. 27, the DOJ cited several factors in its decision to offer BCG a declination:
- Prompt self-disclosure
- Full cooperation and willingness to cooperate in future inquiries
- Type and…
