Enhanced enforcement of the foreign corrupt practices act: Improving the ethics of U.S. business practices abroad

Document Type

Article

Source of Publication

Research on Professional Responsibility and Ethics in Accounting

Publication Date

1-1-2012

Abstract

Empirical research demonstrates that bribery has a detrimental impact on investment, economic growth, trade, and democratic governments. In response to rising bribery activity and the additional burdens placed on corporate officials by the Sarbanes-Oxley Act of 2002, enforcement of the Foreign Corrupt Practices Act (FCPA) of 1977 has reached an all-time high. Although many managers, financial officers, entrepreneurs, and auditors are aware of the FCPA's objectives and mandates, many do not do an adequate job of protecting their firms, employees, and/or clients from fines and prison sentences. The purposes of this paper are to (1) analyze and describe bribery and FCPA case filings, sanctions, payments (bribes), and value of business to be obtained; (2) describe and analyze the important provisions of the FCPA; (3) discuss vicarious liability or the liability of U.S. firms and others for the acts of third parties; and (4) make recommendations to help firms improve their compliance with the FCPA. © 2012 by Emerald Group Publishing Limited.

ISBN

9781780527604

ISSN

1574-0765

Publisher

Emerald Group Publishing Ltd.

Volume

16

First Page

57

Last Page

91

Disciplines

Business

Scopus ID

84896308735

Indexed in Scopus

yes

Open Access

no

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