Foreign Corrupt Practices Act
The SEC whistleblower program provides for rewards for individuals who provide the government with information concerning violations of the Foreign Corrupt Practices Act (“FCPA”) of 1977 that fall under the SEC’s jurisdiction.
The FCPA was enacted in 1977 in an effort to halt widespread bribery of foreign officials, and was intended to create a level playing field for honest businesses and restore public confidence in the integrity of the marketplace.
The FCPA addresses the problem of international corruption in two ways: (1) the Anti-Bribery provisions, which prohibit the bribing of foreign government officials to obtain or retain business and (2) the Accounting provisions, which impose record-keeping and internal control requirements, and prohibit individuals and companies from knowingly falsifying books and records.
The Department of Justice and the SEC share FCPA enforcement authority. In actions brought by the SEC, the statute of limitations is set by 28 U.S.C. §2462, which provides for a five-year limitation, which begins to rub “when the first claim accrued.” While five-year limitations period does prevent the SEC from seeking civil penalties for violations pre-dating the five-year period, the SEC may still seeking disgorgement of ill-gotten gains in such cases.
If you have knowledge of an FCPA violation or other securities law violations and would like to discuss the possibility of a whistleblower award under the SEC or CFTC whistleblower programs, please contact our whistleblower attorneys today. Kenney & McCafferty will consult with you about your case, without obligation. All communications with Kenney & McCafferty attorneys regarding your case are confidential and protected by attorney-client privilege.