Bribery and Kickbacks in Europe and Iraq – SEC Settlement
The U.S. Securities and Exchange Commission (SEC) charged Johnson & Johnson with violating the Foreign Corrupt Practices Act (FCPA) by bribing public doctors in several European countries and paying kickbacks to Iraq to illegally obtain business. The SEC alleged that, since at least 1998, J&J subsidiaries paid bribes to public doctors in Greece who selected J&J surgical implants; public doctors and hospital administrators in Poland who awarded contracts to J&J; and public doctors in Romania to prescribe J&J pharmaceutical products. The SEC also alleged that J&J subsidiaries paid kickbacks to Iraq to obtain 19 contracts under the United Nations Oil for Food Program. J&J settled the SEC’s charges by paying $48.7 million in disgorgement and prejudgment interest. J&J also paid $21.4 million to settle parallel criminal charges filed in the matter by the U.S. Department of Justice.
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- Enforcement Agency
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- Date of Settlement Announcement
|Johnson & Johnson||$48,666,316|