In the fifth largest FCPA case ever, and the first time the DOJ has coordinated with the French authorities in an overseas corruption case, Société Générale S.A. (SocGen) has agreed to settle bribery charges.
SocGen has been accused of paying over $90 million in bribes to Libyan officials. Between 2004 to 2009, SocGen allegedly paid bribes to a Libyan “broker” so the bank could land investments from Libyan state-owned financial institutions. In return, SocGen received 13 investments and one restructuring from Libyan state institutions worth $3.66 billion as well as $523 million in profits from these investments.
SocGen was charged by the DOJ with one count of conspiracy to violate the anti-bribery provisions of the FCPA and one count of transmitting false commodities reports. The bank has entered into a deferred prosecution agreement with the DOJ and has agreed to pay the DOJ $475 million in criminal penalties. SocGen has also reached a settlement with Parquet National Financier (PNF) in Paris and will pay the PNF $292.8 million (50 percent of the total criminal penalty payable to the United States) for which they will receive a credit towards the U.S. fine.
Due to SocGen’s “substantial, though not full, cooperation,” and its “significant remediation” the bank will not be appointed a monitor but will be subject to “ongoing monitoring” by France’s L’Agence Française Anticorruption.
For the full article click, here