Baker Hughes to Pay Record Penalty To Settle Kazakhstan Bribery Charges

On April 26, 2007, the SEC filed a settled enforcement action in the U.S. District Court for the Southern District of Texas, charging Baker Hughes Inc., with violations of the Foreign Corrupt Practices Act (“FCPA”). Baker Hughes agreed to pay more than $23 million in disgorgement and prejudgment interest for these violations and a civil penalty of $10 million. The charges stem from alleged violations of a 2001 SEC cease-and-desist Order, which prohibited violations of the books and records (and internal controls) provisions of the FCPA.

For more on this action, see SEC v. Baker Hughes.

Advertisements

One Response

  1. I have just fired for an US company at Brazil and I inform you that this company had already problems with SEC and DOJ previously. In fact, they have implemented a FCPA compliance program based on guide of ethical conduct as it statetment of essential ethical guide for its employees.

    Based on this guide, I took the “concern” first to my immediate superior and later to our Human Resource Manager and strangely enough my denouncing of possible irregularities (bribes, inefficiency, etc) triggered a process of retaliation against me on part of my immediate superior that culminated in my dismissal around 40 days later.

    I would say that this brief history just ended the way it did because I based myself on the Ethical Conduct Guide of the company (FCPA) that cites items about Integrity, Excelence, Team work and Responsability and I ended up notifying a “concern” about possible irregularities “rumors of bribes” and bad Administrative pratices at the first possible opportunity.

    I believed in your Ethical Conduct Guide (FCPA) that supposeally protect an employee against retaliation on part of his boss. Well, it did not protect me !

    “Company Ethical Guide”

    “The company also acts to protect you from any revenge or retaliation as a result of reporting violations”.

    “You have a duty to report any violations of this guide and, while you may iniatially reluctant to “get involved” it is important to note that failure to report violations

    can have substancial consequences. In addition to ……. So, when in doubt, speak up”

    So, I did the right thing and see what happened ! I do not really understand why they did not protect a prospective witness

    After my dismissal, I took the corcern to US headquarter and 2 months have been elapsed since my dismissal and evertyhting that I heard since than “I can assure you that appropriate steps are taking place to look into the concern”.

    Please let me know by return if this company have already violated FCPA Compliance Program violating their own guide of ethical conduct in my case, dismissing after a dennounce and how long does it take for the company reach a final resolution of this matter taking in consideration my official dennounce. As a matter of fact, there is anything else I can do right now in your perspective to assure FCPA will not be violated anymore in my case. Reply to my email

    Best Regards,

    Sérgio Santos

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: