Ethical Considerations for the Organization

Question 1

A major impact of the Foreign Corrupt Practices Act of 1977 is that registrants subject to the Securities Exchange Act of 1934 are now required to

Answer 1

keep records that reflect the transactions and dispositions of assets and to maintain a system of internal accounting controls

a major ramification is that it requires all companies that register with the SEC to maintain adequate records and a system of internal accounting controls

Question 2

the United Kingdom Bribery Act of 2010 recognizes four offenses

Answer 2

-offering, promising, or giving an advantage
-requesting, agreeing to receive, or accepting an advantage
-bribery of a foreign public official
-failure by a commercial organization to prevent a bribe being paid to gain or retain business or a business advantage

Question 3

the FCPA prohibits corrupt payments (bribery) to any

Answer 3

-foreign official
-foreign political party or official thereof
-candidate for a political office in a foreign country

Question 4

the FCPA does not prohibit

Answer 4

-commercial bribery (of a foreign business owner or corporate officer)
-passive bribery (receipt of a bribe)
-failure to prevent bribery