foreign agents, distributors, consultant, freight forwarders and jvs

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A review of FCPA compliance requirements for due diligence on foreign business partners; including agents, consultants, freight forwarders and joint venture partners. This presentation also discusses management relationship issues of business partners.


  • 1. William Shakespeare and the Tragedies ofForeign Agents, Distributors, Consultant,Freight Forwarders and JVsHistories as the Guide To The Road Ahead Thomas Fox IQPC-International Compliance and Ethics in Oil & Gas 2009 London-March 30 and 31, 2009

2. Legal Disclaimer The views stated herein are solely those of the author. 3. For Want of a Nail the Shoe was Lost For Want of a Shoe the Horse was Lost For Want of a Horse the Battle was Lost For Want of a Battle the Kingdom was Lost 4. Romeo and JulietAgentsFor never was a story of more woe / Than this of Juliet and her Romeo Willbros pays $22MM fine for payment of bribes in Nigeria 5. Hamlet-DistributorsSomething is Rotten inDenmark AGA pays $2MM for improper payments made by independent distributor 6. King Lear and the FoolJoint Ventures And I'll to bed at noon Halliburton pays $382 MM on behalf of KBR, which created the TSKJ Joint Venture to fund Consulting Agents in Nigeria 7. Macbeth and the Three WitchesFreight Forwarders Fair is foul, and foul is fair Vetco Gray pays $26MM for 268 separate bribespaid by the FreightForwarder Panalpina for shipmentsinto Nigeria. 8. Othello and Iago Consultants I pray you, in your letters, When you shall these unlucky deeds relate Baker Hughes pays $44MM for payments made to Isle of Man Consulting Firm mandated by KazakOil officials 9. TheThe PlayThe Tragedy IntermediaryHamlet-something is rotten in Willbros pays $22MM for payment of Agents Denmark bribes in NigeriaRomeo and Juliet-For never was aAGA pays $2MM for improper Distributors story of more woe / Than this of Julietand her Romeopayments made by independentdistributorKing Lear-And I'll to bed at noon Halliburton pay $382 MM for KBR Joint Ventures which created the TSKJ Joint Ventureto fund Consulting Agents inNigeria; KBR pays $20MM Macbeth-Fair is foul, and foul is fair: Vetco Gray pays $26MM for 268 FreightHover through the fog and filthy airseparate bribes paid by freightforwarders Panalpina in Nigeria. ForwardersOthello-I pray you, in your letters,Baker Hughes pay $44MM for ConsultantsWhen you shall these unlucky deedspayments made to Isle of ManConsulting Firm mandated byrelateKazak Oil officials 10. Macbeth (Redux) On January 30, 2009, Gerald Hodgkins, Assistant Director of the Division of Enforcement at the SEC, was asked to provide his personal predictions for 2009: continued high levels of voluntary disclosureof potential FCPA violations by companies; continued focus on specific industriesand industry-wide investigations; continued imposition of large fines anddisgorgement, alongside cases with more modest numbers; more actions brought against individuals; continued use of compliance monitors; and increased international cooperation. 11. Richard II Risk Based ComplianceOpinion Release 08-02AON Policy 12. Alec Guinness as Richard III Minimize your Riskand How Much is Enough US Gov Resources Other Public Resource Trace International DOJ Opinion Release Procedure 13. Henry IV Structure Post-Contract safeguards Audit Rights and DOJ Opinion 04-02 Contacts and Reporting 14. Henry V Joint Ventures or do you really want to go back to France alone6. Majority Controlled 7. Minority Participation 8. Existing JVs 15. Shakespeares Londonand President Obama Dont Let the Traffic Rush You