Internationl Business Law Essay Example | Topics and Well Written Essays - 750 words

Internationl Business Law - Essay ExampleMillions of dollars were too spent to pay up third parties that implicated embezzlement. It was found that there is an atmosphere of tolerance and correct the companys cultural acceptance of the practice in all levels of the corporation. There has been a opinionated implementation of this scheme that engaged the members of the organization (ibid). There was a failure by the internal safeguards of mho to clean up their business adequately in time prior to the case filed by the sec to their disadvantage. The main issue encompass the acts of the company in violation of the Foreign Corrupt Practices Act of 1977 (FCPA) beneath the United States federal law which punishes bribery of contradictory officials. This is in relation to the thrust of the Securities and Exchange focussing to regulate businesses under its jurisdiction. Specifically, the provisions of Sections 30A, 13(b)(2)(A), and 13(b)(2)(B) of the Exchange Act were violated (ibid). The court found in regard of the SEC and granted the highest settlement in this particular area where Siemens has offered $1.6 one million million million in wages for the fines and disgorgement provided under the law. Out of which, $350 million will go to the SEC in disgorgement, $450 million in criminal fine to the Department of Justice, about $569 million as fine to Germanys Office of the public prosecutor General in Munich. This is apart from the approximately $285 million Siemens has already paid in 2007 to the public prosecutor previously mentioned (ibid). In the end, the SEC and the State together with the German government won this case done an amicable settlement by the plaintiff and defendant. This is a good manifestation of the gravity of the battle against foreign bribery as a matter of policy showing the best possible sign of its effectiveness. This was an exemplar scenario where the company has offered on its own a momentous sum to rectify its deeds. The willi ngness of the Siemens to settle, granted that $1.6 billion is already a sizable sum, brings to caput the actual extent of the profit that they may have acquired through with(predicate) these dubious dealings. Further raising doubts is the fact that there are many countries involved in the proceeding investigated by the SEC. Upon scrutiny of this case and the outcome, it is immediately apparent that the United States and Germany got the best end of the bargain. It must be noted that there are a number of other countries who suffered with most of them developing countries. It brings to mind the question of what the others will get out of this case and will they benefit from Siemens mea culpa. 1. How do the Siemens penalties adjoin to the caps on fines discussed earlier in this chapter? Fines are a form of sanction on companies to deter them from committing offenses and engrave abuses to the expense of others. The penalty imposed upon Siemens is a glaring example for others not to follow gibe on the ill practices that they have previously engendered as a company culture. The likelihood of a significant fine that