Question

(guidance on what I need/how) Can you put this in Issue, Rule, Analysis, Conclusion (IRAC) so, I can add to it and so I can make sure I am on the right track. My book is International Business Law and its Environment. "Schaffer, Augusti" The case is in bold and I would have to copy the case out the book. I can do that if you like.

(Work) Case Analysis - Ethical Issue: Securities and Exchange Commission v. Siemens Aktiengesellschaft, SEC Litigation Release no. 20829 (December 15, 2008) found on 452 Please break it down for me.

I truly appreciate all your help and guidance. God Bless

Answer 1

SEC v. Siemens AG

20829, December 15 2008

Introduction

SEC filed corruption charges against Siemens AG for worldwide bribery and unfair practices in the District Court of Columbia.

Issue

SEC brought a corruption complaint against Siemens AG. The complaint stated that Siemens had engaged in a systematic practice of bribing foreign government officials to acquire new deals for their organization. SEC complaint also included the statement that Siemens internal audit and control policy was very weak and as a result the corrupted practice flourished. The statement also stated that not only Siemens but the subsidiaries are guilty in the bribery practices across the organization.

Rule

FCPA standards and 30A of Securities Exchange Act prohibits any kind of bribery by organization. This is applicable not only within the national boundary but also in operations in foreign country. The rule states that any kind of external influence to foreign officials to a specific judgement within their capacity will be considered bribery.

Analysis

The scope of analysis in this particular case is limited. As it was proven through the transactional history of Siemens AG that there have been malpractice within the organization. In addition to this, Siemens AG also pleaded guilty to violating the FCPA standards and rules.

Conclusion

The case concluded when Siemens AG was ordered to pay a criminal fine of $450 million and $350 million in violation of SEC rules in USA. In Germany, they were ordered to pay $569 million.