Estimated reading time: 0 minutes, 57 seconds

SAP WHACKED FOR FOREIGN BRIBES Featured

SAP will pay $220 million to resolve cases by the SEC and the Department of Justice over bribes paid by its subsidiaries in South Africa, Azerbaijan and Indonesia, along with its overall Africa unit, to obtain business.

The amount to be paid, however, is being cut substantially by credits for payments to South Africa. SAP was given credit for immediately cooperating with South African authorities when accusations were first made in 2017. However, the SEC said SAP’s controls “did not address high risk of bribery in those countries” and failed to implement payment approval controls to make sure services were actually rendered  or expenses occurred and lacked entity-level controls. The South Africa offenses occurred from about 2013 through 2017 and from about 2015 and 2018 in Indonesia. The SEC and SAP agreed to $85 million in disgorgement and $13.4 million of prejudgment interest, but this is being offset by $59.5 million paid to South African authorities, resulting in a total required payment of $39 million. The Justice Department Assessed a criminal penalty of $111.8 million and an administrative forfeiture of $103 million. That will be credited up to $55.1 million for any amounts paid to South Africa in its investigation.

Read 313 times
Rate this item
(0 votes)

Visit other PMG Sites:

PMG360 is committed to protecting the privacy of the personal data we collect from our subscribers/agents/customers/exhibitors and sponsors. On May 25th, the European's GDPR policy will be enforced. Nothing is changing about your current settings or how your information is processed, however, we have made a few changes. We have updated our Privacy Policy and Cookie Policy to make it easier for you to understand what information we collect, how and why we collect it.