Monday, February 7, 2011

California Company Agrees To Pay $8 Million Criminal Penalty To Resolve FCPA Violations

San Diego, California-based, publicly-traded Maxwell Technologies Inc. (NASDAQ:MXWL)has agreed to pay a criminal fine of $8 million to settle charges that it violated the US Foreign Corrupt Practices Act (FCPA) by bribing Chinese officials to secure sales of Maxwell’s products to state-owned manufacturers of electric-utility infrastructure in several Chinese provinces. According to authorities, Maxwell's Swiss subsidiary, Maxwell S.A., engaged a Chinese agent to sell its products in China, paying more than $2.5 million to the agent over a 7 year period. The agent in turn, bribes to Chinese officials of state-owned entities in order to secure contracts.

Read the story here and here.

Read the DOJ announcement here.

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