Telecommunications Industry Giant Agrees to $137 Million Combined Settlement in FCPA Cases
Summary: Government regulators closed the 2010 Foreign Corrupt Practices Act (“FCPA”) enforcement calendar with a flourish in reaching an agreement with global telecommunications giant Alcatel-Lucent for a combined penalty of $137 million in fines and disgorgement to resolve a far-reaching FCPA investigation. As part of the resolution, both the Securities and Exchange Commission and the Department of Justice filed actions against the company. While the government’s active pursuit of companies in the telecom industry has been largely overlooked, the resolution of this case sends a clear message that this industry is squarely within the government’s sights. The attached Client Alert discusses details of the agreement and what it could mean in the future for public and private companies with global operations.