The Basics of the Foreign Corrupt Practices Act (FCPA)

Recordkeeping and The FCPA

The FCPA can also be violated by improperly recording payments to third parties even if those payments are not bribes. In other words, intentional, inaccurate recording of any payment is a violation. Failure to describe what actually occurred could be a violation. For example the payment of a lawful commission, intentionally recorded for some reason as a service a contract, may be a violation of the FCPA. In such circumstances a prosecutor does not have to prove that payment was a bribe in order to prove a violation of the statute.