Defendant Name:
ABB Ltd
Defendant Type:
Public Company
Document Reference:
2010-175
Document Details
Legal Case Name
SEC v. ABB Ltd
Document Name
SEC Charges ABB For Bribery Schemes in Mexico and Iraq
Document Date
29-Sep-2010
Document Format
Civil Proceeding
Allegation Type
Foreign Corrupt Practices Act
Document Summary
On September 29, 2010, the SEC announced that it charged ABB Ltd ("ABB") with violations of the Foreign Corrupt Practices Act ("FCPA") for using subsidiaries to pay bribes to Mexican officials to obtain business with government-owned power companies, and to pay kickbacks to Iraq to obtain contracts under the U.N. Oil for Food Program. According to the SEC's complaint filed in federal court in Washington, D.C., ABB's subsidiaries made at least $2.7 million in illicit payments in these schemes to obtain contracts that generated more than $100 million in revenues for ABB, a Swiss corporation that provides power and automation products and services worldwide. Without admitting or denying the SEC's allegations, the company has agreed to settle the charges. ABB consented to the entry of a final judgment that permanently enjoins the company from future violations of the federal securities laws, orders the company to pay $17,141,474 in disgorgement, $5,662,788 in prejudgment interest, and a $16,510,000 penalty. The order also requires the company to comply with certain undertakings regarding its FCPA compliance program. In related criminal proceedings, ABB has reached a settlement with the U.S. Department of Justice in which ABB will pay $19 million in criminal penalties.
Disgorgement & Penalty Information
Resolutions
Enjoinment
Various undertakings
Monetary Penalties:
Disgorgement
Individual:
$17,141,474.00
Shared:
Civil Penalty
Individual:
$16,510,000.00
Shared:
Pre-Judgment Interest
Individual:
$5,662,788.00
Shared:
