Defendant Name:
Oracle Corporation
Defendant Type:
Public Company
Document Reference:
2012-158
Document Details
Legal Case Name
SEC v. Oracle Corporation
Document Name
SEC Charges Oracle Corporation With FCPA Violations Related to Secret Side Funds in India
Document Date
16-Aug-2012
Document Format
Civil Proceeding
Case Number
12-cv-04310
Federal District Court
California, Northern District of California
Allegation Type
Foreign Corrupt Practices Act
Document Summary
On August 16, 2012, the SEC announced that it charged Oracle Corporation ("Oracle") with violating the Foreign Corrupt Practices Act ("FCPA") by failing to prevent a subsidiary from secretly setting aside money off the company's books that was eventually used to make unauthorized payments to phony vendors in India. According to the SEC's complaint filed in U.S. District Court for the Northern District of California, the misconduct at Oracle's India subsidiary--Oracle India Private Limited ("Oracle India")--occurred from 2005 to 2007. Oracle India sold software licenses and services to India's government through local distributors, and then had the distributors "park" excess funds from the sales outside Oracle India's books and records. Without admitting or denying the SEC's allegations, Oracle consented to the entry of a final judgment ordering the company to pay a $2 million penalty and permanently enjoining it from future FCPA violations. The settlement takes into account Oracle's voluntary disclosure of the conduct in India and its cooperation with the SEC's investigation, as well as remedial measures taken by the company, including firing the employees involved in the misconduct and making significant enhancements to its FCPA compliance program.
Disgorgement & Penalty Information
Resolutions
Enjoinment
Other Compliance Related Undertaking
Cooperation Before the Resolution
Remedial Acts or Efforts Before the Resolution
Self Reporting to SEC
Monetary Penalties:
Civil Penalty
Individual:
$2,000,000.00
Shared:
