Defendant Name: Royal Dutch Shell plc

Defendant Type: Public Company

Document Reference: 2010-214-Royal Dutch Shell plc

Document Details

Legal Case Name In the Matter of Royal Dutch Shell plc, and Shell International Exploration and Production Inc.
Document Name SEC Charges Seven Oil Services and Freight Forwarding Companies for Widespread Bribery of Customs Officials
Document Date 04-Nov-2010
Document Format Administrative Proceeding
File Number 3-14107
Allegation Type Foreign Corrupt Practices Act
Document Summary On November 4, 2010, the SEC instituted settled cease-and-desist proceedings against Royal Dutch Shell plc ("Shell"), an oil company headquartered in the Netherlands, and its indirect subsidiary called Shell International Exploration and Production, Inc. ("SIEP"). The SEC alleges that, from 2002 to 2005, Shell and SIEP violated the Foreign Corrupt Practices Act by using a customs broker to make payments from to officials at Nigerian Customs Service in order to obtain preferential customs treatment related to a project in Nigeria. Without admitting or denying the SEC's allegations, Shell and SIEP agreed to a cease-and-desist order and will pay disgorgement and prejudgment interest of $18,149,459. In related criminal proceedings brought by the U.S. Department of Justice, Shell Nigerian Exploration and Production Co. Ltd. will pay a criminal fine of $30 million.

Disgorgement & Penalty Information

Resolutions
Cease and Desist Order
Monetary Penalties:

Disgorgement

(Penalty was noted in document, but no amount was listed)

Pre-Judgment Interest

(Penalty was noted in document, but no amount was listed)

Related Documents:

34-63243 04-Nov-2010 Administrative Proceeding
Order Instituting Cease-and-Desist Proceedings Pursuant to Section 21C of the Securities Exchange Act of 1934, Making Findings, and Imposing Sanctions and a Cease-and-Desist Order
On November 4, 2010, the Commission instituted cease and desist proceedings against Royal Dutch Shell (Shell) and Shell International Exploration and Production (SIEP). The Commission alleged that Shell and SIEP had violated provisions for the Foreign Corrupt Practices Act (FCPA), specifically that SIEP, on behalf of Shell, authorized payments to Nigerian customs officials in exchange for preferential treatment. As a result of the payments, Shell profited by $14M. None of the illegal payments were properly recorded in Shell's books and records, and there were no internal controls in place to prevent these violations. As a result of the Commission's proceedings, Shell has settled with the Commission and both Shell and SIEP agree to pay $18M to the US Treasury.