Close

Are you in compliance?

Don't miss out! Sign up today for our weekly newsletters and stay abreast of important GRC-related information and news.

×

Status message

Start your free, no obligation 5-day trial to continue exploring with full access.

How Qualcomm’s FCPA blunder involved rank incompetency

Tom Fox | March 9, 2016

Last week the SEC announced a settlement of a FCPA enforcement action against Qualcomm, primarily for its hiring of sons and daughters of officials at Chinese state owned enterprises. The company paid a fine and penalty of $7.5MM. To make these illegal employment offers, Qualcomm widely varied from its standard hiring protocols to hire the sons and daughters of officials of a state owned enterprise in China. Consider these business justifications for hiring a daughter of an official, as set out in the SEC Cease and Desist Order that the company not only received the request to hire a daughter and son of foreign officials directly from the foreign officials who held business opportunities for the company, but that the company also put in writing how such hires would facilitate doing business with the state owned enterprises in China. Yet in addition...

Buy this article for $49, or subscribe to Compliance Week for a month at $149 and get unlimited article access for 30 days.