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.

Why is the U.S. government investigating GlaxoSmithKline now?

Tom Fox | February 13, 2018

GlaxoSmithKline recently announced in a securities filing that the Justice Department and SEC asked for information about third-party advisers the company hired in China during a corruption investigation there.

As some may recall, GSK was ensconced in a very public corruption scandal in 2013, when Chinese authorities raided company offices in China, arrested multiple China-business senior managers, including the country manager. The company was convicted in 2014 and assessed a criminal penalty of approximately $498 million. Four China unit executives were found guilty and were either deported or sent to jail.

The U.K. Serious Fraud Office opened an investigation in 2014 but never resolved the matter. In the United States, the SEC assessed the company a fine of $20 million in 2016, and the Justice Department closed its investigation without...

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