Chemical company Albemarle Corp. disclosed it is set to pay $218.5 million as part of proposed settlements reached with the Department of Justice (DOJ) and Securities and Exchange Commission (SEC) regarding apparent violations of the Foreign Corrupt Practices Act (FCPA).
The settlements agreed to in principle would consist of fines, disgorgement, and prejudgment interest, Albemarle said in a quarterly filing Wednesday. The company would enter into a nonprosecution agreement with the DOJ and an administrative resolution with the SEC, neither of which would include the imposition of a compliance monitor.
Albemarle would also agree to certain ongoing compliance reporting obligations, the company disclosed.
The settlements would resolve apparent FCPA violations first reported in 2018 after Albemarle launched an internal investigation regarding potential improper payments being made by third-party sales representatives of its refining solutions business. The company voluntary self-reported its findings to the DOJ, SEC, and Dutch Public Prosecutor (DPP).
The DPP declined to pursue action in the matter, according to Albemarle.
“Since reporting these matters to the DOJ, SEC, and DPP, we have cooperated with these agencies in their investigations of this historical conduct,” the company said. “We have implemented appropriate remedial measures and strengthened our compliance program and related internal controls.”
Albemarle said it could not provide further information regarding the timing or final terms of the settlements with the DOJ and SEC.