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Can the U

Business Dec 24, 2020

Can the U.S. government arrest an American businessman who bribes a Kuwaiti government official upon returning to the United States (under the Foreign Corrupt Practices Act)?

Expert Solution

The simple answer is Yes.

Even if bribery is normal in foreign countries, it is prohibited for US firms by the Foreign Corrupt Practices Act (FCPA). This law was passed in 1977 as a response to widespread corrupt practices between US businesses and foreign entities. There are some limited types of payments that the FCPA does allow, but the other part of the law includes requirements and procedures for reporting those payments to the US government.

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