Articles Tagged with AVON WHISTLEBLOWER REVEALS FOREIGN BRIBES

Avon Products Inc., the largest beauty product company, announced that the Securities and Exchange Commission is conducting a widespread probe of millions of dollars of questionable payments to officials in China, Brazile, Mexico, Argentina, India and Japan, which could have violated the Foreign Corrupt Practices Act. The probe was sparked by an employee who wrote a letter to Avon Chief Executive Andrea Jung alleging improper spending relating to travel expenses for Chinese government officials. The company fired four executives in connection with the probe. The Foreign Corrupt Practices Act prohibits bribes to foreign officials or related persons or companies and under new whistleblower provisions of the Dodd-Frank Act, such actions can result in significant fines and also lead to possible criminal convictions. The whistleblowers are allowed upto 30% of what the government recovers.