Sunday, May 25, 2008


It's interesting how much money changes hands during the course of corrupt business practices. This caught my eye because it involves oil, and a former Soviet Republic. And since this a smaller business deal than, say, the BP deals with Azerbaijan, I wonder about the extent of the bribes paid to the Aliyevs and other big shots in the Azeri government. While the US has legislation baring corruption (which most certainly is a fig leaf), I would like to know if the UK or other EU countries have similar laws.

Here is a quote from the plea bargain between the US Department of Justice and oil equipment manufacturer Baker Hughes, Inc. for its violation of the Foreign Corrupt Practices Act of the USA (FCPA). Baker Hughes agreed to pay USD 44 million in fines as part of the deal with the US government. The full text of the agreement can be accessed here.
[...] In the charging and plea documents, BHSI admitted that it violated the FCPA by paying approximately $4.1 million in bribes over approximately a two-year period to an intermediary whom the company understood and believed would transfer all or part of the corrupt payments to an official of Kazakhoil, the state-owned oil company. These corrupt payments were paid through a consulting firm retained as an agent for Baker Hughes in connection with a major oil field services contract.[...]

1 comment:

Anonymous said...

The EU has tougher anticorruption laws than the USA's FCPA.