Why Did Deutsche Bank Settle for $125 Million
Who agreed to settle for $125 million? Deutsche Bank just agreed in a settlement between the Department of Justice as well as the SEC to pay $125 million for irregularities in trading transactions. Because it ended in a settlement, the Depart of Justice will not criminally prosecute key executives. The statement from Deutsche Bank states that while they are not commenting on anything, there were some events that happened between 2008 and 2017 that are now subject to internal scrutiny.
The Foreign Corrupt Practices Act comes to my mind in regards to this situation. This is also the act that was raised by the US authorities while looking into Deutsche Bank. The Foreign Corrupt Practices Act means that activities which are related to bribery can be enforced inside the United States, even if the alleged activity happened outside of the US. My takeaway for businesses is short and sweet. Make sure that your foreign entities which could potentially be doing briberies, are no longer doing briberies. If they are, your US entity could be paying a high price for that. US enforcement of US laws all over the world, is done through the Foreign Corrupt Practices Act.
#332, January 2021, Deutsche Bank, Foreign Corrupt Practices Act, settlement, SEC, Department of Justice.