Allianz agrees to pay settlement for violating the FCPA
Allianz SE ("Allianz") has agreed to pay USD 12,396,423 to settle charges of violating the US Foreign Corrupt Practices Act ("FCPA"). The FCPA prohibits US persons and companies from bribing foreign officials to obtain business. The SEC brought charges against the German insurer for paying bribes to government officials in Indonesia. In total, the SEC discovered 295 insurance contracts on government projects that Allianz had obtained by paying over USD 650,000 in bribes to Indonesian officials. According to the SEC, the German insurer made more than USD 5,300,000 in profit from these government contracts. Allianz did not plead guilty, but agreed to settle the charges and refrain from further violations. Although Allianz is not a US-based company, the SEC claimed authority because Allianz stock was listed on the New York Stock Exchange during the period in which the payments to government officials were made.
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