A power plant maintenance company, Data Systems & Solutions LLC, has agreed to pay $8.82 million in criminal penalties to resolve multiple violations of the Foreign Corrupt Practices Act (FCPA).
The Department of Justice (DOJ) filed a two count indictment in the Eastern District of Virginia charging DS&S with conspiring to violate and violating the FCPA’s ban on bribing foreign officials.
According to the criminal complaint the DOJ alleged that DS&S gave bribes to employees of the Ignalia Nuclear Power Plant, a state operated power plant in Lithuania, in order to receive contracts for DS&S to perform services at the plant. DS&S funneled bribes though subcontractors in the US and abroad in order to cover up the scheme. The subcontractors then made repeated payments to the government sponsored officials via check or wire transfer.
The DOJ filed a deferred prosecution agreement with DS&S. In this agreement the prosecution will be put off for two years. During this time DS&S make a full payment of the $8.82 million and DS&S must cooperate with DOJ as well as report periodically to the DOJ regarding compliance efforts with the Foreign Corrupt Practices Act. IF DS&S complies with the agreement the DOJ will dismiss the criminal charges against DS&S.
DS&S has played a cooperative role in this processs. The company helped to launch an investigation with the DOJ and also held the agents responsible for the bribes responsible by terminating them. DS&S has also improved its policies for ensuring subcontracts act ethically, and has beefed up its own ethics guidebook.