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Foreign Corrupt Practices Act (FCPA)

The Foreign Corrupt Practices Act (FCPA) is a U.S. law that prohibits companies from gaining business or any improper competitive advantage through bribes paid to foreign officials. Passed by Congress in 1977, and further amended in 1988 and 1998, the FCPA’s enactment made the United States the first industrial nation to criminalize transnational bribery. The statute has helped catalyze multinational responses to transnational bribery; it also has served as a model for antibribery laws in other countries.

The FCPA applies to U.S. citizens and companies organized under U.S. law, as well as to foreign companies that issue securities within the country. These organizations and their agents may be held liable under the FCPA for acts performed inside or outside the United States. The 1998 amendment extended ...

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