We represent corporate and institutional clients with Sub-Saharan Africa business relationships affected by, and subject to, the U.S. Foreign Corrupt Practices Act (FCPA). The FCPA affects every U.S. company and person conducting international business. We are keenly aware that corruption has been a part of the playing field in Africa, much to the detriment of the continent. Corruption does not bode well for Africa, nor for U.S. businesses operating in that region. Although corruption is against the law both in the United States and in Africa, the consequences for corporations are much more severe in the United States, and is a point of emphasis in our legal counseling to corporate clients doing business in Africa. In this environment, it is critical to understand the FCPA and keep abreast of best practices for compliance.

Transparency International (TI) says Africa is by far the most corrupt continent on earth. Corruption along with misappropriation of assets and fraudulent financial statements are the three elements of occupational fraud. The Association of Certified Fraud Examiners has broken corruption down into four schemes, namely, conflict of interest, bribery, illegal gratuities, and economic extortion.

These forms of occupational fraud plague Africa. However, it must be pointed out that corruption in international business transactions consists of first world givers of many third-world bribes. “It always takes two to tango.” The key to minimizing the risk of fraud lies in understanding why it occurs, identifying business areas that are at risk, and implementing procedures to address those vulnerable areas.

Igbanugo Partners designed its anti-corruption advisory and training services to withstand the whirlwind of corrupt practices that the present enabling environment on the Continent of Africa promotes. We support the Global Sullivan Principles that provide a guide to businesses of all sizes on corporate social responsibility. We are an information source for companies’ intent on operating in an environment free of corruption and/or corruptive practices.

In many parts of Africa, and in the United States, companies and governments alike have recognized that corruption raises the costs and risks of doing business. Governments and the private sector are working together to combat this problem and to enhance clean governance and transparency in global economies. We counsel our companies on how to deal with the temptations of corruption.

Since the enactment of the Foreign Corrupt Practices Act (“FCPA”) of 1977, the United States has provided indispensable leadership so that business enterprises can compete fairly in the global economy. We counsel that one way to achieve increased participation of the private sector in the fight against corruption is through promoting business integrity as well as accountability, and transparency in commercial relations between private firms and government authorities. Our implementation of codes of conduct and professional standards, and imparting such to our corporate clientele leads to greater public awareness and support of ethical behavior, and encourages the development of a business culture that is based on ethical values. We also counsel our institutional clients on specific issues related to the FCPA. We consistently track and follow the U.S. Department of Justice’s enforcement priorities in this arena. We feel confident that our workshops are results oriented in helping steer the vulnerable employees of our institutional clients in the direction of making corruption a “never, never land”.

The FCPA continues to be actively enforced by the U.S. government. Generally, the Department of Justice enforces the anti-bribery part and the Securities and Exchange Commission (SEC) enforces the record-keeping and accounting part of the law. The FCPA makes it a crime for any U.S. person or company, in the U.S. or abroad, to directly or indirectly corruptly pay or promise anything of value to any foreign official to obtain or retain business. Payments for routine government administrative actions, permits or inspections, or to provide for demonstration of a company’s products, are permissible. Record-keeping provisions of the SEC impose some responsibility on U.S. parent corporations for the accounting practices of their foreign subsidiaries. We offer valuable seminars specifically designed for the international business groups of our client corporations.