| Pages:
1
2 |
danaeb
Senior Nomad
Posts: 991
Registered: 11-13-2006
Location: San Diego; El Centenario
Member Is Offline
Mood: groovy
|
|
It's not about MEXICO. It's about the FCPA. Under the FCPA, if an American company doing business abroad becomes aware of a bribe, they're partially
off the hook if they report it. But if they don't, and subsequently cover it up, as it's beginning to look like in this case, there are very hefty
penalties. There was a really good summary in Forbes Mag over the weekend regarding the potential impact to WalMart.
This will be a big story.
[Edited on 4-23-2012 by danaeb]
Experience enables you to recognize a mistake every time you repeat it.
|
|
|
DENNIS
Platinum Nomad
Posts: 29510
Registered: 9-2-2006
Location: Punta Banda
Member Is Offline
|
|
| Quote: | Originally posted by Bajahowodd
That said, my own curiosity is about the business structure of Walmart. Seems to me that historically, Mexican law would not allow foreign partners to
own a majority of any company doing business in Mexico. |
I'm under the impression that isn't the case with corporations.
|
|
|
DENNIS
Platinum Nomad
Posts: 29510
Registered: 9-2-2006
Location: Punta Banda
Member Is Offline
|
|
| Quote: | Originally posted by danaeb
It's not about MEXICO. It's about the FCPA. Under the FCPA, if an American company doing business abroad becomes aware of a bribe, they're partially
off the hook if they report it. |
Bribe....Fee....Gift.....Tax......semantics. If it isn't illegal in Mexico where it occurs....how can it be illegal anywhere else?
|
|
|
danaeb
Senior Nomad
Posts: 991
Registered: 11-13-2006
Location: San Diego; El Centenario
Member Is Offline
Mood: groovy
|
|
Under the FCPA, it's illegal for a US Company or US person to bribe a foreign official. The country is irrelevant. It's the bribe.
[Edited on 4-23-2012 by danaeb]
Experience enables you to recognize a mistake every time you repeat it.
|
|
|
durrelllrobert
Elite Nomad
Posts: 7393
Registered: 11-22-2007
Location: Punta Banda BC
Member Is Offline
Mood: thriving in Baja
|
|
From a NY Times report 7 years ago
When the Arkansas-based US retailer sent investigators to Mexico City in 2005 they quickly uncovered widespread bribery, the Times said.
An internal probe found a paper trail, said the report, amounting to over $24 million in suspected payments.
Bob Durrell
|
|
|
bajaguy
Elite Nomad
Posts: 9247
Registered: 9-16-2003
Location: Carson City, NV/Ensenada - Baja Country Club
Member Is Offline
Mood: must be 5 O'clock somewhere in Baja
|
|
Really???
| Quote: | Originally posted by danaeb
Under the FCPA, it's illegal for a US Company or US person to bribe a foreign official. The country is irrelevant. It's the bribe.
[Edited on 4-23-2012 by danaeb] |
So if a US citizen pays mordita to a Mexican police officer, it's a US Federal crime???
|
|
|
MrBillM
Platinum Nomad
Posts: 21656
Registered: 8-20-2003
Location: Out and About
Member Is Offline
Mood: It's a Zip-a-Dee-Doo-Dah Day
|
|
Ant-Trust Issues ?
Disregarding the the fact that Ants probably can't be trusted, there shouldn't be a problem if the stores are kept clean of spills.
|
|
|
DENNIS
Platinum Nomad
Posts: 29510
Registered: 9-2-2006
Location: Punta Banda
Member Is Offline
|
|
| Quote: | Originally posted by MrBillM
Ant-Trust Issues ?
Disregarding the the fact that Ants probably can't be trusted, there shouldn't be a problem if the stores are kept clean of spills.
|
Damn. Now I have to live with my shame. 
|
|
|
EnsenadaDr
Banned
Posts: 5027
Registered: 9-12-2011
Location: Baja California
Member Is Offline
Mood: Move on. It is just a chapter in the past, but don't close the book- just turn the page
|
|
Higher prices in Wal-Mart in Mexico..
| Quote: | Hmmm...I wondered why the prices were so much higher in the Mexican Wal-Marts.
When the Arkansas-based US retailer sent investigators to Mexico City in 2005 they quickly uncovered widespread bribery, the Times said.
An internal probe found a paper trail, said the report, amounting to over $24 million in suspected payments. |
|
|
|
Hook
Elite Nomad
Posts: 9010
Registered: 3-13-2004
Location: Sonora
Member Is Offline
Mood: Inquisitive
|
|
This could turn out to be another international black eye for Mexico.
http://news.yahoo.com/wal-mart-probe-lifts-lid-culture-bribe...
|
|
|
danaeb
Senior Nomad
Posts: 991
Registered: 11-13-2006
Location: San Diego; El Centenario
Member Is Offline
Mood: groovy
|
|
No
| Quote: | Originally posted by bajaguy
| Quote: | Originally posted by danaeb
Under the FCPA, it's illegal for a US Company or US person to bribe a foreign official. The country is irrelevant. It's the bribe.
[Edited on 4-23-2012 by danaeb] |
So if a US citizen pays mordita to a Mexican police officer, it's
a US Federal crime??? |
It covers US companies or US Persons (not the same as a US citizen). This has nothing to do with traffic stops...
Here's a summary of the law, if you're interested:
http://library.findlaw.com/1997/Jan/1/126234.html
[Edited on 4-23-2012 by danaeb]
Experience enables you to recognize a mistake every time you repeat it.
|
|
|
BajaBruno
Super Nomad
Posts: 1035
Registered: 9-6-2006
Location: Back in CA
Member Is Offline
Mood: Happy
|
|
If you take the time to read the excellent New York Times article that broke this story, http://www.nytimes.com/2012/04/22/business/at-wal-mart-in-me...
it describes a pattern of corruption and cover-up that occurred principally while Eduardo Castro-Wright was in charge of Wal-Mart Mexico and dropped
off greatly after he was promoted to Wal-Mart Vice Chairman.
While it is true that many companies probably "grease the wheels" in Mexico to some degree, Wal-Mart is also accused of using bribes to circumvent
environmental regulations and expedite building permits without the oversight required by Mexican law.
Wal-Mart also hushed its own internal investigations of corruption, restricted its internal investigations unit from interviewing corporate officers
and shut down corruption investigations around the world. Even after its ethics officers and legal team complained and in some cases resigned in
protest, Wal-Mart managers continued to demonstrate an attitude of unaccountability to U.S. and foreign anti-corruption laws.
So, this isn't just a case of a little mordida being tossed here and there--it is a corporate culture than considers itself so big and so powerful
that it is immune to the laws that others must adhere to. That sort of monopolistic model is bad for competition, bad for consumers and business in
general, and must be slapped down by a higher authority, namely the Department of Justice.
Christopher Bruno, Elk Grove, CA.
|
|
|
rts551
Elite Nomad
Posts: 6699
Registered: 9-5-2003
Member Is Offline
|
|
Nothing new here. Don;t know why anyone would be surprised. Walmart has been using the model of corruption for years. It hasn't been thatlong ago
thqat they were charged with underpricing in order to drive competitors (read small business) out.
|
|
|
Taco de Baja
Super Nomad
Posts: 1913
Registered: 4-14-2004
Location: Behind the Orange Curtain, CA
Member Is Offline
Mood: Dreamin' of Baja
|
|
Maybe it's not so bad, with semantics added in 
| Quote: | The New York Times’ article detailing a “vast Mexico bribery case hushed up by Wal-Mart” includes many accusations of bribery that may not be illegal
under the Foreign Corrupt Practices Act.
....many of the allegations reported in the New York Times could reasonably be interpreted as falling under the so-called “facilitating payments”
exception. A facilitating payment, often referred to as a grease payment, is a payment that is made to influence the timing of something like a permit
and not intended to influence the outcome of routine government actions. These kinds of payments are generally not considered to fall under the
definition of bribery under the FCPA, the main U.S. anti-bribery law. |
Forbes
Truth generally lies in the coordination of antagonistic opinions
-Herbert Spencer
|
|
|
| Pages:
1
2 |
![[*]](images/xmbforum/default_icon.gif){kind=icon}
