In its most recent 8-K, General Cable Corporation, a Kentucky-based manufacturer of industrial cables, reported that it has increased its FCPA-related accrual to $28 million, which represents its estimated profit derived from possibly tainted transactions in Angola, Thailand, India, China and Egypt. General Cable is investigating its use of agents in connection with gifts made to employees of public utility companies and/or other state-owned entities that raise concerns under the FCPA and possibly other foreign laws. The company also advised that it may need to further increase its reserve from $28 million to $33 million based on other transactions that are currently under review. In its filing, the company noted that its estimated FCPA-related accruals "solely reflect profits that may be disgorged based on our investigation . . . and do not include, and we are not able to reasonably estimate, the amount of any possible fines, civil or criminal penalties or other relief, any or all of which could be substantial."
To learn more, see previous Red Notice coverage and the FCPA Blog.
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