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Eugene

(61,900 posts)
Sat Feb 6, 2016, 08:58 PM Feb 2016

British American Tobacco faces call for bribery allegations inquiry

Source: The Observer

British American Tobacco faces call for bribery allegations inquiry

US congressmen demand investigation by justice department into Africa claims

Jamie Doward
Saturday 6 February 2016 19.52 GMT

One of the UK’s largest companies, British American Tobacco (BAT) is facing demands that it be investigated by the US Department of Justice, following allegations that it engaged in widespread bribery of politicians and policymakers in Africa.

Several Democratic senators and congressmen have written a letter calling for the department to launch an immediate investigation into BAT, the world’s second-largest publicly traded tobacco company, which has its headquarters in London.

The politicians, led by congressman Lloyd Doggett and senator Richard Blumenthal, suggest that BAT’s actions may have violated both the Anti-Bribery and the Foreign Corrupt Practices Acts (FCPA). If proven, the allegations – denied by BAT – could result in jail terms for the company’s executives.

Some of the allegations about BAT’s activities in parts of Africa first surfaced in a BBC Panorama documentary last year. Since then, US lawmakers say that additional documents have come to light, which they claim suggest alleged bribery may have been more widespread than previously thought.

It is alleged that the documents raise questions as to whether BAT paid people off to protect its corporate reputation and to cover up scandals, including environmental damage caused by a warehouse fire in Uganda. There are also claims that the company engaged in corporate espionage and the sabotage of competitors in Kenya. “If true, these allegations would demonstrate a deplorable choice by BAT to balloon its profits through bribery at the expense of the health of millions,” said Doggett. “Any corporation that enjoys the benefits of our stock exchange must comply with our anti-bribery laws.”

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Read more: http://www.theguardian.com/business/2016/feb/06/senator-demands-inquiry-uk-tobacco-bribery-claims
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