Wal-Mart paid bribes worth millions of dollars in India
America’s multinational retail corporation Wal-Mart is suspected to be embroiled in bribery scam worth millions of dollars in India, according to a media report.
In a major report, the Wall Street Journal said Wal-Mart’s “suspected bribery” unearthed in India involves thousands of small payments to low-level local officials to help move goods through customs or obtain real-estate permits.
“The vast majority of the suspicious payments were less than USD 200, and some were as low as USD 5, the people said, but when added together they totalled millions of dollars,” the daily said.
According to the report, Wal-Mart is unlikely to face any penalty for it.
“Because penalties under the FCPA are often connected to the amount of profit the alleged misconduct generated, the payments in India wouldn’t be likely to result in any sizable penalty, since Wal-Mart’s operations there haven’t been particularly profitable, said people familiar with the matter,” the daily reported. Details