Alfred C. Toepfer: ADM Reaches FCPA Settlement

Decatur / IL. (adm) Archer Daniels Midland Company (ADM) announced that it had reached a settlement with the U.S. Department of Justice (DOJ) and the U.S. Securities and Exchange Commission (SEC) of allegations under the Foreign Corrupt Practices Act (FCPA) relating primarily to conduct by a Ukraine subsidiary of ADM´s majority-owned subsidiary, Alfred C. Toepfer International GmbH. Under the settlement, ADM has entered into a non-prosecution agreement with DOJ and a consent decree with SEC and has agreed with these agencies to monetary relief totalling approximately 54 million USD, the amount for which ADM previously established a reserve. In announcing the settlement, government regulators noted ADM´s «timely, voluntary, and thorough disclosure of the conduct», «extensive cooperation», and «early and extensive remedial efforts» to enhance its compliance program. ADM will not be required to institute a monitor, as has occurred in some past FCPA settlements with other companies. ADM Chairman and CEO Patricia Woertz commented on ADM´s process: «In 2008, soon after we became aware of some questionable transactions by a non-U.S. subsidiary, we engaged an outside law firm and an accounting firm to undertake a comprehensive internal investigation», she said. «In early 2009, we voluntarily disclosed the matter to appropriate U.S. and foreign government agencies and undertook a comprehensive anti-corruption global risk analysis and compliance assessment. We have also implemented internal-control enhancements, and taken disciplinary action, including termination, with a number of employees. The conduct that led to this settlement was regrettable, but I believe we handled our response in the right way, and that the steps we took, including self-reporting, underscore our commitment to conducting business ethically and responsibly», Woertz said.

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