Settlement In U.S. Highlights Relevant Sentencing Considerations For Bribery Offences

A recent settlement involving a United States aerospace company sheds light on sentencing in the context of enforcement actions involving allegations of bribery of foreign public officials.

On October 24, 2016, Embraer S.A. ("Embraer"), a Brazilian aircraft manufacturer, agreed to pay $205 million and enter a Deferred Prosecution Agreement ("DPA") to resolve allegations that the company breached the Foreign Corrupt Practices Act ("FCPA").¹ In the DPA, Embraer admitted that it used third parties to bribe government officials across the world in order to obtain government contracts.² Embraer also admitted that it did not voluntarily disclose the FCPA violations to the Securities and Exchange Commission and that it had an inadequate compliance program at the time of the criminal conduct.³ In particular, the company did not require proof that services had been performed before paying third parties, did not conduct adequate due diligence before hiring consultants and