Foreign Corrupt Practices Act: Enforcement Action Dataset

Initiation Date: 09/03/2008

Prosecuting Agency: U.S. Securities and Exchange Commission

Type of Action: SEC Federal Court Proceeding

Docket or Case Number: 08-cv-02680

Court: S.D. Texas

Name of Prosecuting Attorneys:

Mark A. Adler, SEC Headquarters
Antonia Chion, SEC Headquarters
Kara N. Brockmeyer, SEC Headquarters
Robert G. Wilson, SEC Headquarters
Stanley M. Cichinski, SEC Headquarters
Ansu N. Banerjee, SEC Headquarters

US Assisting Agencies:

U.S. Department of Justice

Foreign Enforcement Action/Investigation: Unknown

Foreign Assistance:

French Law Enforcement Agency (FR)
Swiss Law Enforcement Agency (CH)
U.K. Law Enforcement Agency (GB)
Italian Law Enforcement Agency (IT)

Origin of the Proceeding: Unknown

Whistleblower: Unknown

Case Status: Resolved

Summary

Albert Jackson Stanley was the former chairman and chief executive officer of Kellogg, Brown & Root Inc. (KBR).

KBR was part of a four-company joint venture called TSKJ, which was comprised of Technip of France, Snamprogetti Netherlands B.V. of the Netherlands, Kellogg Brown & Root of the United States, and JGC Corporation of Japan. Between 1995 and 2004, members of the joint venture devised and implemented a scheme to bribe Nigerian government officials to obtain contracts worth over $6 billion to build liquefied natural gas (LNG) production facilities on Bonny Island in Nigeria. The joint venture partners formed a "cultural committee" comprised of senior sales executives at each company to consider how to carry out the bribery scheme. To conceal the illicit payments, the joint venture entered into sham contracts with a shell company controlled by a U.K. solicitor (Jeffrey Tesler, who was given $132 million for the purpose of bribing high-level Nigerian officials) and a Japanese trading company (Marubeni Corporation, which was given $51 million for the purpose of bribing low-level Nigerian officials) as conduits for the bribes. Total payments to the two agents exceeded $180 million. Stanley admitted that he authorized the joint venture to hire the two agents.

On September 25, 2008, without admitting or denying the SEC's allegations, Albert Jackson Stanley consented to the entry of a final judgment permanently enjoining him from violating the anti-bribery, books and records, and internal controls provisions of the FCPA.

Stanley separately entered into a plea deal with the DOJ. Stanley was ordered to pay $10.8 million in restitution and was sentenced to 30 months in prision, followed by 3 years of supervised probation.

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| Enforcement Action Dataset

Enforcement Action Dataset

Case Information

Securities and Exchange Commission v. Albert Jackson Stanley

Case Information

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