Prior to 2005, DIMON, Incorporated ("Dimon") was a leaf tobacco merchant that maintained its principal place of business in Danville, Virginia. Dimon purchased and processed tobacco grown throughout the world and sold it to manufacturers of tobacco products. Standard Commercial Corporation ("Standard") was founded in 1910 as a leaf tobacco merchant. The company purchased and sold tobacco to customers in about 85 countries worldwide, including Thailand. Both Dimon and Standard's common stocks were registered with the Commission pursuant to Section 12(b) of the Exchange Act.
In 2005, Dimon and Standard merged to form Alliance One International, Inc. ("AOI"), which also was engaged in business as a leaf tobacco merchant worldwide. AOI was a publicly traded Virginia corporation that maintained its principal place of business in Morrisville, North Carolina. AOI purchased and processed tobacco grown in more than 45 countries and sold tobacco to manufacturers of consumer tobacco products in more than 90 countries around the world. After the merger, AOI consolidated the assets, liabilities, and business affairs of Standard's subsidiary, Standard Brazil Ltd., with Dimon's subsidiary, Dimon International AG ("DIAG"), and renamed the subsidiary corporation ALLIANCE ONE INTERNATIONAL AG ("AOIAG"). AOIAG became the successor corporation to both DIAG and Standard Brazil, and became legally accountable for the criminal acts of its two predecessor corporations. AOIAG continued to operate in the U.K. and elsewhere as a wholly owned subsidiary of AOI, organized under the laws of Switzerland.
From 2000 to 2004, Dimon and Standard also paid bribes of more than $1.2 million to government officials of the Thailand Tobacco Monopoly ("TTM") in order to obtain more than $18.3 million in sales contracts.
On August 6, 2010, the DOJ filed a three count Information in the Western District of Virginia against AOIAG alleging conspiracy to violate the anti-bribery and books & records provisions of the FCPA, direct violation of the anti-bribery provisions of the FCPA, and aiding and abetting a violation of the books & records provisions of the FCPA. On the same date, AOIAG entered into a plea agreement with the DOJ. Under the terms of the agreement, AOIAG pleaded guilty to the three counts in the Information and agreed to pay a criminal fine of $5.25 million, to implement and enhance its anti-corruption compliance policies and procedures, and to hire an independent monitor for a term of three years.
