Foreign Corrupt Practices Act: Enforcement Action Dataset

Initiation Date: 08/06/2010

Prosecuting Agency: U.S. Department of Justice

Type of Action: DOJ Criminal Proceeding

Docket or Case Number: 10-cr-00225

Court: E.D. Virginia

Name of Prosecuting Attorneys:

Neil H. MacBride, United States Attorney
Michael S. Dry, Assistant United States Attorney
Denis J. McInerney, Chief, Fraud Section, Criminal Division
Stacey K. Luck, Senior Trial Attorney, Fraud Section, Criminal Division

US Assisting Agencies:

U.S. Securities and Exchange Commission
Federal Bureau of Investigation
U.S. Attorney's Office - ED Virginia
U.S. Attorney's Office - WD Virginia

Foreign Enforcement Action/Investigation: Unknown

Foreign Assistance: Unknown

Origin of the Proceeding: Voluntary disclosure

Whistleblower: Unknown

Case Status: Resolved

Summary

Universal Corporation ("Universal") was a Virginia corporation headquartered in Richmond, Virginia. Universal, through its subsidiaries, including its Brazilian subsidairy, Universal Leaf Tobacos Ltda., was a worldwide purchaser and supplier of processed leaf tobacco.

From about 2000 through about 2004, Universal Leaf Tobacos Ltda. paid approximately $697,800 in kickbacks to representatives of the Thailand Tobacco Monopoly through its Thai sales agent "Agent X" in order to obtain orders for the sale of Brazilian leaf tobacco valued at over $9 million.

On August 6, 2010, the DOJ filed a two count Information in the Eastern District of Virginia against Universal Leaf Tobacos Ltda. alleging conspiracy to violate the anti-bribery and books & records provisions of the FCPA as well as substantive violations of the anti-bribery provisions of the FCPA. On the same date, Universal and Universal Leaf Tobacos Ltda. entered into a Plea Agreement with the DOJ. Under the terms of the Agreement, the companies agreed to 3 years of organizational probation, a fine of $4.4 million plus a mandatory assessment of $800, and to continue to enhance and implement its anti-corruption compliance policies and procedures, which included the hiring of an independent monitor for a term of 3 years. The fine was 30% below the minimum stipulated in the sentencing guidelines range. In agreeing to the departure, the DOJ considered Universal and Universal Leaf Tobacos Ltda.'s extensive cooperation during the course of the investigation, including the provision of relevant documents and information, the companies' substantial assistance with other related Department investigations regarding the bribery of foreign government officials, and the companies' remedial efforts, including enhancing the companies' compliance resources and compliance policies, procedures, and internal controls.

Universal separately entered into a Non-Prosecution Agreement with the DOJ. The parties agreed that any criminal penalty imposed on Universal Leaf Tabacos Ltda. in connection with its guilty plea would be deducted from Universal's payment obligation under the NPA.

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| Enforcement Action Dataset

Enforcement Action Dataset

Case Information

United States of America v. Universal Leaf Tabacos Ltda.

Case Information

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