Wednesday, December 9, 2009

Panalpina Corruption Investigation Drawing To A Close

Company Reorganises West African Operations
Shipping News Feature

NIGERIA / WEST AFRICA – Swiss freight and logistics group Panalpina has issued a statement saying that the long-running investigation by itself and the US Department of Justice (DOJ) is now in the final processes for completion.

The three-year investigation was launched in response to allegations that some of its West African operation, principally in Nigeria, had violated the Foreign Corrupt Practices Act (FCPA). The consequences of a guilty verdict are extremely serious with companies found guilty of bribery under the Act being subject to penalisation of any business interests in the States.

As a result Panalpina has initiated a series of reforms and restructuring programs in its West African operations, including closing its Nigerian organisation. The company has also scrutinised a number of its global activities in cooperation with the DOJ, particularly in Central Asia, so as to ensure there are no more possible problems with its compliance to the FCPA.

Panalpina said that: “It is inherent to Panalpina’s business philosophy to owe its customers the highest level of trust and reliability.

“Panalpina’s Compliance Department has played an active role in critical aspects of the investigation under the oversight of outside counsel and in coordination with the DOJ.”

The final negotiations on winding up the investigation between the group and the DOJ are expected to take several months.