GOODYEAR PAYS $16M TO SETTLE FCPA CHARGES
April 11, 2015
Goodyear Tire & Rubber Co. has agreed to pay approximately $16 million to settle charges by the U.S. Securities and Exchange Commission (SEC) that two of Goodyear’s subsidiaries paid bribes in violation of the Foreign Corrupt Practices Act (FCPA) to facilitate tire sales in Africa.
According to the SEC’s investigation, Kenyan Goodyear subsidiary Treadsetters Tyres Ltd. and Angolan Goodyear subsidiary Trentyre Angola Ltd. paid bribes on a routine basis to government officials in their respective countries to obtain tire sales.
The settlement represents the profits Goodyear made as a result of the alleged bribes and does not include a monetary penalty due to the fact that Goodyear self-reported its actions and fully cooperated with the SEC investigators. Under the settlement, Goodyear must also report its FCPA remediation efforts to the SEC for the next three years.
If you have any questions, please contact Evelyn Sahr (esahr@eckertseamans.com, 202-659-6622) or Drew Derco (dderco@eckertseamans.com, 202-659-6665).