SEC Unveils Report on Illegal Corporate Payments, Proposes Stricter Regulation
The U.S. Securities and Exchange Commission (SEC) has released a report detailing questionable and illegal corporate payments and practices. The report, titled 'Report on Questionable and Illegal Corporate Payments and Practices', lists several prominent companies that confessed to making improper foreign payments dating back to the late 1970s and throughout the 1980s. These companies include SmithKline Beecham, Unisys, and Lockheed Martin.
The SEC's report follows investigations into 95 U.S. companies, which revealed improper payments made abroad. As a result of these findings, 14 injunctions were issued. The SEC has also referred a bill, S. 3418, to Sen. Proxmire. This bill aims to amend the Securities Exchange Act of 1934, potentially strengthening regulations surrounding corporate payments and practices.
The SEC's report and subsequent actions highlight the need for stricter oversight and regulation of corporate payments and practices, particularly those involving foreign transactions. The referral of S. 3418 to Sen. Proxmire signals a step towards potential legislative changes in this area.
