AP News

Avon to pay $135M to settle bribery charges


NEW YORK (AP) — Avon Products Inc. says it will pay $135 million in fines and other fees to settle a long-standing U.S. government probe into whether the cosmetics company paid bribes in China and other countries to gain favors.

The preliminary agreement still needs Securities and Exchange Commission authorization and court approval.

Avon said Thursday that it would fork over $68 million to the Justice Department and $67 million to resolve the dispute with the SEC.

The Justice Department would also defer criminal prosecution of the company for three years in connection with the alleged violations of the Foreign Corrupt Practices Act. A China subsidiary would plead guilty to FCPA violations.

The probe has cast a black eye on the New York-based company since the investigation started in 2008.


Best LBO Ever
LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus