breanne moreno- Eli Lilly to pay $29M FCPA fine for activities in Emerging Markets

http://www.moscowtimes.com/mobile/article/eli-lilly-to-pay-29m-fcpa-fine-for-activites-in-emerging-markets/473500.html

WASHINGTON- U.S. drugmaker Eli Lilly and Co agreed to pay $29 million to settle civil charges that its subsidiaries made improper payments to foreign government officials to win business in Russia, Brazil, China and Poland. Lilly's settlement with the U.S. Securities and exchange Commission Represents part of a broader bribery crackdown on the pharmaceutical industry by U.S criminal and civil authorities as they continue to probe corruption. In this case, the SEC alleged that a russian unit of indianapolis-based Eli Lilly used "marketing agreements" to funnel millions of dollars to government officials through offshore companies. Lilly agreed to the settlement with the SEC without admitting or denying the charges. Eli Lilly said that in addition to paying $24.9 million, it agreed to have an independent compliance consultant conduct a 60-day review of its internal controls and FCPA compliance. Nobles said that Lilly had cooperated with the U.S. investigators and strengthened its internal controls, including significant investment in a global anti-corruption program. In February, a review by Reuters showed that eight of the world's top ten drug makers, including Eli Lilly, had all warned investigators  they would face liabilities related to corruption charges in overseas markets. Pfizer is on track to record $10 billion in sales from emerging markets this year, while j&j said Brazil, Russia, India, and China accounted for just under 10 percent of the $65 billion in sales it reported last year.