Law.com Subscribers SAVE 30%
Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.
Business Crimes Hotline
Former Cognizant Technology COO Settles FCPA Case In Relation to India Office Construction Project
Sridhar Thiruvengadam, the former chief operating officer for Cognizant Technology Solutions (Cognizant), has reached a settlement with the U.S. Securities and Exchange Commission (SEC) in connection with a bribe paid to expedite a large construction project in India and his role in the related cover-up. Cognizant, a NJ-based global technology and consulting services company, has more than half of its staff located in India. The project related to the planned construction of a vast office campus in Chennai that was to cover 2.7 million square feet and cater to approximately 17,500 employees.
According to the SEC's Administrative Order released on Sept. 13 2019, Mr Thiruvengadam, an Indian national and resident who had been with the company for over two decades, caused the company to violate the Foreign Corrupt Practices Act's (FCPA) internal accounting controls and recordkeeping provisions. Without admitting or denying the SEC's findings, Mr Thiruvengadam agreed to pay a $50,000 civil penalty and to cooperate fully with the Commission in any related proceedings. In parallel, the U.S. Department of Justice (DOJ) continues to pursue criminal charges against Cognizant's former President and General Counsel. This follows the company's February 2019 settlement with the SEC, in which it agreed to pay $25 million to settle related charges.
Mr Thiruvengadam was appointed as Cognizant's COO in late 2013, having advanced through the company after first joining in 1994. According to the SEC, he was one of four company executives who participated in a scheme to bribe a government official in Tamil Nadu, a South Indian state, after the official demanded a $2 million (U.S.) payment in exchange for assisting the company to obtain the necessary building permits. The project was facing delays as construction had commenced in 2011 without the necessary approvals in place. According to the SEC, in order to conceal the payment, it was made via a third-party construction firm already engaged on the project. It was planned that the construction firm would be reimbursed for the bribe and also receive a $500,000 commission for their role via a series of fake change order requests on existing contracts.
This premium content is locked for Entertainment Law & Finance subscribers only
ENJOY UNLIMITED ACCESS TO THE SINGLE SOURCE OF OBJECTIVE LEGAL ANALYSIS, PRACTICAL INSIGHTS, AND NEWS IN ENTERTAINMENT LAW.
- Stay current on the latest information, rulings, regulations, and trends
- Includes practical, must-have information on copyrights, royalties, AI, and more
- Tap into expert guidance from top entertainment lawyers and experts
Already a have an account? Sign In Now Log In Now
For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473
Major Differences In UK, U.S. Copyright Laws
This article highlights how copyright law in the United Kingdom differs from U.S. copyright law, and points out differences that may be crucial to entertainment and media businesses familiar with U.S law that are interested in operating in the United Kingdom or under UK law. The article also briefly addresses contrasts in UK and U.S. trademark law.
The Article 8 Opt In
The Article 8 opt-in election adds an additional layer of complexity to the already labyrinthine rules governing perfection of security interests under the UCC. A lender that is unaware of the nuances created by the opt in (may find its security interest vulnerable to being primed by another party that has taken steps to perfect in a superior manner under the circumstances.
Strategy vs. Tactics: Two Sides of a Difficult Coin
With each successive large-scale cyber attack, it is slowly becoming clear that ransomware attacks are targeting the critical infrastructure of the most powerful country on the planet. Understanding the strategy, and tactics of our opponents, as well as the strategy and the tactics we implement as a response are vital to victory.
Removing Restrictive Covenants In New York
In Rockwell v. Despart, the New York Supreme Court, Third Department, recently revisited a recurring question: When may a landowner seek judicial removal of a covenant restricting use of her land?
The Benefits of Blockchain for e-Discovery and Data Preservation
As businesses across various industries increasingly adopt blockchain, it will become a critical source of discoverable electronically stored information. The potential benefits of blockchain for e-discovery and data preservation are substantial, making it an area of growing interest and importance.