Airbus Consent Agreement
In the largest and most closely watched anti-corruption operation in history, the multinational aerospace company Airbus Group S.E. has achieved a costly landing after four years of turbulence. On Friday, January 31, 2020, French, British and American courts approved analog versions of a deferred Prosecution Agreement (DPA) between prosecutors and Airbus, which provides for a combined fine of $3.96 billion for the aircraft manufacturer. The resolution ends several years of investigations by the National Financial Prosecutor`s Office or the PNF, the UK`s Serious Fraud Office (SFO) and the US Department of Justice (DOJ) into the world`s second-largest aerospace company and its considerable baggage. The agreements describe large-scale corruption, fraud, bribery and export-related misconduct that is contrary to the UK Bribery Act, Sapin II, the Foreign Corrupt Practices Act (FCPA) and the US. International Traffic in Arms Regulations (ITAR). Approval agreement with the DoS Finally, Airbus has agreed to enter into a consent agreement with the DoS. As part of the agreement, The DoS has declared its readiness to resolve all civil ITAR violations described in Airbus` voluntary data referred to in the acceptance agreement, and Airbus has agreed to engage an independent Export Controls Compliance Officer to monitor the effectiveness of Airbus` export control systems and their compliance with ITAR. As part of the deferred prosecution agreement with the department, Airbus has agreed to continue to cooperate with the department in the ongoing investigations and prosecutions of conduct, including individuals, and to improve its compliance program. Agreement on the postponement of criminal proceedings with the SFO Airbus has agreed to conclude an agreement with the SFO on deferred prosecutions.
This agreement does not constitute an admission of responsibility. As part of the agreement, SFO agreed to suspend Airbus` lawsuits for a period of three years. The lawsuits will be stayed if Airbus complies with the terms of the agreement during this period, as Airbus has committed to do. Given the AFA`s ongoing oversight, the French anti-corruption authority does not impose an independent compliance monitor on Airbus under the agreement with SFO. Airbus has entered into definitive agreements with the French National Financial Prosecutor`s Office (PNF), the UK Serious Fraud Office (SFO) and the US Department of Justice (DoJ), to resolve the authorities` investigation into allegations of corruption and corruption, as well as with the US Department of State (DoS) and the DoJ, to resolve their investigations into inaccurate and misleading submissions to The DoS in accordance with the U.S. International Traffic in Arms Regulations (ITAR). The company`s payment in the U.S. will be $527 million for FCPA and ITAR offenses and an additional €50 million (about $55 million) as part of a civil expiration agreement for ITAR-related behavior, and the department will credit a portion of the amount the company pays to the National Financial Prosecutor`s Office (PNF) in France as part of the company`s agreement with the PNF.