Smith & Nephew Pays $22.2M Settlement in SEC Investigation

Smith & Nephew has reached a settlement with the U.S. Securities and Exchange Commission and the U.S. Department of Justice in connection with their Foreign Corrupt Practices Act investigation, according to a company news release.

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Smith & Nephew agreed to pay more than $22.2 million in fines and profit disgorgement, maintain an enhanced compliance program and appoint an independent monitor for at least 18 months to review the program.

The company was one of multiple medical device companies asked to investigate improper payments to government-employed physicians and voluntarily report issues in 2007. The company found and reported payments by a Greek distributor, which was terminated in 2008.

The company provided for the payment in its fourth quarter 2011 earnings.


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