Ralph Lauren Bribery Case: To Pay Over $1.6M to Resolve 5-Year Bribery Case in Argentina
Clothing retailer Ralph Lauren Corporation will pay over $1.6 million to resolve a bribery case which involved one of its subsidiaries bribing government officials in Argentina.
The company was alleged to have bribed Argentinian custom officials to clear merchandise but they will not be prosecuted by U.S. authorities, according to Reuters.
The massive clothing retailer received lenient treatment from the U.S. Justice Department after they fully cooperated with the ongoing inquiry, carried out anti-bribery training for its employees, and conducting a world-wide risk assessment.
Ralph Lauren Corp will pay a $882,000 penalty to the Department of Justice and over $730,000 in illicit profits and interest to the Securities and Exchange Commission.
Prosecutors say the bribes allegedly occurred in Argentina throughout a five-year period. During that time, the company did not have any anti-corruption program or training for its employees.
The clothing retailer's lawyer Thomas Hanusik said the allegations were investigated by the company and they reported the activity to authorities and cooperated during the investigation.
Ralph Lauren Corporation is an upscale American lifestyle company and fashion retailer founded by designer Ralph Lauren. The company produces high-end clothing for men and women, including footwear, fragrances, home and housewares. Its subsidiaries include Club Monaco.