Avon Products Bribery Scandal in China

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AVON PRODUCTS BRIBERY SCANDAL IN CHINA Presented to Dr. Mark Panos Towson University Prepared by Kia Allen & Marie Claire Llareus Towson University Students English 317.20 May 8, 2012 TABLE OF CONTENTS TRANSMITTAL LETTER……………………………………………………………………….ii ABSTRACT……………………………………………………………………………………...iii EXECUTIVE SUMMARY……………………………………………………………………….v INTRODUCTION………………………………………………………………………………...1 BACKGROUND………………………………………………………………………………….1 CASE STUDY…………………………………………………………………………………….2 Ethical Issue……………………………………………………………………………….2 Avon vs. the U.S. Securities and Exchange Commission…………………………………3 Monetary Effects…………………………………………………………………………..4 RELEVANT LAW………………………………………………………………………………..5 The Foreign Corrupt Practices Act………………………………………………………..5 Liability……………………………………………………………………………………5 The OECD Anti-Bribery Convention……………………………………………………..6 PROPOSAL……………………………………………………………………………………….6 The FCPA Definition of “Foreign Official”………………………………………………6 OECD Enlargement and Enhanced Engagement in the Fight against Foreign Bribery…..8 Global Awareness of Foreign Bribery…………………………………………………….8 FEASIBILITY STUDY…………………………………………………………………………...9 CONCLUSION & RECOMMENDATIONS……………………………………………………..9 REFERENCES…………………………………………………………………………………..11 LOGICAL FALLACIES…………………………………………………………………………iv Statements………………………………………………………………………………....v Logical Fallacy Chart…………………………………………………………………......vi APPENDIX……………………………………………………………………………………...vii Appendix A……………………………………………………………………………...viii Appendix B……………………………………………………………………………….ix COURT DOCUMENTS…………………………………………………………………………..x Class Action Complaint…………………………………………………………………..xi Amended Complaint for Violations of the Federal Securities Law……………………..xii Allen & Llareus Solutions 317 West Aspen Road kallen10@students.towson.edu Towson, MD 21252
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