Nepotism can be a violation of the Foreign Corrupt Practices Act.

Question

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Nepotism involves favoring relatives or close associates in business or political matters, which can lead to conflicts of interest and the abuse of power. The Foreign Corrupt Practices Act (FCPA) prohibits bribery of foreign officials and requires companies to implement internal controls to prevent corrupt practices, including cases where family members or personal connections are involved in hiring or decision-making processes. Therefore, nepotism can be considered a violation of the FCPA if it involves improper payments or other corrupt practices to gain an unfair advantage in international business transactions.

Nepotism Can Be a Violation of the Foreign Corrupt Practices