Anheuser-Busch InBev

Akebaota Kanjitayi 20130419

Aruzhan Kazbek 20141337
Chingiz Sapargaliyev 20141566
Diana Mergen 20132776
Vyacheslav Tigay 20140881
 Introduction
The company was established in
2008.
Headquarters are located in
Leuven, Belgium.
Revenues for 2016 45 billion $.
Beer industry market share 28%.
Brand Portfolio
SEC description
28thSeptember 2016 Security and
Exchange Commission announced
that Anheuser-Busch agreed to pay
more than 6 million $ to settle
charges for violation of main FCPA
principles.
 Timeframe
In 2009 and 2011 internal employee of Indian branch
reported to managers about illegal payments to
government officials.
No corrective actions took place.
In 2012, Indian branch signed separation agreement with
employee.
In 2013, whistleblower continued to contact with SEC.
In the end of the year he was fired.
The investigation has ended in September, 2016.
5 main violations of the case:

1) Failure of Due Care.

Due care principle requires
excellence, competence,
supervision and diligence, thus
discharging responsibilities
properly.
2) Failure of accounting records.

The company has failed to execute

written contracts with promoters.
The payments to government
officials were not recorded correctly
and were part of legitimate
expenses.
3) Failure to respond.

After the whistleblowers

allegations and internal audit
findings, company took no
corrective action to timely and
correctly respond on them and
fix these problems.
4) Failure to cooperate.

The company did not disclosed

whistleblowers complains
initially, and then did not
respond to SECs allegations and
requirements, which delayed
the investigation process.
5) Failure of whistleblower protection program.

The threat of financial

punishment for whistleblower
contact with SEC is clearly
unacceptable.
The whistleblower was fired in
2013 without explanation.
The financial and non-financial costs

The total payment of 6 million $ includes:

2.7$ million of disgorgement payment
292000$ of interest
3$ million of penalty fees
No information about whistleblower reward.
No imprisonments or other legal actions were introduced.
What about reputation and ethics?
Thank you
for your
attention!