In September 2007, the SEC filed a settled civil action against Gioacchino De Chirico (an Italian citizen and legal resident of Georgia, who during the relevant time period was President and Chief Operating Officer of the medical equipment company, Immucor, Inc.), in connection with an approximate $16,000 improper payment made by Immucor in 2004 to the director of a public hospital in Italy. The SEC alleged that the payment was made to the director as a quid pro quo in exchange for the director giving the company favorable consideration with regard to a contract to provide products and services to the hospital. According to the SEC, the payment was falsely recorded on Immucor's books and records and made in a manner to enable the director to avoid Italian income taxes. The SEC alleged that De Chirico approved an invoice that falsely described the payment as a consulting fee for services rendered even though De Chirico knew that the director never performed any services. Based on the above conduct, the SEC alleged that De Chirico knowingly circumvented a system of internal accounting controls, knowingly falsified a book and record, and aided and abetted Immucor's violations of the FCPA's books and records and internal control provisions. Without admitting or denying the SEC's allegations, De Chirico agreed to entry of a final judgment ordering him to pay a $30,000 civil penalty. Separately, Immucor and De Chirico consented, without admitting or denying the SEC's allegations, to an SEC cease and desist order against future FCPA violations.
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