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GE Healthcare Technologies, which was spun off from General Electric, said it has reported to US regulatory agencies that some of its operations in China may have engaged in overseas bribery violations.
GE Healthcare's quarterly announcement to the Securities and Exchange Commission (SEC) on Tuesday showed that the company had discovered bidding violations and other potential violations of the Foreign Corrupt Practices Act in some provinces of China.
The Foreign Corrupt Practices Act prohibits bribery of foreign officials to win or maintain business.
According to a statement submitted to the SEC by the Chicago based medical equipment and technology developer, the company's revenue in China for the quarter ended September 30th was $719 million, an 8% increase from the same period last year.
According to the announcement, GE Healthcare stated that since 2018, the company has voluntarily disclosed potential violations to the US Department of Justice and the SEC with the assistance of external lawyers.
A spokesperson for GE Healthcare stated in an email that the company is committed to maintaining integrity, compliance, and compliance with laws in every country in which it conducts business. The company has been searching for ways to strengthen its policies and business practices, and will not comment except for disclosed information.
A representative from General Electric has not yet responded to a request for comment.
The announcement submitted on Tuesday was the first disclosure by GE Healthcare of possible violations of the Foreign Corrupt Practices Act. The company stated in the announcement that it had discussed with the SEC and the Ministry of Justice and fully cooperated with their review. GE Healthcare also stated that it is impossible to predict what actions or penalties regulatory agencies may take.
The company stated that it has also implemented improvements to its compliance policies and practices, but did not specify specific measures.
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