Herbalife to pay 123MM in Chinese bribery case

mobile.reuters.com/article/amp/idUSKBN25O25C

NEW YORK (Reuters) – Herbalife Nutrition Ltd will pay $123.1 million to settle criminal and civil charges it bribed Chinese officials in government agencies and media outlets to boost its business in China, the U.S. Department of Justice said on Friday.

The multi-level marketing company, whose products include dietary supplements, entered a three-year deferred prosecution agreement in which it admitted to conspiring to violate the books and records provision of the Foreign Corrupt Practices Act, an anti-bribery law.

Authorities said Herbalife schemed from 2007 to 2016 to bribe Chinese officials with cash, entertainment, meals and travel to obtain direct selling licenses, reduce government scrutiny and suppress negative coverage by state-controlled media.

China accounted for 19% of Herbalife’s $4.49 billion of net sales in 2016, up from 7% in 2006, regulatory filings show.

Bill is about to be all up on CNBC yelling I told you so.

 

h/t  MasterCookSwag