The Securities and Exchange Commission has charged Stryker with violating the books and records and internal accounting controls provisions of the Foreign Corrupt Practices Act, the second time it has brought an FCPA action against the medical device company.
Stryker agreed to settle the charges and pay a $7.8 million penalty. The SEC’s order found that the company’s internal accounting controls were not sufficient to detect the risk of improper payments in sales of Stryker products in India, China, and Kuwait, and that Stryker’s India subsidiary failed to maintain complete and accurate books and records.