Lilly Reaches Agreement with U.S. Securities and Exchange Commission
INDIANAPOLIS, Dec. 20, 2012
INDIANAPOLIS, Dec.20, 2012 /PRNewswire/ --Eli Lilly and Company (NYSE: LLY)
today announced that it has reached an agreement with the U.S. Securities and
Exchange Commission (SEC) to settle issues regarding compliance with the U.S.
Foreign Corrupt Practices Act (FCPA). The settlement relates to an
investigation by the SEC of certain activities of four Lilly affiliates –
Brazil, China, Poland and Russia – from 1994 through 2009. Lilly was first
notified of the investigation in August 2003. Without admitting or denying the
allegations, Lilly has consented to pay a civil settlement amount of $29.4
million and agreed to have an independent compliance consultant conduct a
60-day review of the company's internal controls and compliance program
related to the FCPA. The company believes that this civil settlement brings
resolution to issues from the past and is in the best interest of the company.
"Lilly requires our employees to act with integrity with all external parties
and in accordance with all applicable laws and regulations," said Anne Nobles,
Lilly's chief ethics and compliance officer and senior vice president of
enterprise risk management. "Since ours is a business based on trust, we
strive to conduct ourselves in an ethical way that is beyond reproach. We have
cooperated with the U.S. government throughout this investigation and have
strengthened our internal controls and compliance program globally, including
significant investment in our global anti-corruption program."
The SEC noted that since the time of the conduct alleged in its complaint,
Lilly has made improvements to its global anti-corruption compliance program,
including: enhancing anti-corruption due diligence requirements for
relationships with third parties; implementing compliance monitoring and
corporate auditing specifically tailored to anti-corruption; enhancing
financial controls and governance; and expanding anti-corruption training
throughout the organization.
Lilly, a leading innovation-driven corporation, is developing a growing
portfolio of pharmaceutical products by applying the latest research from its
own worldwide laboratories and from collaborations with eminent scientific
organizations. Headquartered in Indianapolis, Ind., Lilly provides answers –
through medicines and information – for some of the world's most urgent
medical needs. Additional information about Lilly is available at
Some statements in this press release may be forward-looking statements,
including but not limited to statements regarding the final resolution of the
FCPA investigation and the efficacy of the Lilly's internal controls to
prevent future legal, regulatory, or compliance issues. These statements are
subject to risks and uncertainties that may cause actual results to differ
materially from anticipated results. For further discussion of risks and
uncertainties affecting the company's business, see Lilly's filings with the
United States Securities and Exchange Commission. Lilly undertakes no duty to
update forward-looking statements.
Refer to: Mark E. Taylor (317) 276-5795
(Logo: http://photos.prnewswire.com/prnh/20031219/LLYLOGO )
SOURCE Eli Lilly and Company
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