In The Future, Och-Ziff Capital Management Will Think Twice About Bribing Foreign Officials

Which would be a marked departure from the hedge fund's previous way of doing business.
By VariousThe source code of this SVG is valid.This vector image was created with a text editor. (File:Flag of Libya (1951).svg) [Public domain], via Wikimedia Commons

via Wikimedia Commons

The hedge fund's lawyers had argued "any potentially illegal behavior wasn’t widely known at the firm, with profits from the activities in question totaling less than $100 million," and may therefore be slightly disappointed the Department of Justice's settlement offer wasn't in the form of hearty congratulations for only a few employees engaging in criminal activity to the tune of a mere 8-figures worth of profits.

Still, in light of the fact that members of Team Och-Ziff "bribed high level government officials for business in the Democratic Republic of Congo, Libya and several other African countries," in violation of the whole Foreign Corrupt Practices Act, this punishment doesn't seem all that bad.

Och-Ziff Capital Management Group LLC will pay about $400 million and a subsidiary will plead guilty to settle foreign bribery charges with the U.S. authorities in a criminal settlement, according to people familiar with the matter. The largest publicly traded U.S. hedge fund firm will accept a deferred prosecution agreement, in which any charges would be dismissed after a period if the company stays out of trouble, while an African subsidiary will plead guilty to criminal charges involving bribery overseas, these people said.

Och-Ziff to Pay $400 Million to Settle U.S. Foreign Bribery Probe [WSJ]