The U.S. Securities and Exchange Commission (SEC) has announced that Moog Inc., a globally recognized manufacturer based in New York specializing in motion control systems for the aerospace, defense, industrial, and medical industries, has agreed to pay a $1.1 million civil penalty. This settlement addresses charges by the SEC that Moog violated the Foreign Corrupt Practices Act (FCPA) through the actions of its fully owned Indian subsidiary, Moog Motion Controls Private Limited.
Without admitting or denying the allegations, Moog consented to the SEC's directive to cease and desist from any future infractions and agreed to the financial penalty.
The SEC alleged that between 2020 and 2022, employees of Moog Motion Controls engaged in bribery of various Indian officials to procure business. They reportedly employed a range of tactics to facilitate these improper payments, including channeling funds through third-party agents and distributors. Moreover, the employees purportedly offered cash bribes to influence public tenders in India, aiming to secure preferential treatment for Moog's products while excluding competitive offerings.