Rolls-Royce disclosed in its annual report that it is under investigation by the US Department of Justice – but several hours later issued a clarification, stating that it had not been notified “of a formal inquiry”.
The UK Serious Fraud Office is already investigating the engine maker over allegations that the company used bribery to win contracts in Indonesia, China and other overseas markets. However, if US authorities opt to bring a case, it could lead to far stiffer fines than those usually handed out in the UK.
The disclosure on page 133 of the company’s annual report, released yesterday, was headlined “Bribery and Corruption”.
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