A television network in India has filed a suit against Nielsen in the New York State Supreme Court. The lawsuit alleges that Nielson’s Indian arm, TAM Media Research, has manipulated ratings in exchange for bribes. The plaintiff, New Dehli Television, claims that nearly one billion dollars in advertising revenue was lost because of the false ratings.
While this particular case is new, Calculated Risk Advisors reminds clients that violations of the Foreign Corrupt Practices Act (FCPA) are not new. International corporations need to train employees on the FCPA to prevent instances or allegations of bribery and other corrupt practices from being levied against the company. Calculated Risk Advisors advises any company operating internationally to purchase directors and officers liability coverage that provides limited coverage against FCPA claims.