The reports spurred a wide-reaching investigation by the department into the behavior of Walmart subsidiaries around the globe, including in Mexico, Brazil, China and India. As part of the settlement, Walmart Brazil has entered a guilty plea in the US District Court for the Eastern District of Virginia, the retailer said. According to court filings, from about 2009 to 2010, Walmart Brazil knowingly led its parent to maintain false records, which then made it into the company’s consolidated financial statements. Walmart Brazil and its employees recorded US$527,000 in payments to an intermediary for assistance in acquiring construction permits, as a payment to certain construction companies, the court filings show. The intermediary’s ability to obtain licenses and permits quickly “by sorting things out like magic” earned the intermediary the nickname “sorceress” or “genie” within Walmart Brazil, the court filings said.

Source: Taipei Times June 21, 2019 15:56 UTC