United States v. Bobby J. Elkin, Jr. (W.D. Va. 2010)

• Case Name
• United States v. Bobby J. Elkin, Jr. (W.D. Va. 2010)

• Date Filed
• 08/03/2010

• Enforcement Agency
• DOJ

• Countries
• Kyrgyzstan

• Foreign Official
• Kyrgyz Tobacco Authority; Local Kyrgyz Government Officials; Kyrgyz Tax Inspection Police.

• Date of Conduct
• 1996 to 2004

• Nature of Business
• Bobby J. Elkin, a U.S. citizen, was the country manager for Dimon, Inc.’s (“Dimon”) Kyrgyzstan subsidiary, a leaf tobacco company.  As a result of a 2005 merger with Standard Commercial Corporation, Dimon, Inc. now operates as Alliance One International.  

• Influence to be Obtained
• From 1996 to 2004, Elkin paid more than $3 million to government officials in Kyrgyzstan to obtain export licenses, gain access to processing facilities, win contracts to purchase tobacco from local growers, and avoid tax penalties.

• Enforcement
• On August 3, 2010, Elkin pleaded guilty to conspiracy to violate the FCPA.  On October 21, 2010, he was sentenced to three years’ probation and a $5,000 fine.  The DOJ asked for a 30 month prison sentence.  According to media reports, in sentencing Elkin to probation, the court noted Elkin’s cooperation with authorities and pressure put on Elkin by Dimon to make the bribes.  
   
  In April 2010, the SEC charged Elkin and three other Dimon employees with violating the anti-bribery provisions of the FCPA and related aiding and abetting violations.  Without admitting or denying the charges, the four defendants agreed to injunctive relief.  Two of the defendants, but not Elkin, paid financial penalties as well.
   
  In other related proceedings, Alliance One settled FCPA charges with the SEC and two of Alliance One’s foreign subsidiaries settled FCPA charges with the DOJ.
   

• Amount of the Value
• More than $3 million. 

• Amount of Business Related to Payment
• Not Stated

• Intermediary
• None

• Total Sanction
• $ 5,000

• Compliance Monitor
• No

• Reporting Requirements
• No

• Case is Pending?
• No

• Related Enforcement Actions
• United States v. Alliance One International AG (W.D. Va. 2010)
  United States v. Alliance One Tobacco Osh, LLC (W.D. Va. 2010)
  In re Alliance One International, Inc. (2010)
  SEC v. Bobby J. Elkin, Jr., Baxter J. Myers, Thomas G. Reynolds, and Tommy L. Williams (D.D.C. 2010)
  United States v. Universal Leaf Tabacos Ltda. (E.D. Va. 2010)
  

Bobby J. Elkin, Jr. 

• Citation
• United States v. Elkin, No.4:10-cr-00015 (W.D. Va. 2010).

• Date Filed
• 08/03/2010

• Filed Under Seal
• No

• FCPA Statutory Provision
• • Conspiracy: Anti-Bribery

• Other Statutory Provision
• None

• Disposition
• Plea Agreement

• Defendant Jurisdictional Basis
• Domestic Concern

• Defendant's Citizenship
• United States

• Individual Sanction
• 3-Years Imprisonment; $5,000 Criminal Fine.