Inside Asian Gaming

the institution to provide audited financial statements along with a written agreement restricting the use of the funds and a confirmation that none of its officers were affiliated with the government. Then there’s the example of pharmaceutical giant Schering- Plough, which had a subsidiary in Poland that donated money to a foundation that restores historical landmarks. The foundation was genuine. Its founder and president, however, was the director of a government health fund that purchases pharmaceuticals. Worse, “Internal documents established that the payments were not viewed as charitable contributions but rather as ‘dues’ the subsidiary was required to pay for assistance from the government official,” the November FCPA guidance notes, adding that the payments also violated Schering’s own policies, which require that charitable giving “generally should be made to health care institutions and relate to the practice of medicine”. Wynn maintains that the UMAC donation“wasmade following an extensive analysis which concluded that the gift was made in accordance with all applicable laws.”No doubt, corporate counsel has since made note of these “Five Questions to Consider When Making Charitable Payments in a Foreign Country” from the FCPA guidance: • What is the purpose of the payment? • Is the payment consistent with the company’s internal guidelines on charitable giving? • Is the payment at the request of a foreign official? • Is a foreign official associated with the charity and, if so, can the foreign official make decisions regarding your business in that country? • Is the payment conditioned upon receiving business or other benefits? As for Mr Soriano’s visits to Wynn’s casinos, they were part of more than $110,000 in room and food and beverage complimentaries and other courtesies that were extended to current and former members and associates of PAGCOR and their families at the behest of Mr Okada and/or his representatives. These sums were all charged to a courtesy account maintained by the company for Universal and Aruze USA and funded by deposits from Mr Okada or his affiliates. In November 2009, the husband of then-Philippines President Gloria Macapagal Arroyo was comped a week at Wynn Las Vegas at a cost of more than $4,600. In June 2010, his last month in office, Mr Genuino was comped $1,870 at WynnMacau. (The Freeh report claims Universal also paid expenses related to a trip by the former PAGCOR chairman to Beijing during the 2008 Olympics.) More than $5,900 was comped in 2010 and 2011 for stays at Wynn Las Vegas and Wynn Macau by four South Koreans, one of whom was identified at the time as commissioner of the Incheon Free Economic Zone Authority, where Mr Okada is also looking to develop a casino. In September 2010, two months after Mr Genuino was sacked by President Aquino on suspicion of corruption, his successor, Cristino L. Naguiat, and a party that included his wife, their children, the nanny and another PAGCOR officer and his wife ran up a bill over four days at Wynn Macau in excess of $50,000. Mr Okada implies that Wynn was complicit in at least some of this, contending in the Freeh report that “all his efforts in