In July of 2013 a British due diligence investigator and his American wife were arrested and jailed in China for illegally collecting private information on Chinese citizens. The couple was in the midst of conducting an investigation for pharmaceutical giant GlaxoSmithKline, a company that had been accused of bribery by a whistleblower and was under investigation by the Chinese government. They were later convicted and sentenced to jail in China for these actions. Their convictions brought to light the dangers of conducting investigations in foreign countries, especially those with restrictive government policies, such as China.
Watch Tom Fox, attorney, compliance expert and author, discusses the challenges of due diligence in China, and provides insight into how to mitigate the risks.
- Understanding the legal environment
- Finding information online
- The importance of boots-on-the-ground
- What not to say or do when dealing with government officials