Rockwell Automation (NYSE: ROK) said today that it has settled a previously disclosed civil matter with the Securities and Exchange Commission (SEC) involving civil violations of the books and records and internal controls provisions of the U.S. Foreign Corrupt Practices Act that took place in 2006 and earlier by one of its former Power Systems subsidiaries in China.
Under the terms of the settlement, Rockwell Automation will forfeit $1.8 million in profit, plus interest and a $400,000 penalty.
Rockwell Automation said it discovered the potential violations through its normal financial review process. It voluntarily self-reported to the SEC, publicly disclosed this matter in its Form 10-K in November 2006, and fully cooperated with SEC staff during the course of the government’s investigation.
“Ethics and integrity are paramount at Rockwell Automation, and these incidents, while isolated, have led us to heighten our vigilance and further improve our training,” said Keith D. Nosbusch, Rockwell Automation Chairman and CEO. “We are firmly committed to excellence in compliance practices, as we are in all areas of responsible corporate citizenship.”
The China subsidiary was divested by Rockwell Automation in January 2007 as part of the sale of its entire Power Systems business to the Baldor Electric Company (NYSE: BEZ).
About Rockwell Automation
Rockwell Automation, Inc. (NYSE: ROK), the world’s largest company dedicated to industrial automation and information, makes its customers more productive and the world more sustainable. Headquartered in Milwaukee, Wis., Rockwell Automation employs about 19,000 people serving customers in more than 80 countries.
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John Bernaden, 414-382-4852
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