Qualcomm has entered into a settlement with the U.S. Securities and Exchange Commission (SEC) with respect to its Foreign Corrupt Practices Act (FCPA) investigation. Without admitting or denying the SEC’s findings, Qualcomm has agreed to pay a civil penalty of $7.5 million to resolve this matter.

The SEC order states that on certain occasions Qualcomm gave employees of state-owned entities or government agencies in China event tickets and gifts or paid for travel, and on certain occasions hired children or friends of employees of state-owned entities or ministries in China.

Qualcomm says it has taken additional steps to enhance its existing internal controls and procedures. For example, although like most organizations Qualcomm appreciates referrals of job candidates by those who know the candidates well, tQualcomm says it now closely monitors to determine if a candidate has any relationship with an employee of a government agency or state-owned entity, and applies a stricter standard of scrutiny in an effort to avoid potential FCPA risks in the future.

"Qualcomm is pleased to have put this matter behind us. We remain committed to ethical conduct and compliance with all laws and regulations, and will continue to be vigilant about FCPA compliance," said Don Rosenberg, Executive Vice President and General Counsel of Qualcomm.