CFO of Wal-Mart India Suspended for Bribery Allegations

Pankaj Madan, the Chief Financial Officer of the Indian joint venture of Wal-Mart Stores Inc., has been suspended along with other employees for alleged violations of U.S. anti-bribery laws, reports Reuters.

 

The world's largest retailer has also opened internal inquiries or investigations into bribery allegations in a number of countries including Brazil, China and India, which follows an earlier probe in Mexico.

 

"We are a committed to conducting a complete and thorough investigation," Wal-Mart said in a statement. "It would be inappropriate for us to comment further until we have finished the investigation."

 

Indian authorities are also investigating claims that Wal-Mart violated foreign exchange rules when it invested $100 million in a domestic unit owned by its wholesale joint-venture partner.

 

The two separate probes could deter India's efforts to open its domestic supermarket sector to foreign investment. Opposition parties and allies are opposed to allowing global giants like Wal-Mart into the retail sector, saying to do so would drive small traders out of business.

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