Previous posts here, here, here, and here highlighted the so-called industry sweep of Hollywood film studies for its business practices in China. These prior posts were generally from 2012 and 2013 and given the passage of time it appears that this sweep did not yield any Foreign Corrupt Practices Act enforcement actions.
Nevertheless, this recent civil complaint filed in California state court by Christopher Fenton (pictured – a former General Manager and Motion Picture Group President of DMG Entertainment) sheds light on the matter specifically as it relates to DMG Entertainment. In the complaint, Fenton alleges that after a “long, successful tenure with DMG, [and his] prominent role within the organization” DMG Entertainment, related entities and individuals failed to comply with certain contractual obligations and oral promises to compensate him in connection with the company’s eventual initial public offering.
Among the job tasks Fenton alleges in the complaint was his successful handling of the SEC’s FCPA investigation of the company. If nothing else, the allegations make for an interesting read on the alleged impact the FCPA inquiry had on Fenton’s life and career.