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Fresenius Medical Care AG & Co. KGaA

We are investigating Fresenius Medical Care AG & Co. KGaA (FMS) (“Fresenius” or the “Company”) for potential violations of the federal securities laws. 

On February 25, 2014, Fresenius filed its annual report for 2013 with the U.S. Securities and Exchange Commission (“SEC”), disclosing, in part, that “[w]e have received communications alleging certain conduct in certain countries outside the U.S. and Germany that may violate the FCPA [Foreign Corrupt Practices Act] or other anti-bribery laws, and our Audit and Corporate Governance Committee is conducting an internal review with the assistance of independent counsel retained for that purpose.”  On February 25, 2015, Fresenius filed its annual report for 2014 with the SEC, disclosing that “[c]onduct has been identified that may result in monetary penalties or other sanctions under the FCPA or other anti-bribery laws.  In addition, the Company’s ability to conduct business in certain jurisdictions could be negatively impacted.”  On February 26, 2018, Fresenius announced that it had “decided to establish a provision in the total amount of EUR 200m in its 2017 annual financial statements with respect to its ongoing settlement negotiations with the U.S. government regarding conduct that may have violated provisions of the U.S. Foreign Corrupt Practices Act.”  Following this news, Fresenius’s American depositary receipt price fell $1.82 per share, or 3.32%, to close at $52.92 per share on February 27, 2018.  On February 20, 2019, Fresenius filed its annual report for 2018, disclosing, in part, that it had recorded an additional charge of €77 million in 2018 “encompassing estimates for the government’s claims for profit disgorgement, penalties, certain legal expenses, and other related costs or asset impairments believed likely to be necessary for full and final resolution, by litigation or settlement, of the claims and issues arising from the investigation.”  Then, on March 29, 2019, the U.S. Department of Justice issued a press release announcing that Fresenius had “agreed to pay approximately $231 million to resolve investigations by the Department of Justice and the Securities and Exchange Commission (SEC) into violations of the Foreign Corrupt Practices Act (FCPA) in connection with Fresenius’s participation in various corrupt schemes to obtain business in multiple foreign countries.”