MINNEAPOLIS (WCCO) — Stock for the Minnesota-based company 3M dipped Friday, at one point reportedly by more than 4%, after reports that the company was conducting internal investigations into potential violations of the U.S. Foreign Corrupt Practices Act.
The Minnesota company Friday revealed possible travel, funding and record-keeping problems with its business groups based in China. 3M says it told the feds about these potential violations earlier this week.
The company hired an outside lawyer and forensic accounting firm to help with the investigation.
As of 1 p.m., shares listed at $173.24, down about 2.7% for the day. Marketwatch reports that stock had already fallen 0.7% on Thursday after the company reported second-quarter results while cutting its China growth outlook.
“The company, through its internal processes, discovered certain travel activities and related funding and record keeping issues raising concerns, arising from marketing efforts by certain business groups based in China,” 3M said in its 10-Q SEC filing Friday afternoon. “The company initiated an internal investigation to determine whether the expenditures may have violated the U.S. Foreign Corrupt Practices Act or other potentially applicable anti-corruption laws.”