On January 12, 2017, Zimmer Biomet Holdings, Inc. entered into a three-year deferred prosecution agreement (“DPA”) in connection with charges that the company failed to implement a system of effective internal controls under the FCPA.  The DPA requires Zimmer Biomet to pay a $17.4 million criminal penalty and retain a compliance monitor for three years.  In addition, an indirect subsidiary of Zimmer Biomet, JERDS Luxembourg Holding S.àr.l., agreed to plead guilty to a one-count criminal information, charging the company with causing Biomet to violate the books and records provisions of the FCPA through the actions of its wholly owned subsidiary, Biomet 3i Mexico S.A. de C.V. (“3i Mexico”).  These resolutions also resulted in a breach of a 2012 DPA that Zimmer Biomet had entered into with the Department to resolve a prior investigation into FCPA violations.  The admissions in the resolution documents provide that after the 2012 DPA, Zimmer Biomet continued to use a third-party distributor who was known to have paid bribes on Zimmer Biomet’s behalf, and that 3i Mexico paid bribes to Mexican customs officials so that 3i Mexico could import contraband dental implants into Mexico.  Zimmer Biomet also agreed to pay $6.5 million in disgorgement and $6.5 million as a civil penalty to the SEC. DOJ Press Release