Bribe

AAA

DEFINITION of 'Bribe'

An illegal payment from one party to another, usually in return for a legal or financial favor. Bribes are often made to public officials or heads of other regulatory agencies in order to escape legal convictions or unfavorable rulings, or as an incentive for the payee to bend or overlook pertinent regulations that would otherwise restrict the payer.

INVESTOPEDIA EXPLAINS 'Bribe'

Bribes and kickbacks of any kind are, obviously, nondeductible. Bribes that take the form of kickbacks to insurance or securities customers are known as rebating, and can result in disciplinary actions by the regulatory authorities.

RELATED TERMS
  1. Kickback

    The payment of something of value to an individual with the goal ...
  2. Rebate

    1. In a short-sale transaction, the portion of interest or dividends ...
  3. Price Fixing

    Establishing the price of a product or service, rather than allowing ...
  4. Financial Action Task Force (FATF)

    An intergovernmental organization that designs and promotes policies ...
  5. Banker Trojan

    A malicious computer program designed to gain access to confidential ...
  6. Black Market

    Economic activity that takes place outside government-sanctioned ...
Related Articles
  1. Economics Basics
    Economics

    Economics Basics

  2. Early Monopolies: Conquest And Corruption
    Personal Finance

    Early Monopolies: Conquest And Corruption

  3. A History Of U.S. Monopolies
    Personal Finance

    A History Of U.S. Monopolies

  4. Educating Your Clients About Cybersecurity
    Investing News

    Educating Your Clients About Cybersecurity

comments powered by Disqus
Hot Definitions
  1. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  2. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  3. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  4. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  5. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  6. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
Trading Center