Delphi reviewing possible 'improper payments' in China

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(Reuters) -- Auto parts maker Delphi Automotive Plc is reviewing potential violations of the U.S. Foreign Corrupt Practices Act linked to payments made by employees in China, the company disclosed in a regulatory filing.

The company has identified "certain potentially improper payments" by some manufacturing facility employees in China that may violate provisions of the FCPA, Delphi said in a 10-Q filing with the Securities and Exchange Commission last week.

Delphi said it has disclosed these matters to the U.S. Department of Justice and the SEC and is cooperating fully with the agencies.

The company has engaged outside counsel to assist in its review and currently does not expect the outcome of the review to have a material adverse impact on it, the filing said.

"Violations of the FCPA could result in criminal and/or civil liabilities and other forms of penalties or sanctions," Delphi warned in the filing.

Delphi, which has been drawn into General Motors Co.'s recall of defective ignition switches linked to at least 13 deaths, posted strong first-quarter results and raised its 2014 earnings outlook last Thursday.

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