In 2020, the Justice Department did not insist on the appointment of any independent compliance monitors. The year before, in 2019, DOJ insisted on the appointment of three independent corporate monitors – MTS...more
The Justice Department continues to produce FCPA resolutions in a record year for enforcement. The latest, and perhaps the beginning of several end-of-year and end of the Trump Administration resolutions, is DOJ’s settlement...more
12/8/2020
/ Anti-Corruption ,
Bribery ,
Corporate Counsel ,
Corruption ,
Criminal Prosecution ,
Deferred Prosecution Agreements ,
Department of Justice (DOJ) ,
Disgorgement ,
Ecuador ,
Enforcement Actions ,
Foreign Corrupt Practices Act (FCPA) ,
Money Laundering ,
Oil & Gas ,
Petrobras ,
White Collar Crimes
Companies have had over one year to review and implement a sanctions compliance guidance program. This last year, however, has been difficult (to say the least) given the COVID-19 pandemic....more
The Beam Suntory case is yet another example of a failure of internal and external auditors, and legal and compliance professionals. Reviewing cases involves a focus on how and why a compliance failure occurred....more
J&F Investmentos SA (“J&F), a Brazilian private investment company, plead guilty to FCPA bribery violations in federal court in Brooklyn, New York. As part of the plea agreement, J&F agreed to pay a fine of $256 million and...more
10/20/2020
/ Agribusiness ,
Anti-Corruption ,
Bribery ,
Compliance ,
Corruption ,
Criminal Prosecution ,
Department of Justice (DOJ) ,
Enforcement Actions ,
Foreign Corrupt Practices Act (FCPA) ,
Private Investment Funds ,
Securities and Exchange Commission (SEC) ,
White Collar Crimes
While the issuance of an Opinion Release after six years is a significant development in the FCPA arena, I am puzzled why the requestor even submitted the request. In reviewing the facts, the requestor’s inquiry does not...more
Corporate boards face serious challenges – business disruption from the pandemic and a slowing global economy. Directors have to focus on these two issues for at least the next 12 months....more
Corporations are slow to change. Unless forced by government prosecutors or regulators, companies inherently resist change, even when such changes can make a business more profitable. ...more
World Acceptance Corporation (“WAC”), a US-based consumer loan company, agreed to pay the SEC $21.7 million for FCPA violations in Mexico. WAC’s cited violations covered the full gamut of FCPA violations, including bribery...more
8/11/2020
/ Anti-Corruption ,
Books & Records ,
Bribery ,
Compliance ,
Corporate Counsel ,
Corruption ,
Enforcement Actions ,
Foreign Corrupt Practices Act (FCPA) ,
Internal Controls ,
Mexico ,
Popular ,
Regulatory Violations ,
Securities and Exchange Commission (SEC) ,
Settlement Agreements ,
White Collar Crimes
Here is another profound grasp of the obvious (for which I have a knack for delivering) – compliance and legal professionals can learn a number of lessons from individual enforcement actions. In many cases, however, there is...more
The Alexion Pharmaceutical SEC FCPA enforcement action represents another in the long line of enforcement actions against drug and device companies. The drug and device industries have been – and will continue to be — easy...more
7/10/2020
/ Alexion ,
Anti-Corruption ,
Books & Records ,
Bribery ,
Enforcement Actions ,
Foreign Corrupt Practices Act (FCPA) ,
Health Care Providers ,
Pharmaceutical Industry ,
Popular ,
Securities and Exchange Commission (SEC) ,
White Collar Crimes
Notwithstanding the pandemic and remote working arrangements, the Securities and Exchange Commission is continuing to bring FCPA enforcement actions....more
We have a new poster-child for a defective corporate culture of wrongdoing. Novartis has joined the exclusive club, along with Siemens, General Motors, Wells Fargo, and others in the misconduct Hall of Fame. ...more
7/8/2020
/ Anti-Corruption ,
Anti-Kickback Statute ,
Bribery ,
Charitable Donations ,
Compliance ,
Corporate Culture ,
Corporate Integrity Agreement ,
Department of Justice (DOJ) ,
False Claims Act (FCA) ,
Foreign Corrupt Practices Act (FCPA) ,
Novartis
DOJ’s revised Evaluation of Corporate Compliance Program Guidance (“DOJ Guidance”) is yet another reminder on how far compliance has evolved and the path forward. Compliance programs have to incorporate real-time monitoring,...more
Let’s face it – DOJ’s revised Evaluation of Corporate Compliance Program Guidance reflects an attempt (although an important one) by DOJ’s leadership to catch up with the compliance industry....more
The Justice Department’s revised Evaluation of Corporate Compliance Program Guidance (“DOJ Guidance”) was released with little fanfare. It is difficult to find the press release that accompanied the release....more
If anyone thought that DOJ was planning to relax its expectations regarding corporate compliance programs, forget it – DOJ has removed all doubt. In an announcement on Monday, June 1, 2020, DOJ released revised guidance,...more
At the outset, if you have a headache after reading my first two posts on the beneficial ownership issue, I apologize. The issues twist and turn depending on whether the situation involves OFAC sanctions or corruption risks,...more
Under the U.S. Federal Sentencing Guidelines, in order to receive credit for having an effective compliance program, and thereby reduce the fines imposed on the organization, a Board of Directors must be “knowledgeable about...more
As the Covid-19 virus is proliferating, so is the practice of conducting business through videoconferencing from home....more
Judge Stanley Sporkin was a mentor, a professional colleague and a friend. I admired Judge Sporkin, respected his commitment to integrity and valued our professional collaboration and personal friendship....more
Many global companies are behind the eight-ball (translation, slow to implement) effective antitrust compliance programs. A small number of companies, some of which have suffered antitrust enforcement actions or operate in...more
OFAC continues to aggressively enforce its sanctions programs. In its latest enforcement action, OFAC agreed with Société Internationale de Télécommunications Aéronautiques SCRL (“SITA”), a Swiss telecom company, to an...more
3/5/2020
/ Airlines ,
Anti-Corruption ,
Aviation Industry ,
Compliance ,
Corporate Counsel ,
Corporate Misconduct ,
Corruption ,
Digital Service Providers ,
Economic Sanctions ,
Enforcement Actions ,
Ethics Breach ,
Failure to Comply ,
Global Terrorism Sanctions Regulations (GTSR) ,
Goods or Services ,
Investigations ,
Office of Foreign Assets Control (OFAC) ,
Regulatory Violations ,
SDN List ,
Software ,
Telecommunications ,
White Collar Crimes
Chief compliance officers are heroes. They labor every day to advance a company’s ethics and compliance program without much recognition, with few resources, and with well-known gaps in their programs....more
3/3/2020
/ Anti-Corruption ,
Chief Compliance Officers ,
Compliance ,
Compliance Management Systems ,
Corporate Culture ,
Corporate Governance ,
Corruption ,
Ethics ,
Internal Controls ,
Leadership ,
Risk Management ,
White Collar Crimes
The Justice Department “listens and learns” from companies and compliance practitioners. As part of every enforcement action, DOJ prosecutors review and assess compliance programs in accordance with the standards explained...more
2/27/2020
/ Anti-Corruption ,
Chief Compliance Officers ,
Compliance ,
Confidentiality Policies ,
Corporate Culture ,
Corruption ,
Department of Justice (DOJ) ,
Incident Response Plans ,
Internal Controls ,
Internal Reporting ,
White Collar Crimes