News & Analysis as of

Charitable Organizations Enforcement Actions

Rivkin Radler LLP

Observations on Charities, Taxes, and Cash Flow

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Few provisions of the Code have a single, clear meaning that leaves no room for interpretation. Even many of those that, on the surface, appear fairly straightforward, are usually open to alternative “understandings.”...more

Rivkin Radler LLP

Business Owner Borrows from Their Private Foundation – A Different Form of “For Profit Philanthropy”?

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Many successful business owners attribute some part of their success to their community. For some of these owners, it is not enough to simply acknowledge this “debt”; they feel an obligation to share some of their financial...more

Troutman Pepper Locke

State AGs Crack Down on Charity Fraud

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On October 25, Pennsylvania Attorney General (AG) Michelle Henry announced a court order requiring the pastor and founder of Peniel Christian Fellowship International to pay $305,704 in restitution for allegedly misusing...more

Troutman Pepper Locke

North Dakota Settles With Three Gaming Companies Accused of Exploiting Nonprofit

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On July 6, North Dakota Attorney General Drew Wrigley announced a settlement of an administrative complaint, accusing Western Distributing Company and affiliate companies Plains Gaming Distributing Inc. and Midwest Gaming...more

Health Care Compliance Association (HCCA)

Report on Medicare Compliance Volume 29, Number 28. News Briefs: August 2020

Report on Medicare Compliance 29, no. 28 (August 3, 2020) - The HHS Office of Inspector General (OIG) has given the green light to a plan by a charitable organization to “purchase or receive donations of unpaid medical...more

Skadden, Arps, Slate, Meagher & Flom LLP

A Dialogue With Corporate Counsel: Skadden’s Ninth Annual Pharmaceutical and Medical Device Seminar

On October 22, 2019, Skadden hosted our Ninth Annual Pharmaceutical and Medical Device Enforcement and Litigation Seminar in New York, which focused on U.S. enforcement issues companies face throughout the industry. The key...more

The Volkov Law Group

Two Charitable Foundations Pay $6 Million for Anti-Kickback Violations

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Two charitable foundations that helped patients pay for drug co-payments settled anti-kickback charges for $6 million.  The Patient Access Network Foundation (PANF) agreed to pay $4 million and Good Days agreed to pay $2...more

Holland & Knight LLP

Senate Finance Committee Begins Review of Nonprofit Hospitals

Holland & Knight LLP on

• Based on a new review of nonprofit hospitals by Senate Finance Committee Chairman Charles Grassley (R-Iowa), a congressional investigation is expected that directly requests a number of specific hospitals to answer...more

Pillsbury Winthrop Shaw Pittman LLP

Avoiding SEC Enforcement with Perk Disclosure Audits by Legal Experts

Compensation committees should hire an independent legal expert to audit private jet and other perk disclosures on a privileged basis. Given the SEC’s increased focus on perk disclosure, companies should evaluate their...more

Thomas Fox - Compliance Evangelist

John Fogarty Rocks-Nu Skin Informs Oversight

I recently saw John Fogerty in concert. For those you are not aware, he was a founding member and the driving force behind Creedence Clearwater Revival (CCR), one of the very top American groups from the 1960s and early...more

King & Spalding

SEC Cracks Down on Charitable Contributions under the FCPA - Best Practices In Light of Recent SEC Enforcement

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For the first time, the Securities and Exchange Commission has brought an FCPA enforcement action premised entirely on a one-time charitable contribution. On September 20, 2016, the SEC announced a settled FCPA...more

Morgan Lewis

Lessons Learned from Nu Skin

Morgan Lewis on

The enforcement action against manufacturer Nu Skin Enterprises highlights the risks of making charitable donations in high-risk countries without conducting meaningful anticorruption due diligence....more

The Volkov Law Group

Three Key Takeaways from the Nu Skin FCPA Settlement for a Corrupt Charitable Donation

The Volkov Law Group on

In a rare enforcement action, the SEC settled an FCPA enforcement action for $766,000 for a charitable donation of $154,000 to improperly influence a high-ranking Chiese Communist party official to prevent a provincial agency...more

The Volkov Law Group

Drug Companies and Charitable Patient Foundations

The Volkov Law Group on

Charitable organizations can easily become enmeshed in Justice Department enforcement issues. We have seen charities used in FCPA cases as a means to funnel bribes to government officials, spouses or family members....more

Polsinelli

Regulators' Actions Against Charities that Swindled $187 Million from Donors Serve as Compliance Reminder

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On May 18, 2015, the Federal Trade Commission (FTC) and 58 agencies from all 50 states and the District of Columbia filed a complaint charging four cancer charities and the individuals controlling them with allegedly...more

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