Under the FCPA, companies can be punished not only for the wrongful things they do, like paying bribes, but also for certain things they don’t do. In particular, the FCPA’s accounting provisions require companies to have internal controls in place. When companies do not have certain protections, such as appropriate accounting systems and anti-corruption policies, procedures and processes, ...
Keeping the cards close to the vest is not the best strategy for casinos trying to avoid being used as money laundering outlets. Rather, transparency trumps secrecy. This is particularly true for casinos operating in the Asia Pacific region.
In the wake of continuing press reports about the role of bribery in international commerce, many corporate directors and senior executives are asking for a fresh look at their company’s exposure to the risks of violating the U.S. FCPA, the U.K. Bribery Act, and similar laws around the world. A team of K&L Gates attorneys have identified eight key ...
As the saying goes, a chain is only as strong as its weakest link. This adage rings true in many situations. In regard to risk, for example, there are countless points at which various individuals might contribute to the overall strength of an organization’s management of risk. The antithesis of the “it’s-not-my-job” mentality, this mindset is all about a corporate consciousness […]
As part of the Compliance Done Right series that spotlights those corporations and compliance teams and professionals that are doing something right, here is a case study on how BAE Systems integrated internal controls.
Thomas Fox reviews the FCPA violation allegations against Morgan Stanley's former managing director Garth Peterson and why the DOJ and SEC chose not to prosecute the company.
John Hanson wraps up his series on the Fraud Triangle, today focusing on the perception factor, which though not part of the Fraud Triangle, may be an overriding factor in a person’s decision whether to violate a compliance policy, act unethically or commit a fraud, even when risk levels are high within the three Fraud Triangle factors.
In today’s post we revisit the Biomet deferred prosecution agreement. As you may recall, one of the major failings of the company, which led to the violations of the Foreign Corrupt Practices Act were those of the company’s internal audit department. I asked my colleague Henry Mixon, CPA and FCPA internal controls specialist, for his […]
In Part 1 of this series, John Hanson provided an overview of the Fraud Triangle and how incorporating it into compliance risk assessments can improve a compliance program’s assessment and prioritization of compliance risks. Now he focuses on the “opportunity” factor of the Fraud Triangle and provides some practical ways to incorporate this factor into a larger compliance risk ...
The demise of SAS 70 audits raises questions, confusion and a dose of drama. To gain clarity on the auditing standard’s replacement and its alternatives, it helps for service providers and their customers to understand what went on behind the scenes that caused in this change