FCPA

Though it’s taken a while to gain steam, the Biden Administration’s approach to FCPA enforcement is becoming clearer. But as compliance expert Michael Volkov explains, prognostication over what DOJ and SEC will do next may be more complicated than it seems. In following the DOJ and the SEC’s FCPA enforcement actions, I am always reminded of the popular phrase “reading...

The blockbuster settlement and plea agreement by Glencore tells the story of a multinational culture of corruption. Attorney and podcaster Tom Fox breaks down the gory details and offers insight into what this case might reveal about where FCPA enforcement is headed under the Biden Administration. “The rule of law requires that there not be one rule for the powerful...

The SEC's FCPA settlement with South Korean telecom KT Corporation was relatively light, thanks in part to the latter's cooperation. But the company's missteps remain a cautionary tale for ethics and compliance. Here's where KT Corporation ignored red flags and missed course-correcting opportunities. The SEC on February 17 announced its first FCPA enforcement action in 2022: South Korean telecommunications company...

Russia's invasion of Ukraine may be largely motivated by the drive to expand corrupt practices, writes Columbia University adjunct professor Matthew Murray. To understand the situation, we need to look back to Ukraine's 2013-14 Euromaidan movement. The demonstrations saw Ukrainians protest the government of former President Viktor Yanukovych and his refusal to sign legislation that would lead to EU membership....

A recent working paper lays out a provocative thesis: senators pressure DOJ to pursue FCPA charges against foreign businesses that operate in their states in the run up to elections. Harvard Law Professor Matthew Stephenson doesn't buy it.  Is enforcement of the U.S. Foreign Corrupt Practices Act (FCPA) improperly politicized? The notion that it is has gained traction in some...

As outlined in a December strategy announcement, the Biden Administration intends to dramatically accelerate the fight against domestic and international corruption. With key leaders confirmed, new methods and resources outlined by recent legislation (with more bills in the offing), and the determination to coordinate across departments, the table has been set to pursue misconduct at a scale not previously witnessed. ...

A U.S. District Court appeared to undermine an important aspect of FCPA cases – the determination of whether a foreign national can be considered a U.S. agent – in a November decision to dismiss charges against a Swiss wealth manager. Explanation for this move is scant, and questions abound. On November 10, 2021, Senior U.S. District Judge Kenneth Hoyt of...

FCPA enforcements fell in 2021 to their lowest in a decade, but many signs point to a rebound in FCPA and anti-corruption prosecutions in the coming year. Attorneys with the international law firm Paul, Weiss, Rifkind, Wharton & Garrison summarize findings regarding corporate enforcement in 2021, compare it to previous years and look ahead at what's to come in their...

DOJ's latest remarks (via Deputy Attorney General Lisa Monaco) on corporate criminal enforcement carry important implications for compliance teams. Going forward, the department will take a wider view of companies' past wrongdoing, require more detailed information on individuals related to actions in question and allow for the broader use of monitorships.  Over the last year, the Biden Administration announced policies...

While 2021 may have been rather light when it comes to the number of FCPA enforcement actions, that doesn't mean the year was unlikely to have major corruption and FCPA enforcement action implications for years to come. A pair of late-year announcements from the Biden Administration portend sweeping changes, and in his trademark style, Tom Fox reviews corruption cases and...

Though broad in scope, the Biden Administration's plan to counter domestic and international corruption follows four primary lines of effort. A series of related proposals for rule-making conclude their comment period in February. Business leaders have the opportunity to respond to both in advance of enforcement. 

The arduous process of FCPA compliance requires risk teams to digest and cross-reference a morass of information – from internal data analysis to human representatives collecting interviews on the ground. Diligence failures can bring about both enforcements and missed opportunities. As U.S. authorities, namely the U.S. Department of Justice (DOJ) and U.S. Securities and Exchange Commission (SEC), state in their...