FCPA

AAG Brian Benczkowski’s 2018 memo on selecting corporate monitors states that one should only be imposed when there’s a “clear benefit” of doing so. And yet there was none imposed on the Goldman Sachs case. Michael Volkov discusses. In 2020, the Justice Department did not insist on the appointment of any independent compliance monitors. The year before, in 2019, the DOJ...

If there were ever a question about energy traders and FCPA risk, a recent FCPA enforcement action against Vitol answers it once and for all. Tom Fox outlines the bribery schemes and corruption in Mexico and Ecuador, as well as the penalties assessed. Interestingly, this action marks the DOJ’s first coordinated FCPA resolution with the Commodity Futures Trading Commission (CFTC)....

Tom Fox details the bribery scheme at J&F Investimentos SA (J&F), a Brazil-based investment company, the company's FCPA violations and the following DOJ resolution and SEC settlement. Given the inventive ways J&F engaged in bribery and corruption, compliance practitioners would do well to study this particular case.   Download the full whitepaper below.

Sargeant Marine Inc. recently pleaded guilty to conspiracy to violate the anti-bribery provisions of the Foreign Corrupt Practices Act, with the wrongdoing carried out by the company's employees and agents in Brazil, Venezuela and Ecuador. Tom Fox details the bribery schemes, the penalty Sargeant Marine incurred and the guilty pleas and offers takeaways for boards of directors.   Download this...

Consider the Herbalife FCPA enforcement action a case study in why multiple redundancies are important. Unless the whole of the organization is corrupt, eventually someone will notice misconduct and compliance violations. In Herbalife’s case, the company’s bribery scheme spanned 10 years and stretched right to the top of the organization. Tom Fox mines the Herbalife FCPA enforcement action for lessons...

Recent media reports have revealed numerous scandals tied to COVID-19 throughout Latin America. Miller & Chevalier’s Alejandra Montenegro Almonte and Greg Bates discuss several of these scandals and offer guidance to help all organizations mitigate the risk of corruption. The coronavirus pandemic and the longstanding challenges of corruption and bribery in Latin America together have created a perfect storm of...

Swiss pharmaceutical giant Novartis has recently been on the receiving end of two significant enforcement actions: the first for violations of the Foreign Corrupt Practices Act; the second for violations of the False Claims Act and Anti-Kickback Statute. Tom Fox details the bribery schemes and the internal control failures, outlines just how much Novartis has lost as a result and...

The DOJ and SEC recently released the second edition of the Foreign Corrupt Practices Act (FCPA) Resources Guide, marking the first changes since 2012. Tom Fox discusses their rationale for the update, covering the new hallmark, the FCPA corporate enforcement policy, the accounting provisions and policy and case law updates. Enjoy a sample from this download: The New Hallmark Obviously...

Americas Society/Council of the Americas (AS/COA) and Control Risks, the global specialist risk consulting firm, present the publication of the 2020 Capacity to Combat Corruption (CCC) Index, a data-driven analytical tool to assess Latin American countries' ability to uncover, punish and deter corruption. "The Index shows in detail how the anti-corruption wave that was advancing in Latin America a few...

Changes are on the horizon for FCPA prosecutions. Nicole Sprinzen and Kara Kapp of Cozen O’Connor offer guidance to help compliance professionals navigate the FCPA landscape given what’s to come, particularly in terms of white-collar prosecutions. Every consideration of whether to self-disclose a violation of the Foreign Corrupt Practices Act (FCPA) ultimately comes down to one key question: If the...

Jay Rosen explores proactive monitoring, which demonstrates the benefits of using a third party to fulfill the compliance mandates laid out by the DOJ. I have been looking back at some Department of Justice (DOJ) announcements over the past several years, as well as the FCPA Corporate Enforcement Policy, announced in November 2017, to consider what strategies companies can use...

Jay Rosen continues to review the DOJ announcements over the past year and the FCPA Corporate Enforcement Policy, announced in November 2017, to consider the strategies companies can use based upon these documents. Over the series I have explored what companies can do both internally and externally to incorporate the Benczkowski Memo (the “Memo”) and other DOJ guidance into their...