Featured Articles:

The “New” Face of Corporate Misconduct

As we look across the corporate governance landscape and focus on the spikes of corporate scandals, I started to wonder if there was any pattern or trend to the nature of corporate scandals. In the early 2000s, the country was rocked by financial accounting scandals and massive fraud in corporate reporting. In response, the Sarbanes-Oxley reforms were enacted, transforming the auditing and financial reporting requirements....

The FCPA Enforcement Run Continues into 2017

Just when we thought 2016 was over and we could all breathe a sigh of relief, DOJ and the SEC have continued to run with a string of new enforcement actions.   To all of those prognosticators, paparazzi, commentators, chicken littles, and dire warnings, the answer is clear – FCPA enforcement is here to stay, compliance is a must, and increased DOJ/SEC resources are bearing fruit....

Lessons Learned and Compliance Trends from the VW and Takata Scandals (Part III of III)

When unraveling a major corporate scandal, especially multi-year schemes involving senior executives, the blame game or lessons learned approach can easily turn into a fruitless exercise. The VA and Takata scandals are important reminders of basic compliance and governance requirements. If carefully considered, they underscore the reasons why compliance programs exist and why an effective program is so critical in today’s global economy. My list...

NAVEX Global Webinar: 2017 — An Evolving Landscape for Third Party Risk Management

Join us for this free webinar where we’ll discuss how a new administration and anticipated enforcement and regulatory changes will impact your third party due diligence programs. Register HERE Register to hear information on: Potential impacts of the Trump administration on compliance Changes to FCPA enforcement approaches Disgorgement trends Yates Memo impacts Upcoming regulatory changes Not only will we discuss what’s happening in the world...

Takata – Criminal Airbag Scheme and Innocent Consumer Harm (Part II of III)

In my continuing review of corporate misconduct in the automobile industry, today we examine the Takata Corporation scandal for its airbag scheme. Takata is a manufacturer and supplier of automotive safety equipment. It agreed to plead guilty to wire fraud and pay $1 billion in criminal penalties for its long-time scheme to sell defective airbag inflators. At the same time, the Justice Department announced the...

Volkswagen: When Car Companies Veer Off Course (Part I of III)

Corporate misconduct occurs in a variety of forms. Starting with the basic truism – companies act through people, and when companies engage in misconduct it requires the coordination and collaboration of multiple actors. The scope of such misconduct can vary, of course, and the greater the extent of the misconduct, the more actors are involved. The auto industry’s record on safety misconduct is legendary, stretching...

Multi-Jurisdictional Prosecutions and the SFO Show Teeth in Rolls Royce Settlement

Lauren Connell, Managing Associate at the Volkov Law Group, joins us again for a posting on the Rolls Royce Anti-Corruption Settlement.  Lauren can be reached at lconnell@volkovlaw.com. Rolls Royce’s $800 million global settlement further solidifies what the future of anti-bribery and corruption enforcement looks like: multi-jurisdictional prosecutions based on egregious conduct supported by strong evidence. The similarities to the recent Odebrecht – Braskem $3.5 billion...

Mondelez FCPA Enforcement Action — An Abuse of Prosecutorial Discretion?

The first FCPA enforcement action for 2017 landed with very little fanfare. The SEC reached a settlement with Mondelez International for $13 million. The facts surround the hiring of an agent in India and the failure of Mondelez to monitor and conduct basic due diligence on the third-party agent. Kraft Foods acquired Cadbury, a UK candy and beverage company. Kraft Foods renamed itself Mondelez after...

The Real Explanation for the Record Year for FCPA Enforcement

I am not an “I told you so” person – frankly, it is a very unattractive character trait. I am more comfortable with the old adage – even a broken clock is correct twice a day. I fall into that category. All the FCPA prognosticators, predictors and paparazzi have missed the boat on understanding what happened this year – 2016, to make this a record...