Featured Articles:

Turning Back the Clock – OFAC Plans to Reimpose Iran Sanctions Program

History does not repeat itself but it often rhymes — Mark Twain (although there is disagreement if Twain uttered these exact words (see here)). Just as businesses were growing or planning to grow into Iran, they had the proverbial rug pulled out from under them. Last week, on May 8, 2018, the administration announced its intention to withdraw from the Joint Comprehensive Plan of Action...

Episode 38 — Update on Special Counsel Mueller’s Russia Investigation and the Michael Cohen Investigation

Special Counsel Mueller’s investigation of possible connections between the Trump campaign and Russia has been dominating the country’s attention.  in recent weeks, the US Attorney’s separate investigation of Michael Cohen’s activities has been gaining attention as well.  These two significant investigations are moving at a rapid pace with new developments each day. Michael Volkov discusses these investigations and provides his insights as a former prosecutor...

Dun and Bradstreet Pays $9 Million for FCPA Violations in China

After a lengthy investigation, Dun and Bradstreet (D&B) settled an FCPA enforcement action with the Securities and Exchange Commission for $9 million.  (Here).  At the same time, the Justice Department issued a declination letter, representing the first written declination under its new Corporate FCPA Enforcement Policy.  (Here). D&B’s FCPA violations in China represent the perfect trifecta of risks and violations facing companies in China.  The...

Compliance Lessons Learned from Panasonic Avionics $280 Million FCPA Enforcement Action (Part II of II)

The Panasonic Avionics (PAC) FCPA enforcement settlement for $280 million with the Justice Department and the Securities and Exchange Commission contains a number of important lessons learned.  The overall scope and breadth of PAC’s misconduct was significant and reflects the absence of a meaningful compliance program and commitment to a culture of ethics.  Here are the important lessons learned: C-Suite Misconduct:  PAC is yet another...

Complying with FinCEN’s CDD Rule: Beneficial Ownership Register Vendor Trulioo

May is going to be a rough month for compliance officers — on May 11, 2018, FinCEN’s new Customer Due Diligence(“CDD”) Rule for beneficial ownership becomes effective.  The CDD rule will have a significant impact on the collection of information from customers and AML enforcement.  See here for FinCEN guidance. Many have welcomed these rules as a step in the right direction in combating a significant problem – the ease...

The Volkov Law Group is Hiring: Senior Associate and Associate Positions

The Volkov Law Group is offering a great opportunity for a senior, experienced attorney and a junior, associate attorney. The Volkov Law Group is a nationally-recognized boutique law firm that offers a variety of services, including criminal defense, securities compliance and defense, and ethics and compliance services, including anti-corruption, export and sanctions compliance, anti-money laundering, due diligence and internal investigations. As a leader in anti-corruption...

Panasonic Avionics Pays $280 Million to Resolve FCPA Offenses in Middle East and Asia (Part I of II)

As the nattering nabobs of negativism continued to claim that FCPA enforcement was on the decline, the Justice Department and the SEC settled a major FCPA enforcement action with Panasonic Avionics (PAC), a subsidiary of Panasonic which provides in-flight entertainment systems (“IFEs”) to airlines. Panasonic Avionics agreed to pay a criminal fine of $137 million and $143 million in disgorgement.  As part of the settlement,...

A Valuable Resource: The Fifth Edition of The Foreign Corrupt Practices Act Handbook

We always hear about the dearth of law surrounding the FCPA.  As the Justice Department brings more cases against individuals who are likely to challenge the government’s theories of prosecution, we will see more caselaw develop. In this situation, FCPA and compliance practitioners, as well as in-house and law firm attorneys can obtain the definitive guide to FCPA law, including caselaw, DOJ and SEC enforcement...

Episode 37 — Ethics and Compliance Trends from Recent Surveys and Studies

Two recent ethics and compliance surveys and studies provide important information on ethics and compliance program trends.  The first is LRN’s 2018 Ethics and Compliance Program Effectiveness Report.  The second is the Ethics and Compliance Initiative Global Business Ethics Survey. In this episode, Michael Volkov reviews the two surveys and studies and the implications for ethics and compliance program practitioners.

FLIR Systems ITAR Settlement Outlines Important Export Compliance Factors (Part II of II)

The FLIR Systems settlement is an extraordinary event given the sheer number of violations, the systemic breakdown that occurred, and the absence of any meaningful compliance controls.  It is all the more surprising given the fact that FLIR’s operations are devoted in large proportion to the highly-regulated international defense industry market.  Given the level of risk, you would expect FLIR to have in place systems...