With the beginning of the aggressive trade enforcement era, companies need to focus on third-party risk and sanctions enforcement. The law, the practice, and the risks are important. As we embark on a new criminal enforcement era surrounding sanctions violations, companies have to address this issue and do it correctly. In this episode, Michael Volkov takes a comprehensive look at third-party risks from the distribution...

With all of the hoopla and hysteria focused on AI and information systems, Threat.Digital, a long-time affiliate of The Volkov Law Group, Chris Focacci, CEO of Threat Digital, is a technology leader.  Chris has the ability to explain practical application of AI technology, due diligence and information systems.  He is a terrific resource and I urge all interested parties to reach out and speak with...

Given the real and significant potential benefits of AI, companies have to be careful in the rush to implement AI technology.  Starting with a clear use case, companies have to weigh the potential benefits of AI technology and identify the legal and compliance risks.  An AI compliance program is a critical element of a corporate governance structure.  Building on this specific policy, companies need to...

The new world of AI presents significant benefits and risks that need to be addressed in an overall governance framework.  Luckily, the principles to apply here will surprise no one — governance, compliance, legal and risk professionals will quickly adapt well-known principles to the new frontier of AI. Starting at the Board level, AI oversight responsibility should be assigned a dedicated board committee, such as...

Well, let’s all admit it — we have all enjoyed using the new, hot technology, AI.  It is an understatement to opine that AI is transforming our world, business and personal.  This development compares to the 1990s and the impact of the Internet.  Many of us are early users of AI, finding it a welcome alternative or supplement to Internet research tools.  Businesses are quickly...

In the first FCPA declination under the Trump Administration, Liberty Mutual Insurance Company paid $4.7 million in disgorgement and received a declination letter from the Department of Justice. The declination reflects consistent application of the existing Corporate Enforcement Policy.  While DOJ has issued new guidance on FCPA enforcement reflecting its revised priorities, DOJ’s declination does not reference or incorporate any ideas from the guidance.  Instead,...

Last week, the Justice Department announced that Cadence Design Systems Inc. (Cadence), a global electronic design automation (EDA) technology company based in San Jose, California, agreed to plead guilty to a conspiracy to violate export control laws by selling EDA hardware, software, and semiconductor design intellectual property (IP) technology to the National University of Defense Technology (NUDT). NUDT, which is a university in the People’s...

Well, we are in a new era — a fundamental change has occurred, long in the making.  National security and trade enforcement have coalesced to elevate trade risks — sanctions and export controls violations will be prosecuted aggressively by DOJ with the support and coordination with relevant regulatory agencies — OFAC, BIS, and DTCC.  My focus has not been to instill fear and knee-jerk reactions...

It takes something more than intelligence to act intelligently — Fyodor Dostoevsky Criminals are not as smart as they think they are.  There is nothing so unique that elevates a scheme into the ethereal world of brilliance.  The schemes get to be “typical” and the means by which they are executed are often fairly obvious. In most white collar cases, criminals are often sociopaths or...