The SEC notched another FCPA settlement, continuing its steady pursuit and resolution of FCPA cases. In the meantime, the Justice Department has been silent in the FCPA enforcement arena. In its latest settlement, Moog, Inc. (“Moog”), a New York-based global manufacturer of motion controls systems for aerospace, defense, industrial and medical markets, agreed to pay a civil penalty of $1.1 million and disgorge nearly $600,000,...
October 29, 2024 11 AM EST Sign Up Here Global companies are being challenged with rapidly expanding third-party risks. Cybersecurity, data privacy, and new technologies, such as artificial intelligence, are exponentially expanding third-party risks. The traditional constellation of legal and compliance now includes technology risks that require compliance professionals to collaborate with technology partners and build multi-discipline risk mitigation strategies. Volkov Law is honored to...
TD Banks’ complete compliance disaster was reflected in every aspect of TD Bank’s business and compliance operations. It is not surprising that TD Bank’s deficient BSA and AML compliance program was known by its Board of Directors and senior leadership. TD Bank’s priority on business — even illegal business — outweighed all interest in implementing and maintaining an effective BSA and AML compliance program. ...
TD Bank’s $3 billion settlement included coordinated regulatory settlements with the Federal Reserve Board (“Federal Reserve”), The U.S. Department of the Treasury’s Financial Crimes Enforcement Network (“FinCEN”), and the Office of the Comptroller of the Currency (“OCC”). Each regulator imposed civil penalties and remedial measures. The Federal Reserve fined TD Bank $123.5 million for AML compliance violations. The Federal Reserve also required TD Bank to...
“By making its services convenient for criminals, TD Bank became one,” Attorney General Merrick B. Garland. TD Bank joins the list of dysfunctional companies — add them to Wells Fargo, Wirecard, Volkswagen, General Motors, Goldman Sachs, and the hall of fame of financial scandals. TD Bank became a criminal organization, its employees even stated so in email communications, and its leadership operated with a criminal...
In yet another reminder of the scope of Justice Department enforcement powers, and an important demonstration of the risks of non-compliance, the Justice Department and relevant banking agencies announced a $3 billion settlement with TD Bank companies to resolve systemic and pervasive Bank Secrecy Act (“BSA”) and money laundering violations. In addition to the financial settlement, TD Bank US Holding Company (TDBUSH) (together with TDBNA,...
In late August 2024, the UK’s Office of Financial Sanctions Implementation (“OFSI”), a department within HM Treasury, imposed a monetary penalty of £15,000 on Integral Concierge Services Limited (“ICSL”)—a UK-based property management and concierge company—for serial breaches of the Russia (Sanctions) (EU Exit) Regulations 2019. The enforcement action followed an extensive investigation that uncovered ICSL’s involvement in facilitating payments linked to a designated individual subject...
On September 30, 2024, Quantum Corporation—a U.S.-based technology company— reached a settlement with the U.S. Department of Commerce’s Bureau of Industry and Security (“BIS”) to resolve 45 separate violations of the antiboycott provisions of the Export Administration Regulations (“EAR”). The antiboycott provisions of the EAR are a critical component of U.S. export control regulations designed to prevent U.S. businesses from participating in or supporting foreign...
The Justice Department’s Antitrust Division has been aggressively pursuing civil enforcement actions. While criminal enforcement of antitrust laws has been depressed, DOJ has found success in pursuing civil and merger enforcement. DOJ recently won a significant victory against Google for its monopolization of the search market. DOJ has now turned its attention outside of technology markets by filing suit against Visa for its dominance of...
The Commerce Department’s Bureau of Industry and Security (“DOC-BIS”) is adopting procedures to generate voluntary self-disclosures for violations of export controls laws. Companies have to weigh carefully the risks when deciding whether to make such a disclosure. The Justice Department and DOC-BIS are building joint prosecutions — criminal and civil — against companies for export control violations. This new era is coming and companies have...
