Matt Stankiewicz, Partner at The Volkov Law Group, joins us for a posting on compliance with OFAC Sanctions. Matt can be reached at [email protected]. Unsurprisingly, we’ve been fielding a significant number of inquiries regarding the latest Russian sanctions. Most companies seek black and white answers – what can we do and what can’t we do. However, sanctions are very rarely, if ever, that black and...
The Department of Justice criminal prosecution of Mark Forkner, chief technical pilot at Boeing responsible for the 737 Max, ended in quick acquittal. DOJ prosecutors suffered an embarrassing loss in an attempt to hold Forkner responsible for misleading FAA officials on the training level required for pilots flying the 737 MAX. DOJ’s loss ends its prosecutions stemming from the Boeing 737 Max safety scandal. In...
The Justice Department continues to prosecute Russian-related crimes. Since the Ukraine Crisis, DOJ has steadily been announcing criminal charges against defendants connected to Russia. In its most recent action, DOJ unsealed two indictments charging four Russian nationals who were employed by the Russian government with two separate computer hacking conspiracies that targeted the global energy sector between 2012 and 2018. In sum, these hacking campaigns...
The ESG movement presents numerous opportunities for organizations to promote and improve overall performance. By injecting the important focus on “sustainability,” organizations can take a broader view of their respective corporate missions to advance numerous objectives, including the financial bottom line. Under “traditional” economic analysis (e.g. Milton Friedman and a shareholder-interests only), a corporation’s sole mission was to increase shareholder value. The market rules and...
FinCEN enforcement actions for anti-money laundering violations are often interesting because of the scope of violations and the large penalties imposed. For most financial institutions, CCOs read these enforcement actions with an eye to distinguishing their own AML programs from the target involved in the enforcement action. I would urge some caution here – it is easy to breathe a sigh of relief and whisper...
I am reluctant to wade into the issue of CCO liability because I gravitate toward a simplistic answer to a complex question – when does a CCO cross the line to warrant civil or even criminal prosecution? My simplistic response is trite – “When they break the law or when the facts warrant prosecution.” Based on my simplistic view, I have resisted dramatic warnings and...
Keeping up with the Russia Sanctions and Export Controls is a challenge. Each day a new sanction or restriction is adopted with ripple actions by United States Allies and partners. Last Friday, March 11, 2022, was no exception to the shifting sanctions actions. First, the White House issued a new Executive Order 14068, and four new General Licenses. EO 14068 banned exports of a number...
In another action targeting Russian actors and connections, the Justice Department indicted Elena Branson, a dual United States-Russian national with criminal evasion of Foreign Agents Registration Act (“FARA”) registration requirements while working on behalf of high-level Russian officials. Specifically, Branson assisted high-level Russian officials by coordinating meetings for Russian officials to lobby United States political officials and business persons, and by operating organizations to promote...
Matt Stankiewicz, Partner at The Volkov Law Group, joins us for an interesting post on ransomware and OFAC sanctions compliance. Matt can be reached at [email protected]. Ransomware attacks are on the rise and companies everywhere should be taking action to strengthen their cybersecurity defenses and resiliency to ensure their internal systems are able to withstand cybercrime attacks. Cybercriminals are exceedingly sophisticated, some groups even maintain...
Compliance and ethical culture mandates have experienced a significant transformation. From the early days of compliance, organizations pigeon-holed compliance into a role akin to “law enforcement.” I will always recall meeting with a client years ago and when the CCO walked into the room, a senior executive exclaimed, “Uh, oh, the sheriff is in town.” That was not a good sign. Compliance by fear is...
