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...

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...

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...

False Claims Act prosecutions continue against healthcare executives, physicians and professionals.  Last year, DOJ recovered over $5.6 billion in FCA enforcement. DOJ expects total recoveries to increase in 2022.  Over 95 percent of False Claims Act prosecutions involved healthcare fraud and kickbacks.  Two Doctors and Eight Others Indicted for Healthcare Kickbacks In a recent prosecution in the Northern District of Texas, DOJ announced the indictment...

The rise of ESG programs did not just come out of thin air.  Frankly, in many respects, ESG tied together important trends relating to sustainability, social justice, reputational damage and climate change.  Many organizations involved in the extractive industries already had elevated sustainability as an important priority.  Indeed, for years, a number of these organizations issued annual sustainability reports. With increasing focus on environmental and...

In a much-anticipated action, President Biden announced a prohibition on all Russian oil and gas imports. The United States relies on Russia oil for approximately 8 percent of its needs. Simultaneously, the United Kingdom announced it will reduce oil and gas imports from Russia over the next nine months.  The UK relies on Russian oil and gas imports for approximately 18 percent of its energy...

The U.S. Attorney’s Office for the Southern Direct of New York recently announced the indictment of Jack Hanick, a United States citizen, of violating the U.S. sanctions against Russia and false statements in connection with his work for a sanctioned oligarch Konstantin Malofeyev. Hanick is a television producer ad worked with Malofeyev, a Specially Designated National (“SDN”) designated under the Crimea Sanctions Program adopted in...