Category: General

30 Nov, 2020

Citigroup Fined $400 Million by Banking Regulators for Risk and Compliance Control Deficiencies

Banking regulators, the Office of Comptroller of the Currency and the Federal Reserve, recently collected a $400 million civil penalty against Citigroup for long-standing deficiencies in its enterprise risk management, compliance controls and overall banking practices. The Consent Order is Here. The aggressive enforcement action was the result of Citigroup’s continuing deficiencies in its operations, risk oversight and management practices. The OCC cited Citigroup for...

General

25 Nov, 2020

Happy Thanksgiving!

To our clients, colleagues, and friends, we wish everyone a Happy Thanksgiving!! We are grateful for opportunities to collaborate, and our deep appreciation for your support and friendship. Our very best wishes for a happy and safe Thanksgiving!!

General

23 Nov, 2020

Too Big to be Accountable: The Big Case Dilemma

Over the last twenty year (yes, 20 years), the Justice Department’s civil and criminal enforcement record has come under greater scrutiny. Whether you call it “Too Big To Jail” or “Too Big to Fail,” questions continue to rise on whether “big” companies are fairly investigated and prosecuted. On the “Too Big to Fail” scale. DOJ and criminal justice commentators point to the Arthur Andersen criminal...

General

23 Nov, 2020

OFAC Screening and Internal Controls

Companies have had over one year to review and implement a sanctions compliance guidance program. This last year, however, has been difficult (to say the least) given the COVID-19 pandemic. Companies have had unusual challenges. OFAC recognized the impact of COVID-19 when it issued guidance in April 2020 recognizing that companies faced challenging times and may have reallocated resources to meet pandemic needs. Prior to...

General

20 Nov, 2020

Analysis of DOJ’s Antitrust Case Against Google (Part III of III)

DOJ’s antitrust case against Google presents several interesting and difficult issues. Google dominates the search engine market. No one can question that. But the question will eventually boil down to whether Google’s conduct, as a monopolist, resulted in consumer harm. Section 2 monopolization cases require more proof than whether a specific company has a monopoly. The question boils down to whether Google engaged in exclusionary...

General

19 Nov, 2020

DOJ’s Monopolization Claims Against Google (Part II of III)

The Justice Department’s landmark monopolization case against Google is interesting. The case represents yet another attempt to apply well-established antitrust principles in a rapidly-changing, dynamic technology market. The government has a good record in monopolization cases in the high-tech sector. Its case against Microsoft was hard fought and established several important principles to high-tech monopolists. Google’s Monopoly Google controls approximately 90 percent of the United...

General

18 Nov, 2020

Justice Department Files Antitrust Case Against Google Claiming Monopolization of the Search and Search Advertising Markets (Part I of III)

The Department of Justice and eleven state Attorneys General filed an antitrust case against Google in the United States Court for the District of Columbia. DOJ’s filing was hurried at the behest of the Attorney General Bill Barr, and reflects DOJ’s growing focus on high-tech businesses and monopolization conduct. DOJ’s case joins a long list of high-profile monopolization cases, including Microsoft, AT&T and IBM. DOJ’s...

General

17 Nov, 2020

FinCEN Issues Human Trafficking Advisory (Part II of II)

Elizabeth Slim, Senior Consultant at The Volkov Law Group, joins us for part II of her postings on the problem of human trafficking and recent guidance issued by FinCEN. Elizabeth can be reached at [email protected]. Human traffickers, like all criminals, rely on the international financial system to facilitate their crimes and to disguise proceeds from their illegal activities. Traffickers open bank accounts to deposit and...

General

16 Nov, 2020

The Scourge of Human Trafficking and Financial Red Flags (Part I of II)

Elizabeth Slim, Senior Consultant at The Volkov Law Group, joins us for a two-part posting on the problem of human trafficking and recent guidance issued by FinCEN. Elizabeth can be reached at [email protected]. Human trafficking has become one of the most profitable forms of international crime. At an estimated $150 billion worldwide per year, it ranks third to drug trafficking and counterfeit goods. There are...

General

12 Nov, 2020

The Herbalife FCPA Settlement: Board Oversight and Internal Audit Failures

In the enforcement and compliance arena, there are instances of misconduct that underscore important governance principles. But this just sounds like a bunch of mumbo jumbo (the technical term, I know). In the face of inexplicable behavior and failures to act, I often come back to the simple, but powerful phrase, “You Should Have Known Better.” The use of this phrase carries with it a...