Former federal judge Stanley Sporkin is one of my heroes. Yes, I am biased because as an AUSA in Washington, D.C. I tried several cases before him, and in private practice, I have collaborated with him on many projects. My admiration, however, extends back to events surrounding the enactment of the FCPA. Judge Sporkin has told the story many times but it is a story...

The Haiti Telco case stands as the Justice Department’s crown jewel of individual prosecutions.  Judge Jose Martinez sentenced Joel Esquenazi to a 15-year sentence (180 months) and co-defendant Carlo Rodriguez to 7 years (84 months).  Last year, Judge Martinez sentenced two other defendants, Juan Diaz, and Robert Antoine, to 57 and 48 months respectively.  Judge Martinez has now imposed the longest, and the third, sixth...

To give you an idea of the impact of the SEC’s Whistleblower program, my good friend former federal judge Stanley Sporkin spent an entire day with senior management of a  large global company to discuss the implications of the new program for the business’ global operations.  To put it mildly, the SEC’s whistleblower program creates significant risks for companies.  Perhaps the most difficult area for...

As my cousin always tells me, “Mike, you have a profound grasp of the obvious.”   When it comes to figuring out what enforcement priorities of the Justice Department and the SEC, it is not very hard.  In fact, Justice Department and SEC officials are usually very open about their priorities and where they are heading.  Aside from their statements, the second most important clue is...

With all the press and Congressional attention to anti-corruption enforcement, it is important to keep things in perspective.  FCPA enforcement is aggressive but pales in comparison to federal government efforts to combat fraud in the Medicare system.   It is estimated that almost 10 percent ($48 billion) of Medicare’s $507 billion budget in 2010 was made for fraudulent or improper payments.  The Center for Medicare and...

When businesses complain about the unfairness of the FCPA, the Nature’s Sunshine case is often cited as an example of SEC overreaching. Businesses may have a legitimate complaint. In July 2009, the SEC filed a settled enforcement against Nature’s Sunshine Products, Inc. and its CEO and former CFO. The SEC did not allege that the officers were involved in or even aware of the alleged...

Join Ryan Morgan, Tom Fox and Michael Volkov Join us Wednesday November 16th at the Palmer House Hilton, 17 East Monroe Street Chicago, IL 60603, for a comprehensive look at the lessons learned over the past four years. Attendees will receive three hours of MCLE credit 9 AM – Opening remarks by Ryan Morgan AML/CA, CCEP – Anti Corruption Specialist, WorldCompliance 9:15 to 10:15 Tom Fox,...

Compliance is not rocket science. Of course, the one time I told that to a company’s general counsel, he looked at me and said “Before I had this job, I was a rocket scientist” (which was true). With all the reams of paper and blog space outlining detailed compliance formulas, a company can protect itself from criminal liability by committing itself to transparency and negating...

The Obama Administration has aggressively prosecuted domestic and foreign businesses for criminal violations of a variety of criminal laws, including anti-bribery, antitrust, health care fraud, and securities fraud. Even in this environment, some critics have grumbled that prosecutors have too quickly settled such prosecutions for large fines and future promises of compliance contained in deferred prosecution (DPA) or non-prosecution agreements(NPA). Underlying the Justice Department’s use...

Welcome to my new website.   I have moved from White Collar Defense and Compliance.  Thanks to Ethics360 for creating a new blog site and supporting my new venture. It goes without saying that businesses face significant risks. The Obama Administration has targeted businesses using aggressive tactics, strict enforcement policies and unprecedented criminal prosecutions. My hope is to provide readers with information about current issues relating to anti-corruption enforcement...