Featured Articles:

Third Party Risks and Internal Auditors

You remember the corny song – “People who need people are the luckiest people in the world.” For a Chief Compliance Officer that saying is particularly important when it comes to third party risks.  CCOs need their internal auditors.  This relationship is even more important when it comes to third party risks. Internal auditors are important to third party risks at two important stages of...

Facilitation Payments: An Intractable Problem?

It sounds easy on paper.  A company announces that it has banned all facilitation payments.  It is a worthy goal.  It sounds admirable. The FCPA permits facilitation payments.  The UK Bribery Act prohibits facilitation payments.  International anti-corruption treaties also ban facilitation payments. The enforcement of the UK Bribery Act remains a twisted mess while the SFO suffers from political oversight, scandals relating to departure/severance payments,...

FCPA Enforcement Outlook for 2013

FCPA enforcement in 2013 will result in some significant enforcement actions.  Trust me.  You can take this prediction to the bank. Chuck Duross, head of the FCPA Unit in the Justice Department, confirmed this position.  In his recent statement, Chuck indicated that 2013 will include some big settlements which are in the pipeline.  That makes sense. FCPA prosecutors were busy last year with trials and...

Webinar — FCPA Enforcement: How to Respond to a Government Investigation

April 3 and 4, 2013, 12 -1 PM EST Sign Up Here (April 3) and Here (April 4) No matter how good a compliance program you have, there is always a risk of an FCPA violation.  The Justice Department has stated that 2013 will be a big year in FCPA enforcement with many cases in the pipeline.  More companies are disclosing government investigations or inquiries and potential...

The Lifeblood of Compliance: “Vertical” Information

Here is a profound grasp of the obvious – compliance officers exist in a corporate organization. A  CCO’s success depends on others in the corporation. What is the lifeblood of a compliance program?  The answer – “vertical” information. You can build as many compliance policies, procedures, and programs as you want but without information the compliance program will die a certain death.  Without information, a...

Due Diligence When Renewing a Third Party Relationship

Happily married couples like to renew their wedding vows.  It is a great celebration of love.  When you meet the spouse of your dreams, it is a wonderful ceremony.  I look forward to such an event with my wonderful wife, Rosetta. Things may not be so smooth when it comes to a company renewing its relationship with a third party.  Hopefully, it will be a...

Breaking Bad: When a Good Employee Goes Bad?

No matter how strong a company’s compliance program, there is always a risk.  No matter how many times employees are trained, complete certifications and are reminded of their FCPA compliance obligations, there is always a risk.  All you have to do is look at the facts of the Morgan Stanley case which is usually cited as an example of DOJ and SEC crediting an effective...

The Benefits of a Corporate Ombudsman

My good friend, Judge Stanley Sporkin, has served for several years as the BP Ombudsman, focusing on potential safety issues.  Judge Sporkin was retained by BP in the aftermath of BP’s suffering of a number of safety incidents. Judge Sporkin is a persuasive advocate for the positive benefits of a corporate ombudsman.  He frequently cites the importance of a corporation establishing an independent office in...

CMS Issues Rules on Physician Payments Sunshine Act

People like to think they have it the hardest in life.  I call it the competition among victims.   If you are in the healthcare industry and fall under the Physician Payments regulations, then I think you are on your way to premier victim status. Last month, the Centers for Medicare and Medicaid Services (“CMS”) released the regulations implementing the federal Physician Payments Sunshine Act (the Sunshine...

The Case for Increasing Boardroom Diversity

With all the focus on improving diversity in the ranks of senior corporate management, the glaring corporate governance problem is the lack of diversity in corporate boardrooms. The facts paint a dismal picture – a 2011 survey of Fortune 500 companies found that women held only 16 percent of board seats; 11 percent of companies had no women on their boards; only 3 percent of...