The Department of Justice is targeting individuals for criminal FCPA violations.  As I have discussed before, DOJ is bringing strong cases with overwhelming evidence against individual defendants.  They have also demonstrated a willingness to use tactics typically reserved for drug traffickers and organized crime, including undercover officers, informants, and consensual recordings and videotapes. Corporate boards would be negligent if they do not recognize that the...

FinCEN’s new Enforcement Division, which was created in June of 2013, is already making its mark in the financial enforcement world. Federal regulators are focusing on compliance with Bank Secrecy Act (“BSA”) and anti-money laundering (“AML”) laws and regulations. On September 23, 2013, FinCEN, the Securities and Exchange Commission and the Comptroller of the Currency (“OCC”) assessed a $37.5 million penalty against TD Bank for...

Companies are paying more attention to strategic risk management.  The reasons for this are not just the aggressive enforcement environment but the technological age in which we live. Events can occur quickly as a result of technological innovations such as social media, mobile and big data, and the cyber world.  These risks can cause serious disruptions to company operations or viral negative publicity which can...

Tone-at-the-top says it all.  Without the support of the CEO, a Chief Compliance Officer is limited in what he or she can accomplish.  If there is no commitment from the CEO, a CCO can propose and possibly build great compliance systems, adopt state-of-the-art policies and procedures, and bring about a change in attitude within the compliance department.  However, the CCO’s compliance program will be limited...

We always read that corporate leaders regularly identify data security as one of the top-five risks they face in the business world. Many companies are appointing a Chief Privacy Officer to oversee the proper handling of data.  In some cases, Chief Compliance Officers are charged with responsibility for protecting a company’s data and making sure that the company does not violate any law or regulation...

Whenever a new competitor threatens an established industry, you can always count on entrenched competitors to use any strategy they can to frustrate the new competing technology.  Our economic history is replete with examples of this phenomena. The virtual currency industry, which is rapidly growing, is a threat to traditional financial companies.  As more e-commerce websites and Internet businesses embrace virtual currencies, there is likely...

Fine-Tuning Your Anti-Corruption Compliance Program  October 10, 2013 12 Noon – 1 PM EST  Register: Here In this era of aggressive FCPA enforcement, companies are adopting anti-corruption compliance programs. The Department of Justice and the SEC have warned companies against adopting “paper compliance programs” without meaningful and consistent implementation. In recent weeks, FCPA enforcement has focused on hiring of relatives of foreign officials and corruption...

Healthcare Fraud Compliance  October 9, 2013 12 Noon – 1 PM EST Register: Here The Department of Justice and HHS-OIG have focused on prosecution of healthcare fraud. The government has effectively used a complement of criminal and civil tools to secure large fines and penalties. Healthcare providers, including hospitals, doctors, home healthcare, nursing homes and other suppliers are aggressively investigated and prosecuted. In this era...

It is almost a government rite of passage – when a new leader takes the reins, the chessboard has to be reorganized to reflect the new leader’s “new priorities.”  When it comes to the SEC, and the new Chairwoman Mary Jo White, the “new priority” is the return to an oldie but goodie – accounting fraud. Let’s face it – the SEC does it best...

In a fitting tribute to the departing Deputy Assistant Attorney General Scott Hammond, the architect of the Antitrust Division’s criminal enforcement plan, the Department of Justice last week announced a record criminal settlement in its largest criminal investigation ever – the auto parts investigation. Nine Japanese companies and two executives agree to plead guilty and pay fines totaling more than $740 million for a price...