The Cognizant FCPA enforcement action will go down as a problematic resolution for the policy reasons mentioned in my last post.  Putting those concerns aside, there are some important lessons learned and observations that should be examined. Credit for Pre-Existing Compliance Program: From a compliance perspective, DOJ’s declination letter explicitly credits Cognizant’s compliance program, citing “the existence and effectiveness of the Company’s pre-existing compliance program,...

Assume you are under the influence of a truth serum; does you company have a contract management system? Some will say yes; I suspect most will say no.  My question is why not? Lawyers love contracts.  Most business people see the value of a contract and will comply with a requirement that a deal will require a contract in order to move forward.  But there...

The Panasonic Avionics (PAC) FCPA enforcement settlement for $280 million with the Justice Department and the Securities and Exchange Commission contains a number of important lessons learned.  The overall scope and breadth of PAC’s misconduct was significant and reflects the absence of a meaningful compliance program and commitment to a culture of ethics.  Here are the important lessons learned: C-Suite Misconduct:  PAC is yet another...