Securities

Recent Posts

And Then There Was One-the Updated Box Score of FCPA Settlements from the Nigerian Bribery Scandal
Posted on 9 Jul 2010 by Thomas Fox

Both the Department of Justice (DOJ) and the Securities and Exchange Commission (SEC) announced the agreement by the Dutch company, Snamprogetti Netherlands BV, (Snamprogetti) to pay a $240 million criminal penalty to the DOJ to resolve charges related... Read More

Use of Specialized Counsel in a FCPA Investigation
Posted on 25 Oct 2010 by Thomas Fox

In an article entitled, " Risks and Rewards of an Independent Investigation " in the October 2010 issue of the ACCDocket , authors James McGrath and David Hildebrandt discuss the use of specialized outside counsel to lead an independent internal... Read More

The Fraud Guy and Corporate Monitors under the FCPA
Posted on 21 Dec 2010 by Thomas Fox

Most compliance practitioners are aware of the use of corporate monitors. There are many benefits to the use of a corporate monitor for a company coming out of a lengthy Foreign Corrupt Practices Act (FCPA) investigation. Some of these benefits can include... Read More

The End of the FCPA Facilitation Payment Exception?
Posted on 12 Nov 2010 by Thomas Fox

In November, 2009 the Organization for Economic and Co-operation and Development (OECD) announced a new recommendation at the OECD's celebration of "International Anti-Corruption Day" and the Tenth Anniversary of the " Entry into... Read More

Top 3 FCPA Cases of 2010-Part III HP and (Lots of) Red Flags
Posted on 19 Jul 2010 by Thomas Fox

This article concludes our series on what we believe to be the Top 3 Foreign Corrupt Practices Act (FCPA) cases in the first half of 2010. We have reviewed the facts surrounding each matter to come up with lessons that the FCPA compliance professional... Read More

Questions, Questions and More Questions: Foreign Courts and the FCPA
Posted on 4 Jan 2011 by Thomas Fox

Inspired by our colleague, the FCPA Professor , this post will pose several questions regarding the Foreign Corrupt Practices Act (FCPA) in connection with one of the most Byzantine litigation matters of current renown, that being Chevron's legal... Read More

FCPA Training: How to “Resist” a Solicitation for a Bribe
Posted on 13 Aug 2010 by Thomas Fox

At most Foreign Corrupt Practices Act (FCPA) compliance and ethics training sessions there is usually one or more archetypal story about "someone I know" who was solicited to pay a bribe or "I heard about someone" from whom a bribe... Read More

Suspension of FCPA in NOT the Solution
Posted on 6 Apr 2010 by Thomas Fox

Should enforcement of the Foreign Corrupt Practices Act (FCPA) be suspended for those US companies now working in Haiti? This topic has been in discussion for a few weeks. It began with a statement by Wall Street Journal editorial board member Mary... Read More

Fraud Investigation and the UK Bribery Act
Posted on 29 Oct 2010 by Thomas Fox

We were recently introduced to Fraud Examiner Expert Tracy Coenen , in her book " Expert Fraud Investigation: A Step-By-Step Guide " she details the steps a company should go through in performing a fraud investigation. Coenen provides the... Read More

Who Will Have the Better Season?
Posted on 23 Apr 2010 by Thomas Fox

The baseball season is upon us and the Houston Astros have opened with their worst start since 1983. At 3-9, things may be looking a bit bleak for the hometown heroes. However several sportswriters have pointed out that the 1983 team ended up with... Read More

Changes Coming: US Sentencing Guidelines, UK Bribery Bill & OECD on Facilitation Payments-Part I
Posted on 19 Apr 2010 by Thomas Fox

At its April 7, 2010 meeting the United States Sentencing Commission approved amendments to its Sentencing Guidelines . The next day on April 8, 2010, the UK Bribery Bill received Royal Assent. These two events follow the December 9, 2009 release... Read More

More Than Just the FCPA and Bribery Act – The Local Battle Against Corruption
Posted on 6 Jan 2011 by Thomas Fox

Many Foreign Corrupt Practices Act (FPCA) and UK Bribery Act practitioners are well aware of the oratory of the US and UK governments on the evils of bribery and corruption. However, such a fight is not just being made by the US Department of Justice... Read More

Oversight Committee and Management of Foreign Business Partners
Posted on 29 Apr 2010 by Thomas Fox

We have previously blogged on the various stages of the relationship that a US company would travel through with a Foreign Business Partner, from the pre-relationship due diligence to the post-contract execution management. (See Here , Here and... Read More

FCPA Reporting-To Whom Does Your CCO Report?
Posted on 16 Jun 2010 by Thomas Fox

There is an ongoing debate in the compliance arena as to whom a Chief Compliance Officer (CCO) should report. Should the CCO report to the Board of Directors or appropriate Board committee such as an Audit Committee or Compliance Committee? Or can... Read More

This Week in Securities Litigation (June 4, 2010)
Posted on 4 Jun 2010 by Thomas O. Gorman

SEC enforcement this week brought another SOX claw back case, as well as actions alleging financial fraud and another investment fund case. DOJ dropped their appeals in the two Broadcom criminal option backdating cases which were dismissed for prosecutorial... Read More

  • Blog Post: Internal Review of a Proposed Foreign Business Partner

    In prior blogs, we explored how to rank Foreign Business Partners so that you can begin an appropriate due diligence process. We also explored what you might wish to investigate during the due diligence process. A Foreign Business Partner Review Committee should be established which is tasked with...
  • Blog Post: More FCPA Guilty Pleas

    The FCPA and foreign bribery continue to be a key focus of DOJ. On Tuesday, a privately-held U.S. export company along with its founder and one of its employees pleaded guilty to conspiracy, violations of the FCPA and the Travel Act and money laundering in connection with business transactions in...
  • Blog Post: Suspension of FCPA in NOT the Solution

    Should enforcement of the Foreign Corrupt Practices Act (FCPA) be suspended for those US companies now working in Haiti? This topic has been in discussion for a few weeks. It began with a statement by Wall Street Journal editorial board member Mary Anastasia O'Grady in a piece entitled "...
  • Blog Post: UK Bribery Bill Update

    It appears that the UK Bribery Bill, introduced in March 2009, made it out of Parliament before the upcoming general election. The Bribery Bill is a significant departure for the UK in the area of foreign anti-corruption. It is significantly stronger than the FCPA. Many internationally focused US...
  • Blog Post: FCPA Compliance and Continuous Controls Monitoring

    In a 2008 speech to the Texas General Counsel Forum, former United States Deputy Attorney General Paul McNulty provided his perspective on Foreign Corrupt Practices Act (FCPA) compliance investigations and the Department of Justice (DOJ) enforcement actions. From his experience as the former second...
  • Blog Post: Changes Coming: US Sentencing Guidelines, UK Bribery Bill & OECD on Facilitation Payments-Part I

    At its April 7, 2010 meeting the United States Sentencing Commission approved amendments to its Sentencing Guidelines . The next day on April 8, 2010, the UK Bribery Bill received Royal Assent. These two events follow the December 9, 2009 release by the Organization for Economic Co-Operation and...
  • Blog Post: Who Will Have the Better Season?

    The baseball season is upon us and the Houston Astros have opened with their worst start since 1983. At 3-9, things may be looking a bit bleak for the hometown heroes. However several sportswriters have pointed out that the 1983 team ended up with a winning record, at 85-77. Things may be looking...
  • Blog Post: Oversight Committee and Management of Foreign Business Partners

    We have previously blogged on the various stages of the relationship that a US company would travel through with a Foreign Business Partner, from the pre-relationship due diligence to the post-contract execution management. (See Here , Here and Here ) One of the key elements in all of these stages...
  • Blog Post: This Week in Securities Litigation (April 30, 2010)

    This week, the Supreme Court handed down its decision in Merck on the statute of limitations in securities fraud damages actions. Nevertheless, the spotlight remains on Goldman and the SEC's case against the firm. Congressional hearings were held. The SEC received a letter requesting information...
  • Blog Post: What Is the Cost of FCPA Compliance? Or What Is the Cost of Non-Compliance?

    How do you measure the cost of poor performance? In the baseball world how do you measure the cost of the Houston Astros abysmal April and equally poor start in May, which is projected to lead to a 50-108 season record? One measure is the number of people who pay to come out to the ballpark. As reported...
  • Blog Post: Real Estate, Trial Lawyers and FCPA Compliance

    What do real estate, trial lawyers and Foreign Corrupt Practice Act (FCPA) compliance have in common? One of the maxims you hear about the real estate business, even in the depressed market over the past 18 months, is that the three most important things are: (1) location, (2) location and (3) location...
  • Blog Post: The Role of Human Resources in FCPA Compliance-Part I

    One sign of a mature Foreign Corrupt Practices Act (FCPA) compliance and ethics program is the extent to which a company's Human Resources (HR) Department is involved in implementing a solution. While many practitioners do not immediately consider HR as a key component of a FCPA compliance solution...
  • Blog Post: The Role of Human Resources in FCPA Compliance-Part II

    In an earlier post , we discussed that one sign of a mature Foreign Corrupt Practices Act (FCPA) compliance and ethics program is the extent to which a company's Human Resources (HR) Department is involved in implementing a compliance solution. In the prior posting we discussed training, employee...
  • Blog Post: Lanny Breuer Addresses Corporate Ethics and Compliance at Compliance Week

    Assistant Attorney General for the Criminal Division of the U.S. Department of Justice (DOJ), Lanny Breuer gave the final day's keynote speech at the Compliance Week 2010 Conference . Many of his remarks were directed at the ethics and compliance professionals who attended the event. He confirmed...
  • Blog Post: An Effective FCPA Compliance Program-Thoughts of Lanny Breuer

    At the recent Compliance Week 2010 Annual Conference one of the issues discussed by Assistant Attorney General, for the Criminal Division of the US Department of Justice, Lanny Breuer, was what the Department of Justice (DOJ) might consider as an "effective compliance and ethics program"...
  • Blog Post: This Week in Securities Litigation (June 4, 2010)

    SEC enforcement this week brought another SOX claw back case, as well as actions alleging financial fraud and another investment fund case. DOJ dropped their appeals in the two Broadcom criminal option backdating cases which were dismissed for prosecutorial misconduct. DOJ's action finally brought...
  • Blog Post: Mickey, Donald and the FCPA

    The Foreign Corrupt Practices Act (FCPA) enforcement arena is scattered with US companies which have gone many miles past the extra mile in providing travel and entertainment. Most practitioners will recall the Lucent Technologies 2007 enforcement action. Between 2001 and 2003 Lucent provided trips...
  • Blog Post: FCPA Reporting-To Whom Does Your CCO Report?

    There is an ongoing debate in the compliance arena as to whom a Chief Compliance Officer (CCO) should report. Should the CCO report to the Board of Directors or appropriate Board committee such as an Audit Committee or Compliance Committee? Or can a CCO report to a company's General Counsel ...
  • Blog Post: Gifts and Business Entertainment under the FCPA

    If one were to reflect upon the providing of gifts and business entertainment to foreign governmental officials by a US Company, one might reasonably conclude that after 30 odd years of the Foreign Corrupt Practices Act (FCPA), US companies might follow its prescriptions regarding gifts and business...
  • Blog Post: Technip Settles-the Nigerian FCPA Bribery Box Score Update

    Today the Securities and Exchange Commission (SEC) and Department of Justice (DOJ) announced, in separate Press Releases, that they both has reached settlements with Technip S. A. (Technip) for multiple violations of the Foreign Corrupt Practices Act (FCPA) for its part in the Nigerian Bribery Scandal...
  • Blog Post: This Week in Securities Litigation (July 2, 2010)

    Capital Hill continues to be the focus of attention as the Dodd-Frank Wall Street Reform and Consumer Protection Act was approved by the House. Senate consideration is not expected until after the Fourth of July holiday. The Supreme Court struck down a portion of the Sarbanes Oxley statute regarding...
  • Blog Post: Top Three FCPA Hits of 2010: The Gun Sting Case

    As we enter the second half of 2010 it is time to review what we believe to be three of the more significant Foreign Corrupt Practices Act (FCPA) matters which came to significant public attention in the first half of this year. We will review the (Ding Dong) Avon Calling matter revolving around its...
  • Blog Post: And Then There Was One-the Updated Box Score of FCPA Settlements from the Nigerian Bribery Scandal

    Both the Department of Justice (DOJ) and the Securities and Exchange Commission (SEC) announced the agreement by the Dutch company, Snamprogetti Netherlands BV, (Snamprogetti) to pay a $240 million criminal penalty to the DOJ to resolve charges related to the Foreign Corrupt Practices Act (FCPA) for...
  • Blog Post: Top 3 FCPA Cases Of 2010 Part II-(Ding Dong) Avon Calling

    This is the second installment of our three part series on the Top 3 Foreign Corrupt Practices Act (FCPA) matters of 2010 to date and their significance for the FCPA compliance professional. In Part I we focused on the Gun Sting matter . Now we turn our attention to the Avon bribery scandal in China...
  • Blog Post: It Does Not Take Much to Get You Into FCPA Trouble

    The recent FCPA enforcement actions brought against Veraz Networks, Inc. shows that it does not take huge piles of money to get in trouble. Veraz admitted to making improper payments of only $40,000 . Not that $40,000 is an insignificant amount. It just pales in comparison to the huge dollars we...