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Proposed Amendments to the FCPA

In a White Paper released today by the US Chamber Institute for Legal Reform, entitled " Restoring Balance-Proposed Amendments to the Foreign Corrupt Practices Act ", authors Andrew Wiessmann and Alixandra Smith argue that the time is ripe to amend the Foreign Corrupt Practices Act (FCPA...

Fraud Investigation and the UK Bribery Act

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 'nuts and bolts' on how conducting an investigation...

Proposed Reforms to the FCPA: the Compliance Defense and Respondeat Superior

In a Whitepaper entitled " Restoring Balance-Proposed Amendments to the Foreign Corrupt Practices Act ", authors Andrew Wiessmann and Alixandra Smith, writing on behalf of the US Chamber Institute for Legal Reform who recently proposed amending the Foreign Corrupt Practices Act (FCPA),...

FCPA Settlement Day

Today, in what the FCPA Blog called "making FCPA history", the Department of Justice (DOJ) and the Securities and Exchange Commission (SEC) announced the agreement by the Global logistics firm Panalpina and the energy companies Shell, Transocean, Tidewater, Noble and Pride International...

The End of the FCPA Facilitation Payment Exception?

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 Force of the OECD Anti-Bribery Convention "....

What’s in a Name?: Agents, Resellers and Distributors under the FCPA

What is in a name? The terms agent, reseller and distributor are sometimes used interchangeably in the business world. However in the legal world they usually have distinct definitions. An agent can be generally defined as is a person who is authorized to act on behalf of another to create a legal...

How To Risk-Base Supply Chain Vendors Under The FCPA

What are the methods to assess the risks of your Supply Chain vendors? Other than perhaps financial due diligence, such as through Dun & Bradstreet or quality control through your QHSE group, the Supply Chain probably does not command your Compliance Department attention as do other types of...

Proposed Reforms to the FCPA Part II: Limiting Successor Liability, Adding a Willfulness Requirement and Limiting a Parent’s Liability for Acts of a Subsidiary

In a Whitepaper entitled " Restoring Balance-Proposed Amendments to the Foreign Corrupt Practices Act ", released earlier this month, authors Andrew Wiessmann and Alixandra Smith, writing on behalf of the US Chamber Institute for Legal Reform proposed amending the Foreign Corrupt Practices...

The Fraud Guy and Corporate Monitors under the FCPA

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 increased corporate awareness of compliance...

Private Equity and the FCPA

In a Wall Street Journal (WSJ) article on December 22, 2010 by Joe Palazzolo, he reported that the Securities and Exchange Commission (SEC) is investigating Europe's largest insurer, Allianz SE, for possible bribery by a German printing press company in which it holds majority stake. Palazzolo...

Questions, Questions and More Questions: Foreign Courts and the FCPA

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 tangle in Ecuador. Most companies which do business...

Franchising and the FCPA

The Foreign Corrupt Practices Act (FCPA) applies to all US companies and individuals which conduct business overseas. FPCA practitioners recognize there are two components: (1) the anti-bribery component, handled by the Department of Justice (DOJ) and (2) the books and records components, handled...

More Than Just the FCPA and Bribery Act – The Local Battle Against Corruption

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 and the UK Serious Fraud Office, there are local...

The FCPA, Financial Institutions and a Rude Awakening

As reported in today's FCPA Blog , the Wall Street Journal (WSJ) reported that the Securities and Exchange Commission (SEC) is investigating "whether bank and private equity firms violated the [FCPA] in their dealings with sovereign wealth funds." The WSJ article noted that banks...

Sovereign Wealth Funds, Bribery, Corruption, Hospitality and the FCPA

The FCPA seems to be most closely associated with shady oil operations, mining, defense contractors and infrastructure transactions. The image is a big company coming in and bribing an official for access to the country's resources. The other side to that investment is that the countries build...

Evaluation of FCPA Compliance Training

One of the key goals of any Foreign Corrupt Practices Act (FCPA) compliance program is to train company employees in awareness and understanding of the FCPA; your specific company compliance program; and to create and foster a culture of compliance. The testing and evaluation of your FCPA compliance...

Internal Controls Under the FCPA

Most Foreign Corrupt Practices Act (FCPA) practitioners understand the requirement for a compliance policy under the FCPA. However many practitioners, particularly lawyers practicing in the compliance field, do not understand the requirement for proper Internal Controls. Generally speaking, Internal...

Welcome to the FCPA: Chinese Companies and Reverse Mergers

In a Wall Street Journal article on January 27, 2011 entitled " What's Behind China's Reverse IPOs ?", reporter Joseph Sternberg wrote that several Chinese companies were under investigation by the Securities and Exchange Commission (SEC) for "accounting irregularities"...

Agent Liability under the FCPA: Freight Forwarders and Express Delivery Services

I. The Problem The Foreign Corrupt Practices Act (FCPA) world is littered with cases involving freight forwarders, brokers and agents in the shipping and express delivery arena. Both the Department of Justice (DOJ) and Securities and Exchange Commission (SEC) have aggressively pursued third party...

Disclosure and Negotiating with the Government – A FCPA Conundrum?-Part II

In yesterday's blog we explored the question of whether a company should self-report a potential FCPA violation to the pertinent US governmental authorities. Today, conclude our two-part series by exploring three issues: (1) What should you disclose; (2) How/When Should you Disclose; and (3)...

“Instrumentality Thereof” under the FCPA: An Absurd Result?

The prognosticators have now spoken (yet again) and decreed that the Houston Astros will be this year's worst team in baseball. We are well into the first week of Spring Training and the Houston Chronicle has reported that Baseball Prospectus has predicted only 67 wins for the hometown heroes...

This Week in Securities Litigation (March 25, 2011)

The Galleon insider trading trial continues this week in New York. In another New York court room the Commission struggled to have a partial settlement approved by the court. While the agency secured the necessary approval it was not without a cost: The court reserved the right to reconsider the...

This Week in Securities Litigation (April 15 , 2011)

The market crisis, the FCPA and insider trading were again the key focus this week. On Capitol Hill the Senate Permanent Committee on Investigations issued a lengthy, detailed report regarding the causes of the market crisis. This report builds on earlier efforts but contains substantial new evidence...

This Week In Securities Litigation (Week ending July 13, 2012)

The Commission approved new rules regarding the much discussed consolidated audit trail this week while continuing to issue rules under Dodd-Frank. Now the exchanges and FINRA will be required to implement the provisions regarding the consolidated audit trail. SEC enforcement brought actions centered...

OECD: Global Corruption Enforcement Is On the Rise

The new Report of the OECD Working Group on Bribery details its recent work while providing an overview of anti-bribery enforcement around the globe. The Anti-Bribery Convention came into force in 1999. As of December 2011 there were 38 parties to the Convention, 34 of whom are OECD member along with...