In this episode, I visit with Sherman & Sterling partner Phillip Urofsky who leads a team which produced the the 2017 FCPA Digest, one of the top annual compendium of annual FCPA reviews of the prior year's enforcement actions and related issues. We discuss the following:
In this episode Matt Kelly and myself take a deep dive into the compliance weeds by looking at a paper written by then SEC General Counsel James Doty (later head of the PCAOB) in 2007 where he proposes a regulatory scheme for FCPA compliance. Matt and I discuss the pros and cons and how the SEC Chairman designate Jay Clayton may view the issues. We then take a brief look at the arrest of VW executive Oliver Schmidt and both conclude that it presents ZERO problems for any Chief Compliance Officer or compliance practitioner going forward.
For additional reading, see
In this episode I visit with Leona Lewis, the founder and host of the podcast Masters of Disaster. She reflects on her experiences over the past 18 months of podcasting; what she learned, what surprised her and she highlights some of her more memorable podcasts and guests.
In this episode Jay Rosen and I take a dive into the General Cable FCPA enforcement action, consider the 'Invisible Hand' of regulatory enforcement, corporate response and innovation. We explain how these three factors combine in an 'Invisible Hand' to form a continuous improvement loop of compliance program innovation. It leads developments from cutting edge to best practices to becoming a routine part of an effective compliance program. We discuss the upcoming NFL divisional round of playoffs and conclude with Jay previewing the Jay Rosen Weekend Report. For more information on the General Cable FCPA enforcement action, check out my three-part blog post series.
In this episode Matt Kelly and I take a deep dive into 6 compliance issues you should keep an eye on in 2017. They include the Wal-Mart FCPA resolution, the future of the FCPA Pilot Program, the SEC Whistleblower program, the Next PCAOB Chairman, the future of new overtime rules and finally the Barclay's trial for mortgage fraud in the context of the 2008 financial crisis. We also take a look at the GOP attempt to denude the Office of Congressional Ethics and their immediate reversal in the face of intense criticism. For additional reading check out Matt's two blogs on these subjects: Ethics, Politics, and Optics in New Washington and Six Compliance Events to Watch in 2017.
Show Notes for Episode 4, Year End Review, Part I
We turn to the 2016 year in review, in this Part I of a two-part series.
Jonathan Armstrong leads a discussion on a very interesting UK Bribery Act enforcement action out of Scotland involving the Braid Group Ltd. It has some very significant implications for Bribery Act enforcement actions going forward. He also discusses the continued evolution of the UK DPA process and who it all works into the burgeoning global anti-corruption enforcement we saw in 2016.
For Cordery’s piece on the Braid case, click here.
For Cordery’s piece on the continued evolution of the UK DPA practice, click here.
Jay Rosen takes us through a Paul Krugman NYT post on some of the invidiousness of corruption, focusing on the corrupting nature of compliance around undue influence. Rosen explains incentives more than anything else and how such incentives skew the marketplace. He asks a couple of provocative questions. First are there too many FCPA, ethics and compliance conferences? Second, even with the robust FCPA enforcement and maturation of compliance programs, why does corruption still exist? For a link Krugman post, click here.
Rants will return in a couple of weeks.
The members of the Everything Compliance panel include:
In this episode Mike Volkov and I take a look at the most significant enforcement actions from 2016, the most significant compliance related issues from 2016 and the issues and cases that may be the most significant going forward into 2017.
In this episode Mike Volkov and myself take a deep dive into the Odebrecht/Braskem and Teva FCPA enforcement actions. We review the underlying facts, the conduct of the parties, the results obtained and what it all means for the compliance practitioner going forward.
Show Notes for Episode 33, week ending December 23, 2016-Holiday edition
In this episode SCCE CEO Roy Snell and I continue are exploration of issues of import to the compliance profession. We consider the penalty assessed by the NCAA on Notre Dame for it use of two ineligible football players and whether the punishment fit the crime; the forced transparency leading to hyper transparency for today's corporate scandals and the sanctions assessed against former Wells Fargo CEO John Stumpf; advise not send out stupid emails and consider how the safety industry evolved 20 years ago and what implications it might have for the compliance profession going forward.
In this episode SCCE CEO Roy Snell and I take a deep dive into corporate governance and compliance, the public skewering of former Wells Fargo CEO John Stumpf and ask if a CEO should be involved in the hiring of a CCO.
In this episode Matt Kelly and I take deep dive into the United Airlines SEC enforcement action for violation of internal controls around its reinstitution of a route from Newark to South Carolina at the insistence of the then Chairman of the New York and New Jersey Port Authority David Sampson in exchange for a concession to expand its physical facilities at the Newark airport. We review the background facts, as set out in the SEC Cease and Desist Order and the Justice Department Non-prosecution. We take a look at the internal controls violation of the former UA CEO for violating the company's Code of Conduct, the finding of a lack of internal controls around its route reinstitution protocol and finally discuss the problem of senior management override of internal controls.
For more information on this enforcement action, check out Matt's blog post on this matter, entitled, "This Weird United Airlines Case Just Happened" and my blog post entitled, "The Chairman's Flight and the US Corrupt Practices Act".
In this episode, I visit with Houston Chronicle business columnist Chris Tomlinson about his time working internationally for the Associated Press. He relates his first hand view of the invidiousness of corruption in African countries. He also talks about how a major FCPA corruption trial would be covered. He concludes with thoughts about the role of the Fourth Estate in the international fight against corruption.
Show Notes for Episode 32, week ending December 9, 2016-the Fly the Not So Friendly Skies edition:
We are back to our more rounded format for this episode on a variety of topics including anti-corruption enforcement across the globe, the new French anti-corruption law, Sapin II, the Agricultural Bank of China compliance enforcement action by the state of New York Department of Financial Services; how corruption influences as much as it pays money and individual accountability for corporate malfeasance is not a Democratic or GOP issue but a law enforcement issue. We end with a well-deserved one minute rant from the panel about what is in the front of their mind.
Mike Volkov discusses the internationalization of anti-corruption enforcement. He refers to the comments from the ACI FCPA conference, by Kara Brockmeyer and Dan Kahn about the increasing international enforcement efforts against corruption. This extends far beyond cooperation but also to enforcement. Recent examples are VimpelCom and Embraer where other countries received proceeds from fines and penalties. How does a company begin to deal with this type of complexity? Who does it disclose to? Who does it pay? When will the US give credit for payments made to other countries and when does it not? Finally this year saw of the third joint DOJ/SEC week long training for foreign prosecutors put on in DC. How do such events assist enforcement efforts, particularly around cooperation and mutual assistance?
For Tom Fox’s blog post, “Anti-Corruption Enforcement Has Gone International?” click here.
For Kelly’s posts, see post on the enforcement action involving the Agriculture Bank of China, click here.
For Cordery’s piece on the new law click here.
Jay Rosen takes us through a Paul Krugman NYT post on some of the invidiousness of corruption, focusing on the corrupting nature of compliance around undue influence. Rosen explains incentives more than anything else and how such incentives skew the marketplace. We consider whether Trump’s discussions with the Carrier Corp over jobs was unduly influenced recalling President Kennedy’s ‘jawboning’ of the US steel industry in the 1960s. He also discusses the remarks of Sally Yates at ACI national FCPA conference about individual accountability and how this is not a GOP or Democratic issue but a criminal enforcement issue. For a link Krugman post, click here. For a copy of the text of Yates remarks, click here.
For a copy of Jay blog post entitled, “The DOJ and SEC Share Patriots Mantra—Next Prosecutor Up” click here.
Rants this week include the new UK surveillance law, the SEC domestic corruption enforcement action involving United Airlines for the Chairman’s Flight and the Chicken Littles of the compliance world claiming the sky is falling.
This episode is dedicated exclusively to where FCPA enforcement, SEC enforcement, the compliance profession and compliance programs may be headed under the Trump administration, with a dash of anti-trust enforcement and EU Privacy Shield.
For Volkov’s post, “A New Administration: A New FCPA Enforcement Regime?” click here.
For Kelly’s posts, see the following:
For Armstrong’s blog post, “What does the election of President Trump mean for compliance?” click here.
For Rosen’s blog post (and great riff off of The Clash) “Should I Stay or Should I Go?”, click here.
The members of the Everything Compliance panel include:
For additional reading check out some of the following posts:
Show Notes for Episode 1
At the SCCE 2016 Compliance and Ethics Institute, I sat down with four of the top compliance commentators in the field for my first roundtable-style podcast. It was so successful that I persuaded the gang to come back together every couple of weeks for a formal podcast, which is entitled Everything Compliance. The premier episode is available for your listening pleasure today. I will post a new episode every two weeks.
I host these four well-known compliance practitioners and commentators:
The format is a roundtable discussion where I throw out a question to one commentator to lead the discussion. From that starting point we will all join in. I also include an “On My Mind” segment where each participant discusses what is on the forefront of their mind. This podcast is longer than my others, coming in at around 60 minutes, which allows us to explore the week’s issues in depth.
In the inaugural episode we discuss the following subjects:
For Volkov’s post on conflicts of interest (COI) in internal investigations after the Yates Memo, click here.
For Kelly’s blog post on the intersection of CEO pay and Chief Compliance Officers (CCOs), click here.
For Armstrong’s interview with Max Schrems, click here and Cordery’s FAQs on Privacy Shield, click here.
For Rosen’s blog post Designing Your 2017 Ethics, Compliance & FCPA Conference Schedule, click here.
This new podcast Everything Compliance joins the four other podcasts I have on different aspects of compliance. The original FCPA Compliance and Ethics Report focuses on the nuts and bolts of compliance. Unfair and Unbalanced - is a podcast I do with SCCE CEO Roy Snell. In it we focus on wide ranging issues for the compliance profession. Compliance into the Weeds - is a podcast I do with Matt Kelly where we take a deep dive into the weeds of a compliance issue, typically technology, internal controls or GRC. We both indulge our inner geekiness in this podcast. Jay Rosen and I wrap up each week in FCPA, compliance and ethics with This Week in FCPA. All of these podcasts are available to you on my site, FCPAcompliancereport.com, and are available on iTunes under the same name.
In this episode, I sit down with 4 top compliance commentators to discuss the SCCE 2016 Compliance and Ethics Institute conference. The panelists include Jay Rosen, Jonathan Armstrong, Mike Volkov and Matt Kelly. We discuss our presentations and observations on the attendees.
In this episode, I take a deep dive into the Key Energy FCPA enforcement action.