On the heels of the Gunvor FCPA settlement for $661 million, DOJ announced its settlement with Trafigura, the latest commodities trading company to fall under DOJ's FCPA Sweep against the industry. Trafigura joined the list of international commodity trading companies to suffer FCPA enforcement actions like Vitol, Sargeant Marine, Glencore, Freepoint, and Gunvor. DOJ's corporate resolutions are connected to individual prosecutions and guilty pleas of 19 individuals, including six government officials, eight corrupt intermediaries, and five trading companies. Trafigura Beheer B.V. ("Trafigura ..read more

In a recent speech on March 7, 2024, Deputy Attorney General Monaco announced that, in the next 90 days, DOJ would implement a new whistleblower program to reward reporting of criminal misconduct at public and private companies. In particular, DOJ will encourage reporting of potential violations of the Foreign Corrupt Practices Act ("FCPA") and the recently enacted Foreign Extortion Prevention Act ("FEPA"). AAG Monaco noted that DOJ will be particularly interested in "foreign corruption cases" involving "non-issuers and violations of the recently enacted FEPA," along with criminal abuses of th ..read more

Boeing continues to struggle with its core business activities. As troubles mount for Boeing, it is clear that it continues to suffer from real and pervasive culture issues that have been reflected in serious safety failures, financial difficulties, regulatory violations, and serious reputational damage. Boeing's troubles permeate every part of its organization -- from the board to senior executives to its operations and overall ethics and compliance commitment. As a result, Boeing stands at an important crossroads -- will it make a real commitment to change, reform, and ethics and compliance ..read more

You have to give the Justice Department credit - after two slow enforcement years, DOJ is starting off 2024 with a relative "bang;" first, DOJ reached a large settlement with SAP in January, and now, DOJ has reached a blockbuster settlement with Gunvor S.A. for $661 million. Gunvor is one of the world's largest commodities trading companies. DOJ's settlement represents a "return" to its long-standing aggressive approach to FCPA enforcement. DOJ did not permit Gunvor to enter into a deferred or non-prosecution agreement. Instead, DOJ required Gunvor to plead guilty to one count of FCPA conspira ..read more

Whatever the cause, criminal sanctions enforcement will be an interesting area in 2024. The DOJ's planned aggressive push against companies and individuals for sanctions violations is about to be unleashed. There is no question that DOJ's enforcement initiative is coming—it is just a question of when. We have already seen several examples of what aggressive sanctions enforcement will look like -- as the new "FCPA," we can expect several standard elements: Large Penalties -- multi hundreds of millions, even reaching billions in more egregious cases. Reward for Voluntary Disclosures Criminal I ..read more

Companies have a vested interest in preserving internal communications for a variety of reasons -- to hold actors accountable and to protect the organization from potential private and government claims or investigations that may have serious direct or collateral consequences. Companies that want to use ephemeral messaging systems can do so, but they have to understand the risks involved and tailor appropriate controls and procedures to avoid potential damage. DOJ's  Evaluation of Corporate Compliance Programs ("ECCP") released in March 2023 authorized companies to use ephemeral messagin ..read more

In this special episode of Corruption, Crime, and Compliance, Michael Volkov joins colleague and long-time friend Tom Fox as they delve into the intricacies of recent FCPA enforcement actions, shedding light on the evolving landscape of corporate compliance. From the ABB case to the SAP settlement, Michael and Tom dissect the nuances of voluntary disclosure, extensive remediation, and the shifting priorities of the Department of Justice. Join them as they navigate the complexities of recidivism, cooperation, and the pivotal role of self-disclosure in today's compliance environment. You’ll hea ..read more

Christian Focacci is a leader in the artificial intelligence world and harnesses the capabilities for risk management. He is the founder and CEO of Threat.Digital, which has launched a new product DiligenAI.  Threat.Digital is leveraging large language models and real-time data feeds to empower organizations to identify risk information confidently and efficiently, setting a new standard in risk intelligence. Mike and Christian discuss AI and its use in compliance third-party risk management. You'll hear them discuss: AI should be viewed as a tool to enhance decision-making processes r ..read more

On December 31, 2021, President Joseph R. Biden, Jr. signed the the Uyghur Forced Labor Prevention Act (“UFLPA”) into law to address the ongoing exploitation of the ethnic minority Uyghur population by the government of the People’s Republic of China (“PRC”). Among other things, the UFLPA creates a rebuttable presumption that all goods, wares, articles, and merchandise mined, produced, or manufactured wholly or in part in Xinjiang, or by entities designated for inclusion on the UFLPA Entity List, are prohibited from entry into the United States. To overcome the presumption, entities are requir ..read more

Gabrielle Griffith, Director BPE Global, is an expert in trade compliance issues. Gabrielle assists clients in implementing effective trade compliance programs by addressing improvements within organizations’ people, processes, and systems. In the area of U.S. export controls, she advises clients on compliance with the International Traffic in Arms Regulations, the U.S. Export Administration Regulations, and the various embargo and sanctions programs administered by the Office of Foreign Asset Controls. On import compliance matters, she advises on classification, country of origin, special dut ..read more