DOJ & FCPA: Midyear Review


Summer and 2018 are flying by! The DOJ has been busy with FCPA related enforcement and announcements. Catch up now with our Mid-year report. 

First Corporate Declination 
In April, the DOJ issued it's first corporate declination under the new part of the FCPA policy.

"The company demonstrated responsible corporate conduct after discovering a violation.  It satisfied the rigorous requirements of our policy, and the Department gave the company credit for its disgorgement in a related SEC administrative proceeding."  Deputy Attorney General Rod Rosenstein said during his remarks at the Bloomberg Law Leadership Forum in New York on May 23. 

No More "Piling On"
In May, the DOJ announced a new Department policy that encourages coordination of enforcement with other law enforcement agencies and regulators. This is potentially good news for those accused of FCPA violations who in the past faced reprecussions from DOJ, SEC, and other governments.

"It is important for us to be aggressive in pursuing wrongdoers. But we should discourage disproportionate enforcement of laws by multiple authorities. In football, the term “piling on” refers to a player jumping on a pile of other players after the opponent is already tackled." Deputy Attorney General Rod Rosenstein said during remarks at the American Conference Institute's 20th Anniversary New York Conference on the Foreign Corrupt Practices Act. 

Corporate Enforcement Cases
The DOJ has brought 5 corporate enforcement cases so far in 2018. Companies involved include Credit Suisse (Hong Kong) LimitedSociete Generale, Legg Mason, Panasonic Avionics, and Transport Logistics International.

June's Societe Generale global settlement ranks as the third-largest in FCPA history, according to The Wall Street Journal

The Year Ahead
There may be some large settlements coming down the line. Walmart and Fresenius Medical Care A.G. both announced large reserves, over 200 million, to potentially resolve alleged FCPA-related violations.

That means that with the resolutions already reached by both the SEC and DOJ, if Walmart or another substantial case reaches a settlement agreement in the next few months, total sanctions recovered in 2018 could be the largest in FCPA history. 

What'd we miss?
What are other notable FCPA related actions were made by the DOJ in the year so far? Email, tweet @mycompliance or comment below; we love to hear from you!  

To learn how implementing technology can mitigate your anti-bribery and corruption risk, check our out blog post, "The ABC's of Using Compliance Technology to Fight Anti-Bribery and Corruption."

To see how this year compare's to last, Read our 2017 FCPA Year in Review here.

Click to view more Anti-Bribery and Corruption resources, including the whitepaper, "How to Build a Strong Gift, Entertainment & Hospitality Program," written by compliance expert, Michael Volkov of Volkov Law Group. 

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