Corruption Crime & Compliance

In a two-part series, Michael Volkov examines the continuing problem of identifying and mitigating beneficial ownership risks.  Money launderers and corrupt individuals continue to rely on corporate structures to disguise their ownership interests to further illicit schemes.  Companies have to develop strategies that practically address the risks without dedicating disproportionate resources to the problem. In the first episode, Michael Volkov discusses beneficial ownership risks and the contexts in which they arise. In the second episode, Michael Volkov discusses practical approaches to mitigating beneficial ownership risks.

In a two-part series, Michael Volkov examines the continuing problem of identifying and mitigating beneficial ownership risks.  Money launderers and corrupt individuals continue to rely on corporate structures to disguise their ownership interests to further illicit schemes.  Companies have to develop strategies that practically address the risks without dedicating disproportionate resources to the problem. In the first episode, Michael Volkov discusses beneficial ownership risks and the contexts in which they arise. In the second episode, Michael Volkov discusses practical approaches to mitigating beneficial ownership risks.

The Justice Department recently resolved two food safety criminal cases involving Blue Bell Ice Cream and Chipotle Mexican Grills.  In its largest food safety recovery to date, Chipotle agreed to a three-year deferred prosecution agreement and paid $25 million.  In the Blue Bell Ice Cream case, Blue Bell agreed to plead guilty and pay $19.5 million in fines and penalties.  Blue Bell's former CEO, Paul Krause, was indicted for conspiracy and wire fraud in an unsealed indictment. In this episode, Mike Volkov discuss these two important criminal cases.    

Companies face new challenges in employee relations and promoting employee engagement in the COVID-19 pandemic era.  Companies have to ensure employee a safe workplace with appropriate modifications to mitigate COVID-19 risks.  At the same time, companies have to reinforce the importance of reporting employee concerns, and respond to these concerns in a prompt and reliable manner. In this episode, Michael Volkov discusses the new employee relations issues along with important steps to promote a culture of safety and ethics.

Despite the COVID-19 pandemic, the SEC entered into a settlement with Eni for $24.5 million for FCPA violations.  In another matter, the SEC filed an FCPA case against a former Goldman Sachs executive for bribery in connection with business on behalf of a client in Ghana. In this episode, Michael Volkov reviews these two enforcement actions.

The Justice Department and the FBI have quickly acted to focus on fraudsters and hoarders who are preying on the public panic in response to the pandemic. DOJ has focused on new fraud schemes promising miracle cures and other means to take advantage of the public on the Internet.  At the same time, DOJ and the FBI have targeted hoarders of critical medical supplies who are attempting to price gouge as a way to "steal" from businesses and the public through significant price gouging. In this episode, Michael Volkov discusses DOJ's new initiatives and response to the pandemic.

Judge Stanley Sporkin, a mentor, friend and professional colleague, died at age 88 on March 23, 2020. In a personal tribute to Judge Sporkin, I recount Judge Sporkin's career and some recollections of my relationship with him.

COVID-19 has had a devastating impact.  The public health crisis has caused tragic human loss and is overwhelming the United States healthcare system.  Businesses have suffered along with the public. Business face real challenges managing the crisis, their respective supply chains and employees. In the second part of a two-part series, Mike Volkov reviews important business responses and strategies for coping with the pandemic.

COVID-19 has had a devastating impact.  The public health crisis has caused tragic human loss and is overwhelming the United States healthcare system.  Businesses have suffered along with the public. The lack of federal leadership has been glaring.  States and local governments are coping the best they can despite the obvious absence of federal leadership. In this two-part episode -- the second part will be dropped tomorrow, Monday -- Mike Volkov examines the federal and Congressional response to the COVID-19 crisis and outlines the importance of business ethics.

Companies need to review and enhance their antitrust compliance programs, especially those companies with tangible antitrust risks. In designing an effective antitrust compliance program, there are five key elements to an antitrust compliance program: (1) Risk Assessment;  (2) Culture and Senior Management Buy-In; (3) Monitoring and Testing; (4) Training; and (5) Speak Up and Reporting Systems. In this Episode, Michael Volkov discusses the key elements of an effective compliance program.