Michael Volkov tackles the current and hot topics in the legal realms of corruption, crime, and compliance.
A Deep Dive into the Oracle FCPA SEC Settlement
Oracle Corporation settled its second FCPA case in ten years. It agreed to pay the SEC $23 million to resolve allegations that its subsidiaries in Turkey, India and the United Arab Emirates maintained slush funds to bribe foreign officials. Ten years ago in 2012, Oracle paid the SEC $2 million for creating millions of dollars in off-the-books accounts at its India subsidiary. Join Michael Volkov as he takes a deep dive in the Oracle case and provides valuable lessons for managing third-party corruption risks.
In the SEC’s mind, Oracle is a recidivist, having its second enforcement action case in 10 years.The settlement for $23 million underscored the power of the FCPA provisions, which mandate effective internal controls and accurate books and records, and can be applied to a wide range of conduct beyond foreign bribery, Michael remarks. The controls that Oracle put in place to prevent improper use of discounts and marketing reimbursements were not effective because there was a lack of compliance culture within the business.The Oracle case is one that should be studied by compliance professionals, Michael believes. It reminds you to look at your own controls that surround discounting and ensure that the necessary documentation is carried out. “No matter what controls you have in place, they still have to be adhered to with a true culture of compliance underneath it as a foundation,” he adds.
SEC Oracle Case
Email Michael: firstname.lastname@example.org
Matt Stankiewicz on the Bittrex OFAC and FinCEN Enforcement Action
In this episode, cryptocurrency expert Matt Stankiewicz discusses why sanctions and AML compliance need to be taken seriously in the cryptocurrency industry.
Matt Stankiewicz, a Partner at Volkov Law, is a leading industry expert on cryptocurrency. Bittrex, a leading cryptocurrency exchange, suffered twin enforcement actions for AML and Sanctions Compliance deficiencies. Matt takes a deep dive on the enforcement actions and outlines practical compliance steps that every cryptocurrency exchange should implement.
Join us as we discuss:
The enforcement action on Bittrex led by OFAC and FinCENWhy compliance risks are increasing in the cryptocurrency industryPractical steps that all cryptocurrency exchanges should implement
To reach Matt email him at: email@example.com
Training and Corporate Culture: Interview of Maria D’Avanzo, Chief Evangelist Officer, Traliant
Does compliance training have to be boring? Our guest explains how your organization can make compliance training engaging and fun for your employees.
Maria D’Avanzo is the Chief Evangelist Officer at Traliant. Maria provides key insights on corporate ethics and compliance training programs. Maria describes how to take your training program to the next level and tailor the content to deliver training on important issues based on your company’s risk assessment..
Cybersecurity Risks Increase for FInancial Institutions Relying on the Cloud: A Discussion with Carlo Massimo
Financial institutions are rapidly moving their operations to the cloud. In response to this development, and the increasing risks of cyber breaches, legislators and regulators are gearing up to impose significant cybersecurity requirements.
Carlo Massimo is a journalist who covers Cyber Security and International Tech Policy. Carlo was a former contributing editor at the Wilson Center's Quarterly, writes Citizen Techs information week monthly policy column, and contributes to the Dark readings profile as a Features Writer.
In this episode, Carlo talks about the implications of financial institutions moving to the cloud, and the response by lawmakers and regulators to this significant trend.
Join us as we discuss:
Carlos's perspective on possible designation of financial institutions operating in the cloud as "critical infrastructure"Are global financial institutions ready for new cybersecurity regulations aimed at mitigating the risks of a data breachThe perspective from both the United States and the European Union on this important issue
Carlo’s article on Information Week: Legislators Gear Up to Regulate Cloud Resiliency
Episode 249 -- DOJ Issues New Corporate Enforcement Policy
The Biden Administration promised a new, aggressive approach to corporate crime. Well, the Justice Department just delivered a new, comprehensive policy that raises a number of issues, some of which are likely to be controversial. The new policy incorporates reforms announced last October that largely centered on prior corporate criminal and civil records; appointment of independent compliance monitors and expanding review of responsible persons in an internal investigation.The Justice Department's new Corporate Enforcement Policy ("CEP"), however, expands on earlier policy changes but includes some new and far-reaching reforms that are intended to increase individual accountability and promote corporate culture through financial incentives and deterrence policies. This last idea is a significant expansion of DOJ's CEP and is sure to reverberate through the business and compliance community. Chief compliance officers face a new requirement for their companies -- creating an effective system of carrots and sticks to punish misconduct and increase rewards for ethical behavior.DOJ's new CEP also lays the groundwork for further consideration of corporate responsibility for preserving electronic messaging, ephemeral services and other electronic data. DOJ's discussion in this area reflects DOJ's frustration with corporate internal investigation that omits access to electronic data, especially in those situations where employees use personal devices for business-related communications. The revised CEP provides guidance to prosecutors and the business community to ensure individual and corporate accountability through the evaluation of various factors, including: (1) Corporate History of Misconduct; (2) Self-Disclosure and Cooperation; (3) the Strength of a Company's Compliance Program; (4) the Use and Monitoring of Corporate Monitors (including their selection and scope of a monitor's work).
Episode 248 -- Deep Dive into the GOL Brazil FCPA Settlement
The Department of Justice and the Securities and Exchange Commission reached a $41 million settlement with GOL Linhas Aéreas Inteligentes S.A. ("GOL") to resolve criminal and civil foreign bribery charges. GOL entered into a three-year deferred prosecution agreement ("DPA") with DOJ in exchange for payment of a $17 million criminal penalty. DOJ credited $1.7 million of that penalty against a $3.4 million fine that GOL agreed to pay law enforcement authorities in Brazil to resolve charges in Brazil. In a separate resolution, GOL agreed to pay $24.5 million over two years to the SEC. The SEC's initial settlement calculation was for $70 million, but it was reduced to $24.5 million based on GOL's financial condition.In this Episode, Michael Volkov reviews the DOJ and SEC FCPA settlement actions.
Timely, insightful and actionable! 👏👏👏
Whether you’re well established as a compliance innovator, or just getting started as a catalyst for change - this is a must-listen podcast for you! Michael does an incredible job leading conversations that cover a huge breadth of topics related to the ins and outs of navigating an evolving legal landscape - with leaders who’ve actually experienced success themselves. Highly recommend listening and subscribing!
Helpful Resource for Compliance Professionals
It’s great to have an on-demand resource that discusses timely compliance topics. Mike does a great job - always nice to hear insight from a former federal prosecutor!
Insightful and succinct
Very interesting material presented in an easily digestible manner. Good use of your time!