This Week in FCPA, episode #51

In our weekly anti-corruption catch-up, Tom and I talk about Oracle, the SEC’s extractive disclosure rule, $50,000 to a whistleblower, who’s your state-owned entity, and Peterson accepts responsibility (except for that he doesn’t). And the highlight: NCR tipster lays out many, many lessons.

00:59: Howard promises not to say things are slow anymore
01:21: Oracle and the difficulty with finding and stopping slush funds
07:00: Howard agrees with Professor Koehler…what is the world coming to? Tom disagrees. Eh, he’s probably right.
15:41: SEC approves disclosure rules for extractive industry
20:56: SEC pays out first whistleblower payment
24:00: Tchenguiz case: we don’t understand the deal. Go over to Even we can understand that investigative agencies need resources to hire investigators. Call me crazy.
26:46: DOJ files 11th Circuit brief in Esquinazi & Rodriguez appeals
33:07: Is $34 million in one quarter a lot of money for an FCPA investigation?
36:09: Garth Peterson talks to CNBC and the SODDI defense
44:28: NCR: a world of issues in one little investigation (and Tom and I both have a senior moment. Little help here?). Killing the messenger is a time-honored custom in China, right?
55:21: Who is a “senior leader”? To what level does a bribery scheme have to rise in order for us to say that the company knew?
1:03:56: As if you needed another reason to go to San Diego, Tom and Mike Volkov are going to be speaking about due diligence. I speak at conferences too.

Episode #49

Tom and I talk about Pfizer (a little), Standard Chartered (more), EADS, News Corp., and more on Episode #49 of This Week in FCPA.

Show Notes:

01:21: Howard won’t tempt fate again. Believe it.
02:03: Pfizer & Wyeth settle enforcement actions. Tom and I will be doing an entire episode just about that.
04:42: Standard Chartered
21:32: Did Standard Chartered have a “Deceptive Business Plan?” Or did they just follow the law as OFAC has laid it out?
29:44: What happened to the Attorney-Client Privilege?!
32:46: We have to bring Deloitte into it too
37:40: Evasion versus doing what’s legal in a different way (or, is it illegal if you jump through the hoops they set up?)
39:26: Is there such a thing as “reputation risk?”
46:34: SFO is investigating an EADS subsidiary
49:38: News Corp. arrests, Church of England divests
52:43: JP Morgan Chase is my new best friend

This Week in FCPA, Episode #48

A busy FCPA week: investigations starting, investigations ending, CEOs asked to come in for interviews, Stroz Friedberg picks up another one, and a rant about CDOs, the financial crisis, and dumb money.

Show notes:

02:47: Investigation of Sensata closes, no charges brought; raises the question of “what’s a declination, exactly?” And how you need M&A diligence.
14:00: WW Grainger publicly announces that they don’t know how to do an internal investigation. That is, they announced that their investigation didn’t find anything. What should you do with gift cards? And why a compliance culture is good for the business.
22:31: Halliburton opens an investigation
26:12: Olympus open an investigation. Into reimbursements to doctors in Brazil. Really? You’re gonna disclose that?
28:04: The importance of integrating companies you buy
33:05: Total SA. Howard goes on a rant, and evidently isn’t a fan of anything French.
40:15: Still on Total SA, but talking about how the investigation is REALLY old, and as someone told me, cases—unlike wine—don’t get better with age. Plus, the blocking statue; plus, the whistleblower laws.
43:03: Avon’s CEO gets called in, and Avon has spent a ton of money. Seriously, if you weighed it, it would weigh a ton.
49:25: Bistrong gets 18 months. Howard feels conflicted.
54:21: Stroz Friedberg shoots…they score! Again. First Scott Peeler, now David Glockner.
56:47: SEC loses Stoker trial. Howard tries to explain what a CDO is (and fails miserably).