Anti-Corruption


Pharmaceuticals

Novartis’ latest settlements: $729M in kickback charges

2020-07-02T16:36:00+01:00By

A week after resolving FCPA investigations for $347 million, Swiss pharmaceutical drug maker Novartis will pay another $729 million in separate settlements related to kickback schemes.

Alexion

Alexion Pharmaceuticals to pay $21M to resolve FCPA case

2020-07-02T15:26:00+01:00By

Alexion Pharmaceuticals will pay $21 million to resolve SEC charges that it violated the books and records and internal accounting controls provisions of the FCPA concerning bribes made by subsidiaries to foreign government officials.

Money laundering

Managing emerging trade-based money laundering risks

2020-07-02T14:38:00+01:00By Jake Plenderleith, International Compliance Association

Trade-based money laundering was already happening prior to the coronavirus pandemic, but now its nature has shifted. The ICA offers key considerations for managing emerging risks.

FCPA-July

SEC, DOJ close FCPA probes into USANA

2020-07-01T15:36:00+01:00By

Usana Health Sciences disclosed in a regulatory filing that the DOJ and SEC have closed their respective FCPA investigations into the company and will not be filing any charges.

Wirecard

In time of crisis, Wirecard has turned to its would-be CCO to lead

2020-06-30T15:58:00+01:00By

Reeling from a $2 billion accounting scandal, Wirecard has turned to its would-be chief compliance officer as its interim CEO. It’s the first smart move the company has made in a while, writes Martin Woods.

PG&E

What are expectations of compliance at a negligent company like PG&E?

2020-06-29T15:39:00+01:00By

Financial crime expert Martin Woods wonders about the compliance priorities of a company found to be as reckless as Pacific Gas and Electric.

MexicoAntiCorruption

Mexico’s war on corruption an uphill battle for compliance officers

2020-06-29T15:34:00+01:00By

Companies doing business in Mexico face an uphill battle with their anti-corruption compliance efforts as the country’s government struggles to control—and, in many cases, contributes to—its endemic corruption problem.

SEB

Following $107M fine for lax controls, SEB shares AML efforts

2020-06-26T16:52:00+01:00By

Sweden’s financial watchdog was fined SEB $107 million for weak governance practices related to the bank’s anti-money laundering controls in its Baltics subsidiaries.

Novartis

Novartis to pay $347M to resolve FCPA investigations

2020-06-25T19:36:00+01:00By

Novartis will pay nearly $347 million in combined criminal and civil penalty settlements with U.S. authorities to resolve all FCPA investigations into historical conduct by the company and its subsidiaries.

Wirecard

Lessons from Wirecard: Ignore unchallenged allegations at your peril

2020-06-24T14:34:00+01:00By

When a company does not rebut serious allegations of wrongdoing with litigation, the only response is to demand answers from the firm or take your business elsewhere, writes financial crime expert Martin Woods.

Oil

Swiss AG latest investigating Glencore for corruption

2020-06-23T14:18:00+01:00By

Glencore is under criminal investigation by the Office of the Attorney General of Switzerland over corruption allegations, adding to the growing list of scrutiny the multinational commodity trading and mining company is facing.

Money laundering

Analysis: Learning to learn from our mistakes with AML

2020-06-19T14:40:00+01:00By

Scientists and doctors cannot succeed or make medical breakthroughs without being prepared to fail. The same approach should be taken to combating anti-money laundering, writes financial crime expert Martin Woods.

Commerzbank

FCA fines Commerzbank London $47.4M for AML failures

2020-06-17T16:45:00+01:00By

Commerzbank London will pay a £37.8 million (U.S. $47.4 million) penalty in a settlement with the U.K. Financial Conduct Authority for anti-money laundering systems and controls failures.

Coronavirus fraud

U.S. regulators boast coordination in addressing coronavirus fraud

2020-06-16T18:13:00+01:00By

Testimony provided by several agencies before a U.S. Senate Judiciary Committee hearing offers valuable insights for chief compliance and risk officers regarding where coronavirus fraud threats may lurk, especially in the financial services and healthcare sectors.

Money laundering

Analysis: Path to effective AML is doing less with more

2020-06-16T16:28:00+01:00By

The answer to being more effective at stopping money launderers is to challenge the value of processes that are clearly failing. Financial crime expert Martin Woods explains.

genpact300x200

CPE Webcast: Fraud and bribery risks: Preparing for a COVID-19 spike

2020-06-16T11:00:00+01:00Provided by

As businesses and employees work to re-establish stability and reset targets following the disruption caused by coronavirus, they will be more vulnerable to fraud, corruption, and regulatory violations.

Financial crime AI

Survey: The evolving role of AI in fighting financial crime

2020-06-15T20:28:00+01:00Provided by

Take this benchmark survey to find out where you are on the AI maturity curve in comparison to peers.

Westpac

Analysis: Let Westpac’s missteps be a cautionary tale

2020-06-12T16:24:00+01:00By

By balking at original allegations, Westpac opened itself to infinitely more harm, writes financial crime expert Martin Woods.

Danske

Danske faces criminal complaint over market abuse violations

2020-06-11T17:18:00+01:00By

Denmark’s financial regulator has filed a criminal complaint against Danske Bank for violating market abuse regulations concerning inadequate market monitoring and opposite trades.

LatinAmericaFlags

A country-by-country analysis of anti-corruption efforts in Latin America

2020-06-10T19:44:00+01:00By

CCOs looking to navigate the fluid corruption risk environment in Latin America will want to review a newly released report on how countries are uncovering, punishing, and deterring corruption—particularly now, amid a pandemic.

Jet plane

Analysis: Don’t ignore financial misconduct in ‘plane’ view

2020-06-09T17:02:00+01:00By

Compliance officers must let go of the fear that often accompanies respect for big money (or luxurious aircrafts) and hold the difficult conversations when ferreting out bad actors, writes financial crime expert Martin Woods.

Europol

Europol launches new financial and economic crime body

2020-06-08T16:33:00+01:00By

Europol has created the new European Financial and Economic Crime Center, with the aim of enhancing operational support to EU member states and EU bodies in the fields of financial and economic crime.

Westpac

Westpac outlines compliance failures that led to AML breaches

2020-06-05T16:27:00+01:00By

An internal report outlining compliance failures by Australia-based financial institution Westpac that led to 23 million breaches of the country’s AML/CTF laws concluded “a mix of technology and human error” were to blame.

Fraud cartoon

How to scour your organization for pandemic fraud risks

2020-06-04T15:40:00+01:00By

“Only when the tide goes out do you discover who’s been swimming naked,” said Warren Buffett. With the pandemic tide out, here are some related frauds that are likely already occurring that corporations should be watching for.

Ericsson

Ericsson appoints DOJ-mandated compliance monitor

2020-06-03T15:19:00+01:00By

Ericsson announced the appointment of Andreas Pohlmann as its independent compliance monitor for the next three years in accordance with a deferred prosecution agreement reached with the Department of Justice over FCPA violations.

DangledCarrot

Analysis: When a bonus becomes less incentive, and more compromise

2020-06-02T16:17:00+01:00By

Financial crime expert Martin Woods explores what happens when the annual bonus causes employees to disregard their values for want of a dollar.

refinitiv fcpa 2020 img

e-Book: FCPA at forefront of fight against corruption

2020-06-02T11:13:00+01:00Provided by

You can’t hide from the Foreign Corrupt Practices Act, even if you are a powerful government regime. Just ask Venezuelan President Nicolás Maduro, who—along with others in his administration—were taken down in late March for violating certain provisions of the formidable anti-corruption law.

EY

Investigation into EY’s audit of Danske Bank dropped

2020-06-01T17:40:00+01:00By

Denmark’s state prosecutor has dropped its investigation into whether Big Four firm EY violated anti-money laundering laws in connection with its audit of Danske Bank.

Bribe

SFO closes bribery investigation into ABB

2020-05-27T15:13:00+01:00By

The U.K. Serious Fraud Office closed its bribery investigation into power and automation technology provider ABB after concluding the case “did not meet the relevant test for prosecution.”

Notebooks

Why a ‘don’t put that into writing’ request should raise a red flag

2020-05-27T15:00:00+01:00By

The next time someone tells you not to take notes during a meeting, think about why they’re making that request. It’s almost never a good idea to agree to it, writes financial crime expert Martin Woods.

Fire

Analysis: How to handle the heat of boiler room fraud

2020-05-26T14:33:00+01:00By

Financial crime expert Martin Woods explains how compliance professionals can do their part in rooting out boiler room/investment frauds, citing a recent story from a call center in Kiev.

Coronavirus crime

Analysis: Opportunity knocking for coronavirus criminals

2020-05-21T15:41:00+01:00By

Financial crime expert Martin Woods explores how bad actors use crises like the coronavirus pandemic to exploit fear, perceived weaknesses, and obvious vulnerabilities and further their criminal enterprise.

Westpac

Westpac announces more executive changes amid investigation

2020-05-20T19:00:00+01:00By

Amid a money-laundering investigation and faced with allegations of facilitating child exploitation in the Philippines and Southeast Asia, Westpac has appointed a new head of financial crime compliance.

AML-Europe

Analysis: Fraud in Germany propels new European AML plan

2020-05-18T15:54:00+01:00By

Financial crime expert Martin Woods reviews the “cum-ex” scandal and how a recent action plan from the European Banking Authority aims to help stop such schemes from burgeoning.

Drew EIC

Josh Drew led by example in getting VEON through DPA

2020-05-18T14:36:00+01:00By

CW’s Compliance Comeback of the Year Josh Drew, group chief ethics & compliance officer at VEON, discusses the challenges he faced when rebuilding the company’s ethics and compliance program under a monitor’s watchful eye.

EU-AML

EC unveils six-point plan to tackle money laundering

2020-05-13T17:49:00+01:00By

The European Commission’s new six-point plan highlights what measures the agency will take to enforce, supervise, and coordinate EU rules on combating money laundering and terrorist financing.

Walmart

Ex-Walmart lawyer alleges ‘retaliatory’ firing for Mexico report

2020-05-12T17:51:00+01:00By

A former member of Walmart’s legal team is suing the retail company for what he alleges was a “retaliatory, negligent, and careless” investigation ultimately resulting in wrongful termination.

Oil collapse

Analysis: Oil collapse leaves Singapore traders scrambling

2020-05-12T13:04:00+01:00By

Recent fraud complaints at oil traders in Singapore highlight the risks in the international business of commodity finance, where high prices provide high rewards and low prices can leave lenders exposed.

Safe bank

Analysis: The problem with keeping a secret

2020-05-11T14:10:00+01:00By

You can’t hide behind the numbers, as numerous banks, including Bank Hapoalim, found out recently when rampant tax evasion took hold in Switzerland.

Money laundering

World Acceptance sets aside $22M to resolve SEC FCPA probe

2020-05-08T16:02:00+01:00By

World Acceptance Corporation announced it has recorded an aggregate accrual of $21.7 million to resolve an SEC investigation into alleged violations of the Foreign Corrupt Practices Act.

Herbalife

Herbalife nears $123M FCPA resolution

2020-05-08T15:45:00+01:00By

Dietary supplement maker Herbalife said in a regulatory filing it has set aside a total of $123 million in accrued liability concerning SEC and DOJ investigations into alleged violations of the Foreign Corrupt Practices Act in China.

Risk

Coronavirus fallout: Four ways to manage fraud risk

2020-05-07T19:50:00+01:00By Jake Plenderleith, International Compliance Association

The spread of the coronavirus has elevated the visibility of fraud for the general public and exposed to senior management in firms the seriousness of the consequences of underestimating the threat.

PayTheMan

Justice Department to recover more than $49M involving 1MDB

2020-05-07T15:18:00+01:00By

The Department of Justice reached a settlement to recover more than $49 million in assets associated with the international money laundering and bribery scheme involving Malaysia’s state development fund 1MDB.

Money

Alexion nears $25M settlement with SEC in FCPA probe

2020-05-07T14:19:00+01:00By

Alexion Pharmaceuticals said in a regulatory filing that it is nearing a $25 million settlement with the Securities and Exchange Commission concerning an investigation into the company’s compliance with the Foreign Corrupt Practices Act spanning various countries.

bitcoin laundering

Cyber-criminals have supply chains, too

2020-05-06T20:02:00+01:00By

All cyber-attacks leave a trail. These trails can be complex, of course, but the criminals cannot avoid them. Thus, they leave a supply chain of intelligence and data.

Samsung

At urging of compliance committee, Samsung head apologizes for bad behavior

2020-05-06T16:49:00+01:00By

Jay Lee admitted Samsung “has not strictly complied with laws and ethics” at a press conference organized by the company’s new compliance oversight committee.

Westpac

Lesson from Westpac: If you can’t do the simple things correctly, watch out

2020-05-05T16:59:00+01:00By

If a bank or a firm cannot execute on the simple things, such as cash transaction reporting, there is little reason to be confident of compliance in other more complex and challenging areas.

MoneyFine

Bank Hapoalim’s bad day: $904M in tax evasion, FIFA fines

2020-05-01T18:05:00+01:00By

Israel’s largest bank and its Swiss subsidiary will pay a total of $904 million in separate DOJ settlements related to (1) a massive tax-evasion scheme and (2) its role in a money-laundering conspiracy with FIFA.

Rolex

Watch out: Why luxury wristwear could be sign of corruption

2020-04-30T16:17:00+01:00By

Financial crime expert Martin Woods reviews the DOJ’s recent charges against ex-FBI agent Babak Broumand and how a gold Rolex watch led down a path of alleged corruption.

kroll 300x200

CPE Webcast: 2020 Anti-bribery and corruption emerging trends

2020-04-30T14:00:00+01:00Provided by

Compliance professionals are all too aware that the third parties they depend on to achieve success pose a significant threat to their organizations for bribery, fraud, and corruption.