Internal Controls


JPMorgan Chase

JPMorgan Chase fined $250M for ‘unsound’ internal control practices

2020-11-25T18:18:00+00:00By

The OCC fined JPMorgan Chase Bank N.A. $250 million for weaknesses in its internal controls and internal audit for its fiduciary activities.

Odebrecht site

Four years later, Odebrecht’s external monitorship ends

2020-11-24T16:57:00+00:00By

Odebrecht has reached the end of its compliance monitorship, four years after pleading guilty and resolving charges with authorities in the United States, Brazil, and Switzerland for violations of the Foreign Corrupt Practices Act.

Help

OCIE director’s warning: Insufficient CCO support won’t fly

2020-11-19T21:42:00+00:00By

In a year turned upside down by the coronavirus pandemic, one thing hasn’t changed in the eyes of the SEC: The best compliance programs are supported by senior management and have adequate staffing, technology, and training.

Dr. Kurt Michels

Volkswagen CCO Kurt Michels: Tips for surviving a monitorship

2020-11-12T21:06:00+00:00By

Fresh off his company’s compliance monitorship, Volkswagen CCO Kurt Michels shares ways to cultivate a trustful relationship with a monitor; finesse a company’s cultural makeover; and reestablish credibility in the wake of criminal behavior.

Compliance executive level

COSO report: Elevating compliance leads to more informed decision-making

2020-11-11T22:35:00+00:00By

Many compliance departments are not independent, but instead report to other departments. COSO recommends compliance be separated out into its own division, led by a chief compliance officer with an executive-level position.

Werner

VW integrity chief: Culture has changed … and we have stress test to prove it

2020-11-09T17:38:00+00:00By

In a Q&A with Compliance Week, Volkswagen integrity chief Hiltrud Werner said that while compliance efforts “never have a finish line,” the company has made great strides since Dieselgate.

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JPMorgan Chase facing potential fine for internal control deficiencies

2020-11-04T19:04:00+00:00By

A subsidiary of JPMorgan Chase is facing a potential civil penalty “related to historical deficiencies in internal controls and internal audit over certain advisory and other activities.”

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Webcast: The growth journey: How to be deal-ready

2020-11-04T14:00:00+00:00Provided by

Being deal-ready is a key part of modern governance. From the inception of a company and raising capital, to expanding into new territories and markets, all the way to your IPO.

Citi

Citigroup chief risk officer to depart amid risk management overhaul

2020-11-03T19:38:00+00:00By

The chief risk officer at Citigroup is set to depart from his role in the wake of a $400 million enforcement action that ordered the firm to overhaul its risk management and compliance programs.

Marcus Pleyer

Working together to stop money laundering: A conversation with Marcus Pleyer

2020-11-02T22:13:00+00:00By International Compliance Association

Dr. Marcus Pleyer, president of the Financial Action Task Force, emphasized his commitment to stopping money laundering in a wide-ranging and forward-looking discussion at the ICA’s BIG Compliance Festival.

Kurt Michels

CCO Philippe Vollot has a plan for Danske’s compliance reboot

2020-11-02T16:57:00+00:00By

Danske Bank CCO Philippe Vollot knows his journey to build a robust compliance program and culture at the troubled lender is far from over.

leaseaccelerator cover img

White paper: 15 Critical Success Factors for Your Equipment Leasing Program

2020-10-30T14:58:00+00:00Provided by

Equipment leasing, when managed effectively, can offer a number of strategic financial and competitive benefits to your business.

Jim Beam

Bribes, falsified records cost Beam Suntory $19.6M in FCPA settlement

2020-10-28T18:43:00+00:00By

Alcoholic beverage maker Beam Suntory agreed to pay $19.6 million to resolve Foreign Corrupt Practices Act charges of improper payments by its Indian subsidiary.

Goldman Sachs

Goldman board demands accountability with widespread 1MDB clawbacks

2020-10-28T14:58:00+00:00By

The board of directors at Goldman Sachs Group will attempt to claw back approximately $174 million from a dozen current and former executives—one of the largest clawback attempts ever—in the aftermath of the 1MDB scandal.

FourOptions

Choose your ending: What to do when your systems are hacked and ransom is demanded

2020-10-26T14:54:00+00:00By

What should you do if your firm is hit by ransomware? Choose your own ending to this tale about a clinic, a criminal, and coronavirus to learn the risks and rewards of each choice.

GoldmanSachs

Compliance lessons from Goldman Sachs’ $2.9B 1MDB settlement

2020-10-23T15:05:00+01:00By

Jaclyn Jaeger explores compliance takeaways from Goldman Sachs’ $2.9 billion global bribery settlement for its role in the 1MDB scandal.

Hester_Peirce

SEC Commissioner Hester Peirce mulling CCO liability framework

2020-10-22T19:37:00+01:00By

SEC Commissioner Hester Peirce revealed in a recent speech that she is considering developing a draft framework that would aim to clarify when the Commission may seek personal liability in compliance cases.

Dark money

‘FinCEN Files’ reaction poll: Corporate culture blocks AML compliance

2020-10-22T17:48:00+01:00By

In the aftermath of the “FinCEN Files” leak, financial industry practitioners polled by Fenergo say changing the system needs to start within their own institutions.

NIST

NIST guidance tackles how to integrate cyber-security with ERM

2020-10-22T15:34:00+01:00By

New guidance from NIST aims to demystify a process with which many companies across all industries have long struggled: how to seamlessly integrate cyber-security risk into an overall enterprise risk management program.

Carnival

CPE Webcast: Lessons from Carnival’s compliance redemption amid COVID-19

2020-10-21T18:00:00+01:00By Compliance Week

Compliance Week Editor in Chief Dave Lefort and data journalist Aly McDevitt host a 1-hour Webcast to discuss CW’s Carnival case study in addition to the behind-the-scenes making of the product.

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USAA $85M fine for compliance failures lacks justification

2020-10-16T15:58:00+01:00By

The OCC’s recent $85 million penalty assessed against USAA for compliance risk management failures leaves too many questions unanswered for a fine that size, writes Jaclyn Jaeger.

JBS

Brazilian meatpacker’s FCPA settlement details widespread corruption

2020-10-15T17:00:00+01:00By

Brazilian company JBS, the largest meat producer in the world, and its holding company agreed to pay nearly $300 million for systemic and widespread corruption in settlements with two U.S. enforcement agencies.

M&A activity

Best practices for M&A cyber-security due diligence in a virtual world

2020-10-15T16:12:00+01:00By

The slowdown in mergers and acquisitions in the early stages of the coronavirus pandemic in March is waning, and M&A activity is approaching pre-pandemic levels again, with cyber-security risk now the top concern.

Danske Bank

How Danske is cleaning up after a €200B money laundering scandal

2020-10-13T20:38:00+01:00By

It is not clear what action Danske Bank will take on the back of its investigation into Europe’s biggest-ever money laundering scandal, but it is a safe bet to think further improving compliance will be on the list.

Citi

Citigroup fined $400M for compliance, risk management failures

2020-10-08T15:02:00+01:00By

Federal banking regulators fined Citigroup $400 million for failing to address “significant” risk and compliance failures.

Nailedit1200x800

EY allegedly flubbed Wirecard dealings worse than we thought

2020-10-02T17:05:00+01:00By Compliance Week

In this week’s “Nailed It or Failed It,” we take down EY and JPMorgan Chase for apparently ignoring whistleblowers and give the SEC a nod for rewarding them.

HP

HP fined $6M for disclosure violations and control failures

2020-10-01T20:08:00+01:00By

HP has agreed to pay $6 million in a settlement with the Securities and Exchange Commission to resolve allegations of disclosure violations and control failures regarding improper sales practices.

Diversity & Inclusion

What compliance can do to advance diversity and inclusion efforts

2020-09-29T20:05:00+01:00By

Experts offer best practices on how to ensure your D&I policies, training, and resources are sufficient at this social and cultural inflection point.

Citi

Citibank affiliates fined $4.5M for deleting subpoenaed audio files

2020-09-29T15:24:00+01:00By

Three Citibank affiliates have been collectively ordered to pay $4.5 million to settle CFTC charges regarding supervision failures that led to the deletion of subpoenaed audio files.

Business fear

OECD report: Fear of enforcement drives fight against corruption

2020-09-28T19:43:00+01:00By

Fear of enforcement and the consequential reputational fallout of an enforcement action are the top drivers for developing an anti-corruption compliance program, states a new report by the Organization for Economic Co-operation and Development.

Three Lines

Survey: Practitioners weigh in on IIA’s new Three Lines Model

2020-09-28T19:07:00+01:00By

A look at results from a joint survey from Compliance Week and Workiva reveals companies could benefit from a deep dive into the IIA’s new Three Lines Model, especially in light of the recent pandemic.

askamii

Five ways the pandemic has changed compliance—perhaps permanently

2020-09-28T15:15:00+01:00By

It’s a good thing you’re all experts in partnering for change, as more than 3 in 4 of you think COVID-19 will have a permanent impact on some compliance functions.

Megaphone

Ask a CCO: How do you keep the focus on compliance during a pandemic?

2020-09-28T14:38:00+01:00By Compliance Week

We asked nine prominent chief compliance officers what has been the most difficult part of ensuring ethics and compliance has remained top of mind for employees during the pandemic.

Career path

Ask a CCO: What drew you to compliance?

2020-09-25T16:55:00+01:00By Compliance Week

We asked nine prominent chief compliance officers across a multitude of industries what initially drew them to the compliance profession.

CCO

Ask a CCO: Which skill comes in most handy?

2020-09-24T20:17:00+01:00By Compliance Week

We asked nine prominent chief compliance officers across a multitude of industries which skill they think is most important in their CCO role.

Bank confusion

‘FinCEN Files’ fallout: Where do banks go from here?

2020-09-24T19:40:00+01:00By

The “FinCEN Files” report raises the question: What should banks be doing to address the trillions of dollars’ worth of banking transactions that are facilitating criminal activity every year?

David Lefort

Enjoy ‘Compliance Officer Day’—you’ve earned it

2020-09-24T17:02:00+01:00By

In a 2020 full of Blursdays that all run together, it’s perhaps appropriate that the day created in your honor this year happens to fall when you don’t have to be in the office (otherwise known as your bedroom/kitchen table).

Inside the Mind of the CCO

Inside the Mind of the CCO: 2020 a year like no other

2020-09-24T16:50:00+01:00By

Our second annual “Inside the Mind of the CCO” survey revealed that compliance practitioners, by and large, have stepped up to meet the unique challenges presented by this very different, very difficult year.

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‘FinCEN Files’ highlight bank leadership flaws, not compliance flaws

2020-09-23T19:14:00+01:00By

Compliance has been taking some heat in the wake of the “FinCEN Files” reports, but it’s banks’ senior leadership that failed, not the folks filing all those SARs.

columnist_nicodemus

‘FinCEN Files’ report casts compliance officers in unfair light

2020-09-21T21:19:00+01:00By

The BuzzFeed “FinCEN Files” investigation purportedly uncovered evidence of a catastrophic, international collapse of internal controls within the world banking system. But that argument is misleading, to the point of being disingenuous.

woods

Lesson for startups: Don’t try to fake compliance

2020-09-21T19:49:00+01:00By

Promising startups are often cut slack with compliance because investors feel they will eventually make it, but the time in between is ripe with dangers that extend well beyond the company, writes Martin Woods.

Bank fail

Recent OCC case shows widespread liability when a BSA program fails

2020-09-18T19:13:00+01:00By

Who faces liability when a Bank Secrecy Act program is deemed to be deficient? A series of recent enforcement actions taken by the OCC against individuals at a now-defunct New Jersey bank provides a case study.

Telecom satellite

Compliance official key to Comtech sanctions penalty

2020-09-18T16:36:00+01:00By

The alleged actions of an export compliance official are at the heart of “egregious” apparent OFAC sanctions violations by New York-based Comtech Telecommunications Corp. and its wholly owned subsidiary regarding sales in Sudan.

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Volkswagen completes monitorship; Deloitte family leave policy too good to be true?

2020-09-17T20:32:00+01:00By Compliance Week

Volkswagen gets a nod this week for successfully completing its 3-year compliance monitorship related to Dieselgate. Deloitte, on the other hand, lands on the wrong side of our list.

Employee compensation

Report: Median general counsel salary rises again, to $2.6 million

2020-09-17T16:18:00+01:00By

General counsel compensation is steadily on the rise, according to the latest in-house counsel compensation report by Equilar and executive search firm BarkerGilmore. Inside, we also explore what companies seek in a general counsel.

AIDA cruise line

Chapter 6: Carnival looks toward a new horizon

2020-09-17T13:00:00+01:00By

Carnival will go through extraordinary scrutiny as it prepares to resume guest operations—not just in health, safety, and security but in environmental compliance as well. The storm is not over yet.

Carnival

Chapter 5: The storms merge

2020-09-17T13:00:00+01:00By

How can Carnival meet the expectations of a government-mandated environmental compliance plan and stay in the court’s good graces while the coronavirus brings business to a standstill?

Peter Anderson

Chapter 4: Carnival moves ethics and compliance to the fore

2020-09-16T13:00:00+01:00By

This installment looks at how new Carnival CECO Peter Anderson restructured the Ethics and Compliance department and developed a culture action plan to drive change across the organization.

EY

EY chairman: Auditors should work harder to find fraud

2020-09-15T20:31:00+01:00By

The chairman and chief executive of Big Four auditing firm EY says auditors should do more to uncover fraud while conducting external audits, a topic the industry has historically been reluctant to tackle.

AdobeStock_288709055_Editorial_Use_Only

Daimler, U.S. authorities reach $1.5B proposed emissions settlement

2020-09-15T19:54:00+01:00By

Daimler AG and subsidiary Mercedes-Benz USA have reached a proposed settlement with U.S. authorities totaling $1.5 billion in fines and other costs to resolve emissions-cheating allegations.