Regulatory Enforcement


Facebook privacy

CJEU ruling opens Facebook, others to greater GDPR liability

2021-06-16T15:53:00+01:00By

The EU’s top court ruled any of the bloc’s national data protection authorities can pursue a privacy complaint against Facebook or any other Big Tech firm and not just the supervisory authority where the company has its European headquarters.

Lina Khan

Lina Khan’s rise to FTC chair suggests aggressive antitrust enforcement

2021-06-16T15:53:00+01:00By

Lina Khan’s elevation to chair of the FTC on the same day her nomination was confirmed by the Senate signals the Biden administration’s intention to aggressively address antitrust issues.

Exposed files

First American Financial settles SEC charges for cyber-security failures

2021-06-15T16:04:00+01:00By

First American Financial Corp. reached a $487,616 settlement with the SEC for failing to maintain cyber-security disclosure controls and procedures that exposed more than 800 million title insurance records containing sensitive customer information.

Amazon

Reported Amazon fine ($425M) ‘biggest test’ of GDPR enforcement yet

2021-06-15T15:11:00+01:00By

Amazon reportedly faces a fine of more than $425 million under the GDPR that would show EU regulators firmly have Big Tech companies—and their practices—in their crosshairs.

GameStop

SEC probing GameStop, others over ‘meme stocks’ craze

2021-06-10T19:41:00+01:00By

Video game retailer GameStop, whose market volatility earlier this year led the so-called “meme stocks” craze, disclosed it is cooperating with an investigation launched by the Securities and Exchange Commission.

riskonnect 300x200

CPE Webcast: Managing policy updates in a sea of regulatory change

2021-06-10T14:00:00+01:00Provided by

Updating corporate policies to correspond with an ever-changing, ever-growing list of regulations is putting pressure on already stretched corporate compliance functions. And the flood of new regulations will likely only increase going forward. Will you be able to keep up?

Priority list

What might an overhauled PCAOB look to accomplish?

2021-06-08T16:23:00+01:00By

With no requirements for the PCAOB to feature a certain number of members from each political party, the SEC has the chance to staff the organization with a decidedly Democratic majority. What might such a Board set out to change?

archer300x200

CPE Webcast: Riding the waves of regulatory change

2021-06-08T14:00:00+01:00Provided by

With a constant influx of new and changing regulatory requirements with increased scrutiny and enforcement, organizations can quickly fall behind and be drawn into a churn of reactive activities that distract from business objectives and use up valuable resources.

NAB

Australia’s NAB cited for ‘serious and ongoing non-compliance’ with AML laws

2021-06-07T17:57:00+01:00By

Australia’s financial regulator has identified “serious concerns” with National Australia Bank’s compliance with anti-money laundering and counter-terrorism financing rules but indicated it won’t fine the bank—for now.

SEC

CCO settles SEC charges of causing firm to breach fiduciary duties

2021-06-07T17:47:00+01:00By

The SEC announced settled charges with the chief compliance officer of investment adviser VII Peaks Capital for her alleged role in causing the firm to breach fiduciary duties.

Avianca

SEC drops FCPA probe into Avianca

2021-06-04T17:39:00+01:00By

Avianca Holdings disclosed in a regulatory filing that the SEC has dropped its FCPA investigation into the company and will not recommend an enforcement action.

Board table

SEC pauses proxy voting rule enforcement amid review

2021-06-03T21:10:00+01:00By

SEC Chairman Gary Gensler announced he is directing staff to consider whether to recommend further regulatory action regarding proxy voting advice, leading the agency to pause related enforcement activity.

Courthouse

NYC Bar framework seeks clarity on when CCOs face SEC charges

2021-06-03T20:40:00+01:00By

The New York City Bar Association has proposed a framework for regulators like the SEC to use when considering charging chief compliance officers for misconduct that occurs on their watch.

Bulgaria

OFAC bills Bulgarian sanctions as ‘single largest action targeting corruption’

2021-06-03T18:15:00+01:00By

Calling it the “single largest action targeting corruption to date,” the Office of Foreign Assets Control sanctioned three prominent Bulgarian individuals along with their network of 64 companies for their “extensive roles” in corruption in Bulgaria.

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SEC, CFTC charge LJM for mishandling $1B in assets; chief risk officer settles

2021-05-28T18:53:00+01:00By

The SEC and CFTC filed charges against investment management firm LJM and two portfolio managers for misleading investors about the company’s risk management practices. Each agency separately reached settlements with LJM’s chief risk officer for his role in the alleged scheme.

Julius Baer

Julius Baer pays $80M in FIFA corruption settlement

2021-05-27T22:26:00+01:00By

Swiss bank Julius Baer entered a deferred prosecution agreement and will pay $80 million for its role in a money laundering conspiracy linked to world soccer federation FIFA, the Department of Justice announced.

Archegos Capital

Report: DOJ launches investigation into Archegos collapse

2021-05-27T18:09:00+01:00By

The Department of Justice has reportedly launched an investigation into the collapse of Archegos Capital Management, which cost multiple big banks billions of dollars.

Rising data

Report: GDPR fines more than doubled in Year 3

2021-05-27T17:05:00+01:00By

Data protection authorities issued 287 known GDPR fines between March 2020 and March 2021—a 120 percent increase in frequency, according to a new report from CMS.

Odebrecht site

Austrian banker arrested for role in Odebrecht-related scheme

2021-05-26T19:32:00+01:00By

The former CEO of an Austrian bank was arrested in the United Kingdom on criminal charges for his alleged role in a massive money laundering scheme involving Brazil-based global construction conglomerate Odebrecht.

GDPR

GDPR’s future: Fine amounts, transparency among top points of contention

2021-05-26T18:08:00+01:00By

Experts believe the GDPR is largely “future-proof,” though fine decisions that vary considerably from one EU country to the next and lack of transparency remain areas of concern for the privacy law three years in.

UBScrop

Nomura, UBS, UniCredit fined $453M total over EU cartel scheme

2021-05-21T16:18:00+01:00By

The European Commission fined Nomura, UBS, and UniCredit a total of €371 million (U.S. $453 million) for their participation in a cartel scheme through a group of traders. Bank of America, Natixis, NatWest, and Portigon were also each allegedly involved but not penalized.

Columnist_Hodge

U.K. regulatory system also at fault in Greensill collapse

2021-05-20T17:19:00+01:00By

The collapse of Greensill Capital has led to investigations into how the company got into the financial mess it did and why alarm bells didn’t ring. But one investigation is noticeably conspicuous by its absence—why the company wasn’t properly regulated in the first place.

Swiss Life

Swiss Life to pay $77.4M for tax evasion scheme

2021-05-17T16:18:00+01:00By

Swiss Life Holding and three of its subsidiaries entered a deferred prosecution agreement with the Justice Department and will pay $77.4 million for conspiring with U.S. taxpayers to conceal more than $1.4 billion in offshore insurance policies.

SFO

SFO probing Sanjeev Gupta business ties to Greensill Capital

2021-05-14T17:20:00+01:00By

The U.K. Serious Fraud Office has launched an investigation into suspected fraud and money laundering in financing arrangements between steel and mining magnate Sanjeev Gupta and recently collapsed Greensill Capital.

State Street

State Street to pay $115M for mutual fund overcharges

2021-05-14T16:43:00+01:00By

State Street will pay a $115 million criminal penalty and enter into a deferred prosecution agreement with the Department of Justice for mutual fund and expenses overcharges.

woods

Deutsche Bank’s continued AML struggles worth questioning

2021-05-14T15:16:00+01:00By

How is it Deutsche Bank can spend more than $1 billion on compliance enhancements but still be ordered to do more to improve its AML controls? Is the bank to blame or are regulators missing the big picture?

N26

German finance regulator orders N26 to improve AML controls

2021-05-13T18:17:00+01:00By

BaFin, Germany’s market regulator, has ordered mobile bank N26 to improve its anti-money laundering controls, taking the unusual move to appoint a “special commissioner” to monitor its progress.

Hackers

SEC fines broker-dealer $1.5M for SARs filing failures

2021-05-12T18:01:00+01:00By

GWFS Equities will pay $1.5 million as part of a settlement with the SEC for lapses in the filing of suspicious activity reports related to the threat of cyber-breaches.

Comey CW2021 blog

James Comey: Lessons from Enron era will ‘become real again’

2021-05-11T20:17:00+01:00By

Former FBI Director James Comey kicked off Compliance Week’s 16th annual National Conference on Tuesday by speaking candidly about a variety of risk and compliance matters, including the importance of a strong ethical culture in the coming post-pandemic “boom times.”

Bombardier sign

DOJ joins SFO in corruption probe of Bombardier

2021-05-10T17:51:00+01:00By

The U.S. Department of Justice has joined the U.K. Serious Fraud Office in an ongoing investigation into plane maker Bombardier over suspected bribery and corruption relating to contracts and orders from airline carrier Garuda Indonesia.

Pactiv Evergreen

DOJ closes FCPA investigation into Pactiv Evergreen

2021-05-10T15:57:00+01:00By

Pactiv Evergreen said it will not face an enforcement action by the Department of Justice, following an internal investigation launched last year into potential violations of the Foreign Corrupt Practices Act.

MoneyGram sign

Monitor certifies MoneyGram’s AML program after lengthy DPA

2021-05-06T19:42:00+01:00By

MoneyGram International stated in a regulatory filing it has fulfilled its obligations under a DPA it entered with the Department of Justice eight years ago, and its AML program was given a thumbs-up by its compliance monitor.

DNB

Norway’s DNB fined $48.1M for AML violations

2021-05-04T16:39:00+01:00By

DNB ASA, Norway’s largest financial services group, will pay a fine of NOK 400 million ($48.1 million) for failing to adhere to Norwegian Anti-Money Laundering Act standards.

Under Armour

Under Armour to pay $9M to settle SEC accounting probe

2021-05-04T14:33:00+01:00By

Under Armour agreed to pay $9 million to settle charges brought by the SEC concerning accounting practices by the sports apparel company that rendered statements it made misleading.

Deutsche

Deutsche Bank ordered to further improve AML controls

2021-05-03T17:54:00+01:00By

BaFin, Germany’s market regulator, signaled Deutsche Bank still has more to do concerning previously ordered improvements to its AML compliance controls.

SECBooks

SEC settles with 8 companies over untimely reporting disclosures

2021-04-30T19:27:00+01:00By

The Securities and Exchange Commission announced settlements with eight companies for incomplete reporting related to “not timely” form disclosures.

SAP

SAP to pay over $8M for admitted Iran sanctions violations

2021-04-30T18:09:00+01:00By

German software company SAP SE agreed to pay more than $8 million in combined penalties issued by three U.S. agencies after admitting to committing numerous violations of sanctions against Iran.

DOJSeal

DOJ FCPA head Christopher Cestaro to depart for WilmerHale

2021-04-30T17:08:00+01:00By

Christopher Cestaro, chief of the Justice Department’s FCPA Unit, is set to depart the agency for a partner position with law firm WilmerHale.

MoneyGram

MoneyGram plagued by tech, human error in OFAC sanctions settlement

2021-04-30T15:46:00+01:00By

The Office of Foreign Assets Control announced a $34,329 settlement with MoneyGram Payment Systems for apparent violations of multiple sanctions programs, including the processing of transactions involving Syria.

SEChq

New SEC enforcement head Alex Oh resigns for personal reasons

2021-04-28T21:38:00+01:00By

Alex Oh resigned as head of the Securities and Exchange Commission’s Enforcement Division for personal reasons after less than one full week on the job.

Airbus building

Airbus subsidiary GPT pleads guilty to corrupt acts in Saudi Arabia

2021-04-28T19:47:00+01:00By

Airbus subsidiary GPT Special Project Management will pay approximately £30.3 million (U.S. $42.1 million) after pleading guilty to corruption relating to contracts it was awarded for work carried out in Saudi Arabia.

FirstEnergy

FirstEnergy could face DPA in corruption scandal settlement

2021-04-27T18:53:00+01:00By

FirstEnergy has begun discussions with the U.S. Attorney’s Office regarding resolution of the Ohio nuclear bailout federal corruption scandal, including possibility of a deferred prosecution agreement.

Londoncrop

U.K. rolls out new anti-corruption sanctions regime

2021-04-27T17:13:00+01:00By

The United Kingdom has in place a new global anti-corruption sanctions regime, and the government is wasting no time enforcing it, imposing its first wave of sanctions against 22 individuals.

SFO

SFO strikes out again in Serco execs case

2021-04-26T17:32:00+01:00By

Two former executives at security company Serco were acquitted of defrauding the U.K.’s Ministry of Justice after the Serious Fraud Office failed to disclose documents to the defense.

FTC

Supreme Court limits FTC’s power to recoup ill-gotten gains

2021-04-22T20:08:00+01:00By

The Supreme Court ruled the Federal Trade Commission cannot seek to recover funds unlawfully obtained by individuals and companies resulting from violations of consumer protection laws.

SECcrop

SEC appoints Alex Oh to lead Enforcement Division

2021-04-22T17:38:00+01:00By

The Securities and Exchange Commission has named Alex Oh to lead an Enforcement Division expected to be more aggressive under new Chair Gary Gensler.

SEC

Senate extends Gary Gensler’s SEC term to 2026

2021-04-20T21:43:00+01:00By

The Senate voted Tuesday to extend Gary Gensler’s term as chair of the Securities and Exchange Commission through 2026, cementing his control of the top regulator of U.S. financial markets.

Steel manufacturing

Alliance Steel to pay $435K for Iran sanctions lapses

2021-04-20T18:05:00+01:00By

The Office of Foreign Assets Control announced a $435,003 settlement with manufacturer Alliance Steel for apparent sanctions violations related to the company’s importation of engineering services from Iran.

ABN AMRO

ABN AMRO to pay $575M in money laundering settlement with Dutch authorities

2021-04-19T17:41:00+01:00By

Dutch bank ABN AMRO reached a €480 million (U.S. $575 million) settlement with the Netherlands Public Prosecution Service to resolve money laundering charges.

Braskem

Ex-Braskem CEO pleads guilty for role in bribery scheme

2021-04-16T15:44:00+01:00By

The former CEO of Brazilian petrochemical giant Braskem pleaded guilty for his role in a scheme to divert hundreds of millions of dollars in bribe payments from the company to government officials and political parties in Brazil.