Regulatory Enforcement


Deutsche Bank to pay $16M in FCPA case over hiring practices


Deutsche Bank has become the latest financial institution to pay a penalty for violations of the Foreign Corrupt Practices Act over questionable hiring practices, showcasing a litany of compliance failures.


Is whistleblowing working? New claims raise questions


Sweeping, open allegations of fraud against major public companies raise fresh questions about the effectiveness of regulatory whistleblower programs.

American Airlines

American Airlines to pay $22.1M over falsified mail delivery allegations


American Airlines has agreed to pay $22.1 million to resolve allegations of violations of the False Claims Act regarding the reporting of international delivery times.


TherapeuticsMD to pay $200K for Reg FD violations


Pharmaceutical company TherapeuticsMD agreed to pay a $200,000 penalty to resolve charges brought by the SEC for Reg FD violations. The case imparts some compliance lessons.


Cantor Fitzgerald, BMO Capital to pay $4.5M for mishandling ADRs


Brokers Cantor Fitzgerald and BMO Capital Markets will combine to pay more than $4.5 million to settle charges of improper handling of “pre-released” American Depositary Receipts.


Avianca discloses internal FCPA investigation


Avianca Holdings disclosed in a securities filing that it is investigating possible violations of the U.S. Foreign Corrupt Practices Act concerning free and discounted airline tickets and upgrades given to government officials in certain countries.


Suspecting illicit assets, British police freeze record $121M


The U.K.’s National Crime Agency announced it has frozen eight bank accounts containing more than £100m (U.S. $121 million), which it suspects derived from bribery and corruption overseas. This represents the largest amount of money frozen to date.

Binary options

CFTC files charges over fraudulent binary options trading scheme


The CFTC is pursuing enforcement against five entities and four individuals for engaging in a fraudulent scheme to solicit global customers for the purported purpose of trading illegal, off-exchange binary options.


Regulatory events coming this fall

2019-08-12T20:57:00+01:00By DeAnn Orie

Check out information on upcoming events from such regulators as the PCAOB, FDIC, SEC, DOJ, and more.


Allscripts $145M settlement indicative of broader enforcement trend


Allscripts Healthcare Solutions has reached a $145 million agreement in principle with the DOJ to resolve civil and criminal investigations into violations of HIPAA and anti-kickback laws.

KPMG building

Former KPMG, PCAOB leader gets prison time in inspections scandal


A former audit inspector and executive director at KPMG was sentenced to eight months in prison after entering a guilty plea related to a scheme to steal inspection plans.


Ex-KPMG partner to pay $125K in insider trading case


A former KPMG partner charged by the SEC with insider trading has been ordered to pay a civil penalty of $125,000 and suspended from appearing or practicing before the Commission as an attorney or accountant.


SFO cooperation guidance provides clarity on leniency


In recent guidance, the SFO for the first time has formally set out expectations essential to U.S.-type deferred prosecution agreements, but some say the low number of companies accepting criminal responsibility may negate the provision’s worth.

PwC sign

PCAOB fines PwC Mexico over auditor independence


U.S. audit regulators have fined PwC’s affiliate in Mexico for a seemingly brazen failure to observe auditor independence rules.


Swiss bank ignores compliance officer; pays $10.7M for tax evasion


A Swiss-based private bank reached a $10.7 million settlement and entered into a non-prosecution agreement with the U.S. Department of Justice for committing tax evasion after recommendations made by its compliance officer went ignored.


Fraud in non-GAAP: DOJ, SEC pursue parallel charges


The U.S. Department of Justice and the Securities and Exchange Commission are pursuing fraud charges over manipulation of a non-GAAP metric at a publicly traded real estate investment trust.


Chief compliance officer liability and the opioid epidemic


In a period of three months, two chief compliance officers have been charged for their individual roles in the opioid epidemic—a clear indication the Department of Justice continues to expand the scope of prosecutions to those who fail in their compliance responsibilities.


Mylan nears $30M settlement with SEC in EpiPen investigation


Mylan disclosed in a regulatory filing that it has reached a $30 million agreement-in-principle to resolve the SEC’s investigation alleging securities violations for disclosures surrounding EpiPens.

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Facebook settlement was barely worth waiting for


The compliance aspects of what will be expected of Facebook going forward were fair enough, but a lack of personal liability has us questioning the settlement.

Zuck privacy

The Facebook Effect: ‘Price of privacy violations just went up’


The FTC hit Facebook with a ground-breaking $5 billion penalty for privacy violations, but the bigger takeaway for CCOs is the unprecedented new privacy and corporate governance obligations the company must implement.


Facebook to pay $100M for misleading disclosures


In addition to its record-breaking FTC fine, Facebook on Wednesday reached a $100 million settlement with the SEC for making misleading disclosures regarding the risk of misuse of its user data.

Accounting fraud

SEC, DOJ charge 3 former Power Solutions executives with fraud


Three former executives of a smaller reporting company are facing multiple fraud charges connected to a $25 million overstatement of revenue.

Credit breach

Lesson from Equifax penalty (at least $575M): Breach ‘entirely preventable’


What resulted in the largest-ever breach of consumer data culminated in the largest data breach enforcement action in history.


Qualcomm fined $271M for predatory pricing


The European Commission has fined Qualcomm 242 million Euros (U.S. $271 million) for anti-competitive behavior in violation of EU antitrust rules. Qualcomm says it has done nothing wrong and will appeal the finding.

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FTC looks worryingly timid in staying silent on Facebook


The FTC, by dragging its feet and keeping silent on a massive Facebook fine, raises concerns about its potential role as top cop on the data privacy beat.


Reckitt Benckiser’s record $1.4B opioid settlement a warning for drug companies


Reckitt Benckiser Group will pay $1.4 billion to resolve a long-running federal investigation concerning the sales and marketing of the opioid addiction treatment drug Suboxone.

insider trading

SEC charges former Illumina accountant with insider trading


The SEC has filed insider trading charges against a former Illumina accountant and friend whose alleged scheme resulted in $6.2 million in profits.


Florida man sentenced for role in collapse of Puerto Rico bank


The CEO of a now-bankrupt pharmaceutical company was sentenced to 30 years in prison for his role in a $100 million plot that triggered Westernbank of Puerto Rico’s collapse.


Regulatory events: What’s hot this summer!

2019-07-09T20:46:00+01:00By DeAnn Orie

Here’s a look at some upcoming events and training from regulators like the SEC, DOJ, and PCAOB.


Marriott reveals $124M GDPR fine for data breach


Marriott has disclosed in a filing with the SEC that the U.K.’s Information Commissioner’s Office intends to fine it roughly £99 million (U.S. $124 million) for infringements of the EU’s GDPR.


SEC's Clayton reignites debate about pairing of enforcement, waivers


In a potential boon for businesses, SEC Chairman Jay Clayton says qualifications for waiver issuances may no longer be delayed due to lingering accusations of misconduct.


Hong Kong’s SFC bans former Goldman Sachs officer for life


Hong Kong’s Securities and Futures Commission has banned Tim Leissner, a former participating managing director at Goldman Sachs (Asia), from re-entering the industry in connection with his crimes relating to 1MDB.


Serco fined £19.2M over electronic tagging scandal


The U.K. Serious Fraud Office has approved in principle a deferred prosecution agreement with Serco Geografix for fraud and false accounting that would result in a fine of £19.2 million (U.S. $24.2 million).


CFTC issues joint $2M whistleblower award


The Commodity Futures Trading Commission announced on July 1 an award of $2 million to two “model whistleblowers” who provided the agency with “significant information” that prompted the CFTC to open an investigation.

State Street

State Street to pay $88.8M for mutual fund overcharges


State Street will pay $88.8 million to resolve charges with the SEC that it overcharged mutual funds and other registered investment company clients for expenses related to the firm’s custody of client assets.

Data security

FTC expands scope of data security compliance requirements


The FTC is turning up the heat on the data security compliance requirements companies must meet in the event of an enforcement action following a data breach.


UBS compliance officer convicted of insider trading


A London Southwark Crown Court jury on June 27 convicted two individuals—a senior compliance officer of UBS and a day trader of financial securities—and sentenced them to three years’ imprisonment for insider trading.


Yet another misstep by Danske results in firing of interim Danish CEO


Danske Bank has been forced to fire yet another board member—this time for mis-selling thousands of customers a wealth management product that charged excessive fees.


Merrill Lynch to pay $25M to settle metals ‘spoofing’ claims


Merrill Lynch Commodities will pay a combined $25 million to resolve a government investigation into a multi-year scheme to mislead the market for precious metals futures contracts.


Compliance lessons from Technip’s $301.3M global foreign bribery settlement


TechnipFMC and its wholly owned U.S. subsidiary Technip USA will pay a combined $301.3 million settlement to resolve foreign bribery charges with authorities in the United States and Brazil.

SEC building

Senate approves Lee nomination to SEC


The Senate has approved President Trump’s nomination of Allison Herren Lee, a former aide to Kara Stein, to a seat on the Securities and Exchange Commission.

Questions raised

KPMG fallout: Cheating allegations raise new questions


After new allegations at KPMG of cheating on internal training tests, audit committees now have another area of questioning for their external auditors.


FTC warns of false compliance with EU-U.S. Privacy Shield


The Federal Trade Commission is warning over a dozen companies in the form of letters not to falsely claim participation in the EU-U.S. Privacy Shield program.


SEC overturns PCAOB action stemming from financial crisis


The SEC has canceled sanctions imposed by the PCAOB on a now-retired KPMG auditor connected with a mortgage lender failure at the height of the financial crisis.


Wedbush to pay more than $8.1M for improper handling of ADRs


Wedbush Securities will pay more than $8.1 million to settle charges for the improper handling of “pre-released” American Depositary Receipts.


Congress shows new resolve to combat shell companies


The United States seems poised to finally tackle issues surrounding shell companies and their often-opaque beneficial ownership structures.


More cheating charges at KPMG: SEC fines firm $50M


The SEC has fined KPMG for not only allegations of cheating on regulatory inspections, but also new charges of numerous auditors cheating on training exams.


ICBC to pay more than $42M for improper handling of ADRs


Industrial and Commercial Bank of China Financial Services will pay more than $42 million to settle charges with both the Securities and Exchange Commission and the Department of Justice for the improper handling of “pre-released” American Depositary Receipts.

global-regulatory cover

White paper: Global Regulatory Outlook – Are We There Yet?

2019-06-14T17:47:00+01:00Provided by

Following the 2008 financial crisis, regulatory compliance has come to play an ever-larger role in the lives of financial institutions. Regulatory requirements have become more complex and enforcement scrutiny has increased.

Expedia building

Expedia settles with Treasury for violations of U.S. sanctions on Cuba


Expedia Group has agreed to pay more than $325,000 to resolve allegations that it violated U.S. sanctions on Cuba, the Treasury Department announced.