The document discusses the strategic value of having a Chief Ethics & Compliance Officer (CECO) that is independent from the legal department. It notes that the CECO's role has emerged to address issues where compliance was previously handled by legal or HR. The CECO should report directly to the board rather than legal to avoid conflicts between US and foreign laws. Maintaining independence of the CECO and legal functions is important for companies operating in high-risk regions to manage compliance with anti-bribery, money laundering, and corruption laws.
Cross-Border/International Legal Malpractice. Due to the increased volume of the movement of goods, investment and services, the risk of legal malpractice is increasing. The level of such malpractice is probably greater than most acknowledge. I have numerous articles written about this topic and been involved in legal matters involving this issue.
Trade, Antitrust and Other Regulatory Matters in BRICSIlya Nikiforov
Investments in BRICS: Business Perspectives and Legal Frameworks. IBA: Investments in BRICS. February 2013. Session: Trade, Antitrust and Other Regulatory Matters in BRICS. Ilya Nikiforov
Cross-Border/International Legal Malpractice. Due to the increased volume of the movement of goods, investment and services, the risk of legal malpractice is increasing. The level of such malpractice is probably greater than most acknowledge. I have numerous articles written about this topic and been involved in legal matters involving this issue.
Trade, Antitrust and Other Regulatory Matters in BRICSIlya Nikiforov
Investments in BRICS: Business Perspectives and Legal Frameworks. IBA: Investments in BRICS. February 2013. Session: Trade, Antitrust and Other Regulatory Matters in BRICS. Ilya Nikiforov
FCPA Enforcement Tends and Their Impact on Corporate Compliance ProgramsPECB
This presentation was delivered at the ISO 37001 & Anti-Bribery PECB Insights Conference by William Marquardt, Director at Berkeley Research Group LLC in Florida
Doing business in China – Recent anti-corruption and briberyGrant Thornton LLP
China enforcement agencies have recently made headlines in their crackdown on corruption within the several industries. As a result of these high-profile investigations, multinationals are refreshing their current anti-corruption compliance and oversight programs to address China’s bribery laws.
$60 Billion in US Extraterritorial Enforcement, Lecture Slides, Hong Kong, Fa...Paul Backer
US imposed $60 billion in penalties against companies for actions outside the US violating US administrative and substantive law including AML, antitrust, combating the financing of terrorism, criminal, Dodd-Frank, FATCA, FCPA, regulatory, RICO, sanctions, Sarbanes – Oxley, securities and others. Implementing effective compliance, remediation, mitigation, risk management and whistleblower policies for companies transacting outside the US.
Winston & Strawn partners Peter Crowther, Nicholas Usher, and Eva Davis hosted a discussion on the latest developments in international corporate transactions and antitrust/competition law.
Among other topics, they discussed current market practices for U.S. companies doing transactions in Europe, as well as key takeaways from some of the recent matters they have handled.
Economic Aspects Of Enforcing The Rule Of Law BodinOllivierBodin
This is about the difficulties to establish the Rule of Law in Soth-Est Europe, about the economic costs of a lack it and about thrust and confidence building in networks.
Explanations for Dierences in Levels of Investor ProtectioScott Tominaga
Although, La Porta and colleagues pointed out the importance of legal foundation for investor protection, other theories argue that legal determinants are complex. These theories suggest that the differences in the investor protection level around the world are determined by other variables, particularly important exogenous variables are those related to political economy considerations
FCPA Enforcement Tends and Their Impact on Corporate Compliance ProgramsPECB
This presentation was delivered at the ISO 37001 & Anti-Bribery PECB Insights Conference by William Marquardt, Director at Berkeley Research Group LLC in Florida
Doing business in China – Recent anti-corruption and briberyGrant Thornton LLP
China enforcement agencies have recently made headlines in their crackdown on corruption within the several industries. As a result of these high-profile investigations, multinationals are refreshing their current anti-corruption compliance and oversight programs to address China’s bribery laws.
$60 Billion in US Extraterritorial Enforcement, Lecture Slides, Hong Kong, Fa...Paul Backer
US imposed $60 billion in penalties against companies for actions outside the US violating US administrative and substantive law including AML, antitrust, combating the financing of terrorism, criminal, Dodd-Frank, FATCA, FCPA, regulatory, RICO, sanctions, Sarbanes – Oxley, securities and others. Implementing effective compliance, remediation, mitigation, risk management and whistleblower policies for companies transacting outside the US.
Winston & Strawn partners Peter Crowther, Nicholas Usher, and Eva Davis hosted a discussion on the latest developments in international corporate transactions and antitrust/competition law.
Among other topics, they discussed current market practices for U.S. companies doing transactions in Europe, as well as key takeaways from some of the recent matters they have handled.
Economic Aspects Of Enforcing The Rule Of Law BodinOllivierBodin
This is about the difficulties to establish the Rule of Law in Soth-Est Europe, about the economic costs of a lack it and about thrust and confidence building in networks.
Explanations for Dierences in Levels of Investor ProtectioScott Tominaga
Although, La Porta and colleagues pointed out the importance of legal foundation for investor protection, other theories argue that legal determinants are complex. These theories suggest that the differences in the investor protection level around the world are determined by other variables, particularly important exogenous variables are those related to political economy considerations
North American countries have implemented anti-corruption laws. Should other areas adopt such practices? What impact would such laws have on business in a region?
A Resource Guide to theU.S. Foreign Corrupt Practices Act
Credit is due to all original authors and no financial gain was made from the report, Simply sharing an interesting story for educational purposes,
This paper sets out the current legal regime in place to combat corruption and fraud and explains how international arbitration tribunals handle such allegations.
Discussion #1Based on authoritative sources (including peer revi.docxcuddietheresa
Discussion #1
Based on authoritative sources (including peer reviewed articles from the library, Fraud Examiners Manual, etc), give some examples and discuss current ways in which you could obtain information from public and private sources if you were asked to investigate an employee in accounts receivable that is believed to be embezzling funds from your company. Do you think the data you obtained is reliable from these public and private sources, why or why not?
Comment (FG)
The investigation's study element includes specialists in publicly sourced data obtaining appropriate data about people and organizations suspected of fraud participation (PWC, 2008). This is one of the first measures taken when a suspect was recognized in an inquiry. Most of the information and paperwork used in an inquiry are produced internally – it comes from within the organization or is otherwise easily accessible within the organization (in the event of invoices from the seller). However, sometimes it becomes vital to have information or paperwork that is only accessible from external sources. Public data and documents are typically accessible to the general government either by visiting a website or facility or on request from the record holder. In most instances, government agencies maintain public records. There are two wide categories of external information sources, public and non-public. For instance, if an employee posts pictures or makes statements on social media, this data could be easily accessible to all spectators. “Investigators should always use caution when accessing this information, especially if the information is only available to ‘friends’ or other contacts that the individual has granted special access to.” (Pomerantz & Zack, 2017)
Non-public documents are confidential and private. Holders of such documents are under no obligation to generate such documents unless they have given their permission or are required to do so as a consequence of legal proceedings, such as a court order or summons. This category includes records such as private bank statements from people who may be the topic of an inquiry. Researchers do not normally have ready access to these records. Non-public records include information about a private and confidential person or business. Must get from 1) Consent, 2) Legal process 3) Search warrant.
An employer who uses a third party to conduct a workplace investigation no longer has to obtain the prior consent of an employee if the investigation involves suspected: 1) Misconduct, 2) Violation of law or regulations, 3) Violation of any preexisting policy of the employer (ACFE, 201
Discussion #2
Play the video titled 5 Steps to Reduce Small Business Fraud located on the ACFE website http://www.acfe.com/Video-Library.aspx
What did you learn from this video that you could relate to your current, past or future job in accounting? Be sure to use authoritative sources (including peer reviewed articles from the library, F ...
OFAC Name Matching and False-Positive Reduction TechniquesCognizant
Exploration of Office of Foreign Asset Control (OFAC) compliance and strategies to avoid false positives (and negatives), covering watch lists such as specially designated nationals (SDN), customer due diligence,data mining, probabilistic techniques and anti-money-laundering (AML) software.
Can someone do a reply to this thread HAS TO BE 450 WORDS EACH REPLYjenkinsmandie
Can someone do a reply to this thread HAS TO BE 450 WORDS EACH REPLY ANSWER
Reply to the threads of 2 classmates who offer views different than yours. Identify the points of difference in your analyses and explain how your application of the relevant law to the facts of this situation led you to a different conclusion.
Each reply must be 450 words supported by 3 scholarly sources other than the textbook/course materials. Each source must be properly cited in current APA format.
Review the Assignment Instructions for Discussion Board Forums, noting especially requirements for word counts, scholarly sources, and biblical worldview integration.
Submit your replies by 11:59 p.m. (ET) on Sunday.
FIRST THREAD NEEDED TO BE REPLIED TO
The Result of a Decline in Business Ethics
Business ethics is defined by “the application of ethics to the special problems and opportunities businesspeople experience” (Kubasek, Browne, Barkacs, Herron & Dhooge, 2016, p. 16). When ethical decisions appear in a person’s life, more likely than not, a plethora of choices are considered when determining the best course to take for justifying our actions. In many cases, we consider our Lord and Savior Jesus Christ, his heavenly father God, our parents, our spouses, our children, friends, colleagues, physical and mental emotions, plus more before committing to one-way or the other. However, when the word “business” is placed in front of ethics, the ramifications are often much larger, including monetary value, and the effect decisions will have on stakeholders and the public. First Timothy 6 verses 10 states “For the love of money is the root of all-evil: which while some coveted after, they have erred from the faith, and pierced themselves through with many sorrows” (KJV). By highlighting the definition of Business Ethics as well as 1 Timothy 6:10, we expose the very public lambasting of Volkswagen Group, whom recently stated “11 million of its diesel cars worldwide were equipped with software that was used to cheat on emissions test” (Lippe, 2015). A multitude of responses, questions, and political backlash reduced Volkswagen’s image in the public, however, we will identify the steps that should have been enforced to prevent this incident, starting at the managerial level and ending with the Chief Executive Officer (CEO).
As children of God, we are instilled with the rationale between what is right and wrong. James 4 verse 17 (KJV) states “Therefore to him that knoweth to do good, and doeth (it) not, to him it is sin”. We are endowed with the conscious capability to distinguish between doing something right and doing something wrong, however, when we choose to do something wrong, it is considered a Sin. Other factors may weigh heavily for or against the determination of right or wrong to include family beliefs, childhood, and life experiences. Nevertheless, as employees working in the Legal o ...
Key Take aways -
» To successfully develop and implement an anti-corruption framework, an organization must have an excellent tone at the top.
» An anti-corruption framework must have a robust, clear, and comprehensive de nition section for any employee or vendor to refer to.
» Assess your organization’s culture with adequate risk assessments and take steps to mitigate problem areas.
» The degree of con dentiality and mechanism of reporting offered to employees will inform the level of trust those
employees maintain.
» Investigation procedures and disciplinary actions that an employee might face are indicators of an organization’s tolerance and intolerance toward misconduct.
MTBiz is for you if you are looking for contemporary information on business, economy and especially on banking industry of Bangladesh. You would also find periodical information on Global Economy and Commodity Markets.
Signature content of MTBiz is its Article of the Month (AoM), as depicted on Cover Page of each issue, with featured focus on different issues that fall into the wide definition of Market, Business, Organization and Leadership. The AoM also covers areas on Innovation, Central Banking, Monetary Policy, National Budget, Economic Depression or Growth and Capital Market. Scale of coverage of the AoM both, global and local subject to each issue.
MTBiz is a monthly Market Review produced and distributed by Group R&D, MTB since 2009.
AlyousifName Mohammed AlyousifProfessor Conne FarrelCour.docxnettletondevon
Alyousif
Name :Mohammed Alyousif
Professor: Conne Farrel
Course:ENG-100
Date: 11/6/2016
Use of Blackout Periods to Curb Insider Trading
A couple of years back in 2012 a Manhattan office linked to the United States Attorney initiated criminal investigations to establish whether corporate executives from a list comprising of seven different companies engaged in insider trading by trading shares of their own company’s stock. Since then, it is uncommon to pick up a newspaper and miss an insider trading investigation. At a time when a former Yahoo executive pleaded guilty of committing a securities fraud, another trial was underway involving the director of Goldman Sachs who was accused of leaking insider information of both Procter & Gamble and Goldman Sachs to a friend.
In addition, former hedge fund Raj Rajaratnam has been convicted for insider trading proving that Securities and Exchange Commission is putting a lot of effort in investigating and prosecuting cases of insider trading. However, this does not help restore investor confidence in the financial sector. Some other corporate level strategies should be instituted to prevent governmental interventions in the issue. One such appropriate way is use of “blackout periods” to check flow of sensitive information during trading periods.
In all manner and fashion insider trading undermine investor confidence in relation to integrity and fairness of the securities market. Because of this, all jurisdictions around the world have legislations dealing with insider trading. Undisputedly, the United States has been the longest serving victim of the issue of insider trading. Most of the studies carried out on the issue are carried out in the US and some of the toughest legislations formed to deal with the matter originate from the United States of America (CFA Institute 4). Inside trading has a huge influence in the American financial market and other markets around the world.
The concept of insider trading has two major adverse effects. First, it injures investors by undermining their confidence regarding the financial markets of a company, country or a state. Regarding investors, inside trading makes them trade at a “wrong price.” In other words, an investor is duped to make a bad purchase or sale. Even though, this type of effect has been down played it has significant impacts on the change of perception of investors in any particular securities market. Secondly, inside trading injures Issuers this is because it will delay corporate plans by delaying transmission of information to provide sufficient time for manipulation of stock prices (Anderson 358). As a result, a company in question suffers massive reputation damage when the issue becomes common knowledge.
In addition, insider trading is plain theft. Therefore, inside trading is an issue to be addressed not only by the regulatory frameworks provided by the legislative bodies but also individual corporate initiatives. Form the statist.
1. ISM Forward Scan
Insights for Today’s Supply Leaders
Exclusively for Supply Leaders in the ISM Corporate Program Vol. 2:3 June 2012
A Separate Guardian: The
Strategic Value of the CECO
By Dr. Adriana Sanford
Sound business ethics is essential to longstanding success in the global corporate
environment and the recovery of public trust in market economies. Unfortunately,
bribes, “facilitation fees,” and/or “mordidas” are still common and acceptable
practices as the “cost of doing business” in some competitive business environments.
Traditionally, the compliance position was filled by either human resources or legal
staff. However, after a number of high-profile corporate fraud cases demonstrated that
these dynamics could be skewed due to an inadequate level of autonomy, the strategic
role of the Chief Ethics & Compliance Officer (CECO) began to emerge.
In the past, the lack of clarity regarding the role of legal versus compliance (such as when
the General Counsel is the CECO or the CECO reports to the General Counsel), often
weakened the effectiveness of the compliance processes, including the multinational’s
ability to readily comply with U.S. and foreign legal obligations (such as the U.S. Foreign
Corrupt Practices Act or the U.K. Bribery Act). The issue of the CECO reporting to
the General Counsel (GC) has received much attention in the resolution of various
high-profile cases, where multinationals have agreed that their CECO will neither be
nor be subordinate to the GC or CFO. The former U.S. Securities & Exchange Com-mission
(SEC) Chief Accountant, Lynn Turner, also stated that the CECO and the
whistleblower reporting line must report directly to the Audit Committee (rather than
the GC) or it is “worthless.”1
1 Patrick Gnazzo and Donna Boehme, “Whistleblower 3.0: Preparing For Life (and Compliance) Under The
New Dodd-Frank Bounty Rules”, Compliance & Ethics Professional, August 2011. Available at
http://compliancestrategists.net/sitebuildercontent/sitebuilderfiles/scce.df301.gnazzoboehme.pdf
2. Similar to audit and accounting, with the separate focus
and a different function between the CECO and the
GC there should be no duplication of work, no organi-zational
overlap, and no confusion.2 Moreover, as audi-tors
require independence to be free of conflict and to
report to the Board, the CECO role requires the same
independence. The 2010 amendments to the U.S. Fed-eral
Sentencing Guidelines also supported the need for
a CECO with “direct reporting obligations” to the gov-erning
body. Preferably, the CECO should have (i)
employment decided and terminated only at the direction
of the Board of Directors; (ii) directly report to either the
Board or the CEO; (iii) have direct, unfiltered access to
the Board; and (iv) achieve performance goals as defined
by the Board and CEO3.
Whether due to proactive strategic vision or reactive
necessity, this independence between the legal and ethics
& compliance functions is critical, especially in regions
with high risk for money laundering, crime or corruption
Even though the United States does not follow the Gatekeeper Initiative,
U.S. prosecutors may also prosecute an attorney if they think the attorney
has somehow conspired to help violate anti-money laundering laws
or has violated other foreign laws.8
(particularly when foreign laws include the Gatekeeper
Initiative4 or some variation thereof), as the GC is often
faced with a significant legal dilemma when complying
with both U.S. and foreign law.5
The General Counsel’s Legal Dilemma
The Gatekeeper Initiative, through Recommendation 13,
can directly conflict and/or violate Rule 1.6 (a) of the
American Bar Association Model Rules of Professional
Conduct (“Model Rules”) and the duty of confidentiality,
which is the pillar of the attorney-client relationship.
While the American Bar Association strongly opposes
U.S. federal legislation that would impose “gatekeeper
regulations” on lawyers (including bills that could subject
the legal profession to key anti-money laundering com-pliance
provisions of the Bank Secrecy Act), the reality is
that many foreign jurisdictions already have adopted such
regulations and require the U.S. licensed GC to disclose
any suspicious information, “based on a mere suspicion
that the funds involved in a client’s transaction stemmed
from some type of illicit activity”.6
According to Bruce Zagaris7, U.S. case law also shows that
even though the United States does not follow the Gatekeeper
Initiative, U.S. prosecutors may also prosecute an attorney if they
think the attorney has somehow conspired to help violate
anti-money laundering laws or has violated other foreign
laws.8 Consequently, merely abiding by Rule 1.16 of the
Model Rules by “terminating the legal representation” is
often considered inadequate for many GCs in order to avoid
personal criminal liability under certain foreign jurisdic-tions,
and most surprisingly, sometimes even under U.S. law.
Although international strategies and standards for com-bating
corporate corruption and money laundering
have been in development for almost fifteen years, the
environment in which organized crime develops is con-stantly
evolving and some U.S. multinationals are still
ill-equipped to handle these challenges. The strategic col-laboration
between the GC and the CECO has been con-sidered
vital for many companies to adequately manage
their global supply chain.
Facilitating Compliance with U.S. and
Foreign Legal Requirements
Many global companies are incorporating the CECO role
into the organizational management team. For critical
decisions with a legal or ethical component, the CECO
should partake along with the GC and the CFO in meet-ings
or discussions with the CEO or the Board as a sepa-rate
“Guardian” with additional expertise and knowledge
in international law and ethical risks in order to prevent
intrusive government investigations, reduce significant
fines and in some cases, avoid possible jail terms.
2 The CECO audits, monitors, educates, investigates, manages the anony-mous
reporting mechanism, and enforces discipline.
3 “Leading Corporate Integrity: Defining the Role of the Chief Ethics and
Compliance Officer”, Ethics Resource Center, August 2007. http://www.
ethics.org/files/u5/CECO_Paper_UPDATED.pdf
4 The Gatekeeper Initiative traces its origin to the Moscow Communiqué
issued at the 1999 meeting of the G-8 Finance Ministers. Ministerial
Conference of the G-8 Countries on Combating Transational Organized
Crime (Moscow, October 19-20, 1999)—Communiqué. See http://www.
g8.utoronto.ca/adhoc/crime99.htm; www.ustreas.gov/press/releases/
docs/ml2000.pdf. Through the Gatekeeper Initiative, countries consider
various means to address money laundering through the efforts of pro-fessional
gatekeepers of the international financial system, including
lawyers, accountants, company formation agents, and others. Lawyers
are considered “gatekeepers” because “they have the ability to furnish
access (knowingly or unwittingly) to the various functions that might help
the criminal with funds to move or conceal.” Financial Action Task Force,
Report on Money Laundering Typologies 2000-2001 (Feb. 1, 2001), http://
www.fatf-gafi.org/dataoecd/29/36/34038090.pdf.
5 Adding to these international compliance pressures is a myriad of existing
and pending regional anti-corruption and bribery legislative frameworks.
3. The strategic collaboration between the GC and the CECO has
been considered vital for many companies to adequately manage
The CECO’s role, as well as other forms of legal integra-tion
into strategic leadership functions (such as Inter-national
Human Resource Management9), will better
assist global companies in facilitating compliance with
U.S., foreign country and regional anti-corruption laws,
mitigate damages should a violation occur, and ultimately
better position companies in the marketplace.
Dr. Adriana Sanford is the Executive Producer and
Co-Host of “Beyond The Curve,” which provides strategic
insights in international law and international business
(www.beyondthecurveshow.com). She is a transactional
lawyer by training and specializes in compliance issues arising
in multinational businesses, including issues arising from tax
compliance, cross-border financial transactions (money laun-dering)
and product counterfeiting. Dr. Sanford has six years
of law school, including a double LL.M. in Taxation and Inter-national
& Comparative Law from Georgetown University and
a law degree from the University of Notre Dame. Dr. Sanford
is currently working on her latest degree, an Executive MBA
from the Thunderbird School of Global Management. She is
fluent in English, French, Spanish and Portuguese.
6 John W Brooks And Roberta Vassallo, “Attorney Cathy’s Continuing
Quandary, or Can the Gatekeeper Initiative be Reconciled with the Multi-
Jurisdictional Practice of Law?,” The International Lawyer, Spring 2007,
Vol. 41, No.1. Available at http://www.americanbar.org/content/dam/
aba/publishing/rpte_ereport/AttorneyCathy.authcheckdam.pdf; see also
Financial Action Task Force on Money Laundering, The Forty Recommenda-tions
, June 2003, available at http://www.fatf-gafi.org
7 Bruce Zagaris is the founder and editor of the International Enforcement
Law Reporter and author of “International White Collar Crime”.
8 The Pasquantino case demonstrates that any person in the U.S. who
assists in a foreign tax crime commits a crime in the U.S. See Pasquantino
In today’s marketplace, end users and consumers
expect organizations to abide by ethical guidelines
in their business and sourcing practices. This expec-tation
has made brand reputation a critical initiative
in organizations large and small. And it’s not only
external pressure. Organizations’ employees want
assurances that executives are playing by the rules
and practicing the ethical codes of conduct dissemi-nated
to their stakeholders. The recent removal of
Yahoo! Inc.’s CEO for padding his résumé and similar
cases, only reinforce the need to have transparency
and trust within and outside of organizations.
Who should hold that primary responsibility? Within
many multinationals, the chief ethics and compliance
officer (CECO) is tasked with that strategic focus.
However, challenges exist. Who should the CECO
report to and how vast is that individual’s reach
within the enterprise? In many ways, the CECO and
CPO face similar issues. Both want and need a seat
at the table for operational strategies and ethical
policies to permeate the organization. And the suc-cess
of the CECO and CPO are dependent upon
maintaining ethical and compliant behavior of those
doing business within and outside of the organization.
This all circles back to brand reputation. Whether
you’re a CECO or a CPO, protecting the company’s
brand is at the forefront. And it’s these two roles
that can have the most influence in that endeavor.
John Yuva is the editor of ISM’s flagship publica-tion,
Inside Supply Management® magazine.
Editorial Insights
v. U.S., 544 U.S. 349 (2005). Moreover, the Kuehne case shows how the
U.S. government will prosecute attorneys who it thinks are, through their
advice, helping to violate foreign currency exchange control laws (in this
case, the laws of Colombia). U.S. v. Benedict Kuehne, U.S. District Court
in S.D.Fla., Case No. 05-20770-Cr-Cooke. See 11th Cir. Ct. of App., No.
09-10199, Oct. 26, 2009 for the dismissal of the indictment against Kuehne.
9 International Human Resource Management (IHRM) has become instru-mental
in reducing many expensive and embarrassing fraud investigations.
IHRM managers often are the first to receive internal complaints and they
are adequately trained to respond to possible charges of misconducts
along the global supply chain.
their global supply chain.