Compliance into the Weeds is the only weekly podcast which takes a deep dive into a compliance related topic, literally going into the weeds to more fully explore a subject. In this episode, Matt Kelly and I take a deep dive back into the impact of the Trump Administration’s attack on friend and foe alike with tariffs, trade wars, embargoes and sanctions.  This is also our first live podcast from Matt’s stomping grounds in Cambridge, MA.

What does all this mean for the compliance practitioner? Obviously, your job just became a lot harder. The scrutiny both public and private will be much greater. You will need much greater visibility into what business your organization is into going forward.

For more reading: see Matt’s piece on “Corporate Ethics & Politics: It’s Gonna Get Worse” and “Trade War! Trade War! Man the Barricades!”,both on Radical Compliance. See Tom’s piece, “Condos, Corruption and Compliance” in Compliance Week.

 

Before we head to Boston for an event at AMI on Monday, Jay Rosen and myself are back in the saddle again to take a look at some of the top compliance stories from the past week.

  1. Inside the Fall of Mossack Fonseca, reviewed by Dick Cassin in the FCPA Blog.
  2. Where will your next crisis come from? Today’s news or 10 years ago? Sam Rubenfeld reports on the reputational hit companies which helped separate children from their parents at the border in the Wall Street Journal Risk & Compliance Journal. Ben DiPietro considers the trial in France of the fallout from a 10 year old corporate restructuring, also in the Risk & Compliance Journal.
  3. The OECD is looking at anti-corruption enforcement and finds it lacking in Germany and in trouble in Norway. Henry Cutter reports on Germanyand Sam Rubenfeld on Norway, both in the WSJ Risk and Compliance Journal.
  4. Brazil is a model for international enforcement, investigations and cooperation, believes Kees Thompson, writing in the Global Anti-Corruption Blog.
  5. How do you classify your third parties? Mike Volkov explains it in the Navex blog, Ethics and Compliance Matters. On his blog Corruption, Crime and ComplianceMike discusses how to build a business case for a third party risk management system.
  6. Auditors behaving badly. Tammy Whitehouse reports on a negative report from U.K. Financial Reporting Council in Compliance Week. (sub req’d)Francine McKenna, writing in MarketWatch reports on the continuing KPMG
  7. SEC Chief Jay Clayton talks corporate culture. Matt Kelly, writing in Radical Compliance, finds it lacking.
  8. How does Sherlock Holmes inform your compliance program? Tom explored in a 5-day series. Part I-Communication; Part II-Institutional Justice; Part III-Criminality; Part IV-Mentoring; and Part V-Imagination.
  9. Support your local book sellers! River Oaks Bookstore, 3270 Westheimer, in Houston is now stockingThe Complete Compliance Handbook. Tom will be on hand for a book signing on Thursday, June 28 from 5:30 to 7.
  10. Tom’s new book The Complete Compliance Handbookremains a hot seller. It is available oncom. Purchase an autographed copy here. It is reviewed in the FCPA Blog, Radical Complianceand Corruption, Crime and Compliance.
  11. Serving up some Breakfast and Compliance. Join Tom in Boston on June 25 at the offices of Affiliated Monitors to learn here about show the story of compliance is the story of innovation. For more information and registration, click here.

For more information on how an independent monitor can help improve your company’s ethics and compliance program, visit our sponsor Affiliated Monitors at www.affiliatedmonitors.com.

With both VW and ZTE having very bad weeks, Jay Rosen and myself are back in the saddle  again to take a look at some of the top compliance stories from the past week.

  1. Having a bad week-Part 1, Volkswagen. First the head of its Audi unit is announced to be under investigation (here). Then Germany fines the company €1 bn for the emissions-testing fraud (here). Finally German prosecutors rejct the myth of “rogue engineers” in the scandal, saying the company is responsible as a whole (here). All reported in the New York Times.
  2. Having a bad week-Part 2, ZTE. After having reached a settlement between ZTE and the Department of Commerce, Congress moves to block the settlement. Michael C. Bender,  Siobhan Hughes and  Kate O’Keeffe report on the political perspective in the Wall Street Journal. From the compliance angle, many questions abound. Gerry Zack, writing in the FCPA Blog, says don’t call the persons reporting to the DOC mandated compliance officers as they are monitors. Matt Kelly offers up informative FAQs on the monitorship in Radical Compliance. Tom considers the uncharted waters of the settlement in Compliance Week(sub req’d)
  3. The court evisserates the DOJ’s argument against the AT&T purchase of Time Warner. Henry Cutter uses the merger go-ahead from Judge Leon to explore the compliance challenges in mega-mergers (and small ones too). In the WSJ Risk & Compliance Journal.
  4. Bill Steinmann says (yet again) that FCPA enforcement is not dead. It’s not that he’s tired of saying it, he just wishes the nay-sayers would unplug their ears and start to listen. On the FCPA Blog.
  5. Goldman Sachs made $600 peddling 1MDB bonds. The new Malaysian government wants some of that money back. Alexandra Stephenson and Hannah Beech report in the New York Times.
  6. CCO’s behaving badly. The Standard Chartered CCO has left the bank for inappropriate behavior. Sam Rubenfeld reports in the WSJ Risk & Compliance Journal.
  7. Looking to do business with Trump’s newest buddy North Korea? Dick Cassin says be careful, be very careful in the FCPA Blog.
  8. Anti-piling on is a two-way street, as it requires responsible actions by companies as well. Michael Griffiths reports in GIRon remarks by Justice Department FCPA Unit Chief Dan Kahn.
  9. Need some CLE or Compliance know-how? Join Tom’s Compliance Master Class, which next week Houston on June 21 & 22. Just a couple of seats left. Information and registration is available here. Learn about compliance from the guy who wrote the book on compliance.
  10. Support your local book sellers! River Oaks Bookstore, 3270 Westheimer, in Houston is now stockingThe Complete Compliance Handbook. Tom will be on hand for a book signing on Thursday, June 28 from 5:30 to 7.
  11. Tom’s new book The Complete Compliance Handbookremains a hot seller. It is available oncom. Purchase an autographed copy here. It is reviewed in the FCPA Blog, Radical Complianceand Corruption, Crime and Compliance.
  12. Serving up some Breakfast and Compliance. Join Tom in Boston on June 25 at the offices of Affiliated Monitors to learn here about show the story of compliance is the story of innovation. For more information and registration, click here.

 

For more information on how an independent monitor can help improve your company’s ethics and compliance program, visit our sponsor Affiliated Monitors at www.affiliatedmonitors.com.

Everything Compliance is the only roundtable podcast in compliance, with four of the top compliance practitioners around. This week the gang returns to its four focused topics on its Four of a Kind edition. After the commentary we follow with rants.

  1. Matt Kelly considers the new management strategy of reducing middle management in corporations. Where does compliance fit into this new structure? Matt rants on DOJ advisory opinions for Foreign Agent Registration Act (FARA) issues. 
  1. Mike Volkov explores the upcoming compliance reckoning. What is it and how should compliance professionals prepare? Mike rants on the cynical and ridiculous pardons granted by President Trump. 
  1. Jonathan Armstrong reviews the new UK Data Privacy-Data Protection Law. Jonathan rants on lack of engagement by the British public in the electoral process and governance debate.
  1. Jay Rosen considers the importance of corporate culture. How does one survey, understand and then improve corporate culture? How can you demonstrate any of these steps to a regulator or the DOJ? Jay has a heavy heart around the losses this week of Anthony Bourdain and Kate Spade, both by their own hand.

The members of the Everything Compliance panel are:

  • Jay Rosen– Jay is Vice President, Business Development Corporate Monitoring at Affiliated Monitors. Rosen can be reached at JRosen@affiliatedmonitors.com
  • Mike Volkov– One of the top FCPA commentators and practitioners around and the Chief Executive Officer of The Volkov Law Group, LLC. Volkov can be reached at mvolkov@volkovlawgroup.com.
  • Matt Kelly– Founder and CEO of Radical Compliance. Kelly can be reached at mkelly@radicalcompliance.com
  • Jonathan Armstrong– Rounding out the panel is our UK colleague, who is an experienced lawyer with Cordery in London. Armstrong can be reached at armstrong@corderycompliance.com

The host and producer of Everything Compliance is Tom Fox, the Compliance Evangelist. His most recent book, The Complete Compliance Handbook is available on amazon.com.

Compliance into the Weeds is the only weekly podcast which takes a deep dive into a compliance related topic, literally going into the weeds to more fully explore a subject. In this episode, Matt Kelly and I take a deep dive back into the issue of the decline in Initial Public Offerings (IPOs). We consider legislation in the House of Representatives to gut the compliance requirements of Dodd-Frank and SOX, all in the name of increasing the number of IPOs.

We review the testimony of Columbia Law School Professor John Coffee before a Congressional committee about these latest initiatives. His testimony is reported by Kevin LaCroix in his most excellent blog, the D&O Diary. Professor Coffee’s testimony  reflects his skepticism that further deregulation alone will result in increased numbers of IPOs. He relates several reasons for the worldwide drop in IPOs, which have nothing to do with Dodd-Frank, SOX or any other US law as they are structural and baked into the global financial system. He also notes that small companies which do go IPO usually have much worse financial performance than companies which seek funding through private equity.

Professor Coffee’s testimony clearly demolishes the myth that Dodd-Frank was a job killer bill or that SOX’s Sec. 404 and 302 requirements have lessened the number of IPOs. There are a wide variety of factors, none of which has been addressed in the House legislative initiatives.