FCPA demands due diligence in global dealings; with antibribery enforcement on the rise, U.S. firms are wise to devise due diligence plans
Article Abstract:
International organizations, both domestic and foreign governments and the public are becoming less tolerant of corruption and scandal, which means US companies must hone their techniques of enforcement against Foreign Corrupt Practices Act (FCPA) violations. The number of FCPA prosecutions is likely to go up dramatically as US companies enter new markets and the Department of Justice and other agencies increase their scrutiny of foreign business transactions. Adequate investigative due diligence before hiring a foreign agent is the best minimization of the risk of FCPA prosecution. All companies doing foreign business should develop FCPA compliance programs.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1997
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More fraud cases are referred for prosecution; a criminal referral may be vital to anti-fraud efforts but cedes control to government officials
Article Abstract:
Insurance companies should evaluate cost-benefit and risk before making a criminal referral. Although criminal referrals are sometimes the best opportunity to recover money from the perpetrators, there are legal and business risks involved. Legal risks include possible exposure to bad-faith claims by the insureds and delay of parallel civil proceedings while a criminal case is concluded. According to statistics of the Coalition Against Insurance Fraud, there were 60,000 criminal referrals in 1995. Such referrals are to state and federal prosecutors as well as to state insurance fraud bureaus.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1996
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Handling U.S. agents bearing a search warrant; cooperation is advisable, but those conducting the search don't have a license to destroy
Article Abstract:
Government agents investigating a company for economic crimes increasingly use search warrants, forcing counsel to be prepared with advice and a plan for action. Searches can sometimes be delayed or avoided, and cooperation with the goal of avoiding a broad search need not imply permission. A review of the search warrant not only may reveal it as invalid but could indicate much about the government's case. Employees should not handle documents during the search and should be advised not to give informal interviews to searchers.
Publication Name: The National Law Journal
Subject: Law
ISSN: 0162-7325
Year: 1995
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