OTHER THINGS YOU MAY HAVE MISSED – DECEMBER 7

7th December 2019

WHAT YOU SHOULD KNOW ABOUT THE DISTINCTIVE ROOTS OF THE SUCCESSFUL US CORPORATE ENFORCEMENT SYSTEM

On the Compliance & Enforcement Blog from the New York University School of Law a post contained what those seeking to rival the US at corporate criminal enforcement should know about the US system’s distinctive roots.  It says that there are 2 sources – the first is an extremely broad and easy-to-apply corporate liability rule; and the second is the power granted to prosecutors to negotiate and settle cases.  It refers to a new paper which is said to demonstrate how heavily the US system of corporate criminal enforcement depends on laws governing corporate investigations.  It also says that US prosecutors have benefited greatly from their ability to shift the locus of investigation from the public to the private sector because, in contrast to many other countries.  The paper is said to contrast the US system and how it works with planned changes in the EU.  It also reveals limitations of the US approach when used to induce corporate investigations overseas, and encourages reflection on the appropriate scope of rights to be granted to individuals subject to public and private investigations, respectively.

https://wp.nyu.edu/compliance_enforcement/2019/12/05/for-those-seeking-to-rival-the-united-states-at-corporate-criminal-enforcement-what-you-should-know-about-the-u-s-systems-distinctive-roots/

The paper itself is at –

https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3478298

THE SELF-APPOINTED SPIES WHO USE GOOGLE EARTH TO SNIFF OUT NUKES

The Atlantic on 6th December carried an article looking at the “motley crew” of outside watchdogs has found creative ways to deter proliferation.  These are identified as journalists, hobbyists, professors, students, political-opposition groups, advocacy groups, non-profit organisations, for-profit companies, think tanks, and former senior government officials with informal links to international weapons inspectors, US policymakers, and intelligence leaders.  It points out that since the early 2000s, commercial satellites have become common and that the annual number of satellite launches has quadrupled in the past 5 years; and that some analysts estimate that more than 8,000 small satellites will be launched in the next decade.

https://www.theatlantic.com/ideas/archive/2019/12/new-nuclear-sleuths/602878/

SRI LANKA: IMPORT AND RE-EXPORT OF SOME SPICES BANNED, AND CONTROLS ON GARBAGE

On 7th December, the Daily Mirror and others in Sri Lanka reported that a gazette notice announced a ban on the import and re-export of pepper, arecanut, tamarind, cinnamon, ginger, clove and several other crops.  It also announced a ban on the re-exporting of garbage, the processing of garbage or recourse recycling for re-export.  It is said that the measures were adopted to protect and promote minor crop cultivators and small and medium scale industrialists.

http://www.dailymirror.lk/print/front_page/Import-and-re-export-of-some-spices-banned/238-179189

PIPE DREAM: THE AFRICAN CANNABIS EMPIRE THAT NEVER WAS

NBC News on 5th December carried a feature on the Trade Park affair, in which a British company claimed that it had enlisted US tobacco and drug companies to build a 154-square-mile cannabis farm in West African rainforest and bring thousands of job to impoverished locals.  However, it is said that many of the major backers touted by Trade Park, including Bayer and the makers of Marlboro cigarettes, said they’d never heard of the project, and the residents in Cameroon, are left to deal, empty-handed, with the fallout from a failed dream.  The affair involves companies formed at Formation House, itself the centre of a case highlighting the risks of CSP and shell companies formation in the UK.

https://www.nbcnews.com/news/world/pipe-dream-african-cannabis-empire-never-was-n1096551

BRAZIL POLICE TARGET VENEZUELAN GOLD SMUGGLING RING

The Star in Canada on 6th December reported that Brazil’s federal police have targeted an operation that allegedly smuggled Venezuelan gold worth some $74 million between 2017 and 2019, with 22 arrests in 5 states, related to a scheme that funnelled gold from illegal mines in Venezuela to a company in the state of Sao Paulo.  The organisation was comprised of Venezuelans and Brazilians living in a northern state who purchased the illegal gold and, with the help of corrupt public agents, obtained falsified documents to hide its origin.

https://www.thestar.com/news/world/americas/2019/12/06/brazil-police-target-venezuelan-gold-smuggling-ring.html

SOUTH KOREA BANNING ANONYMOUS VIRTUAL BANK ACCOUNTS IN CRYPTOCURRENCY TRADING

On 5th December, Blockchain Reporter said that the South Korean recently approved legal amendments supporting a real-name trading system as part of AML compliance, aimed at ensuring that virtual assets-handling companies in South Korea are in compliance with the recommendations FATF.

https://blockchainreporter.net/2019/12/05/south-korea-anonymous-virtual-bank-accounts-cryptocurrency-trading/

CHILE’S STATUS AS MARIJUANA DESTINATION OF CHOICE FOR COLOMBIAN SMUGGLERS

Insight Crime on 6th December reported that a seizure of the largest drug bust in the country’s history of a marijuana shipment of over 4 tons in Chile in November has confirmed that the Chilean market makes it a destination of choice for Colombia’s marijuana smugglers.  The seizure was made from a boat off the southern region of O’Higgins.  It says that seizures of marijuana have been steadily increasing.  Chile’s higher than average consumption of marijuana may be attributable to its successful economy and growing middle class, as the second-wealthiest country in Latin America.

https://www.insightcrime.org/news/brief/chiles-status-as-marijuana-destination-of-choice-confirmed-by-record-bust/

GUERNSEY: PWC DISMISSES CLAIMS OF NEGLIGENCE IN NOT DETECTING PONZI SCHEME WITH PROVIDENCE

On 6th December, Guernsey Press reported that PwC want to have dismissed the allegations of negligence, breach of duty and breach of contract that had been put forward by the administrators of Providence Investment Funds, which was put into administration in 2016, owing investors more than £37 million.

https://guernseypress.com/news/2019/12/06/pwc-dismisses-claims-of-negligence-in-not-detecting-ponzi-scheme-with-providence/

68 ARRESTS IN SPAIN FOR FRAUD INVOLVING OLD CARS AND THEIR AIR CONDITIONING SYSTEMS

A news release from Europol on 7th December advised that the Guardia Civil, supported by Europol, carried out an operation targeting companies involved in considerable CO2 gas emissions.  30 companies involved were investigated and 68 individuals arrested.  The companies were involved in monitoring the activities of authorised centres managing end-of-life vehicles in Madrid, Catalonia and the Basque Country.  The investigators looked into the way criminals were disposing of the toxic substance contained in the air conditioning systems.

https://www.europol.europa.eu/newsroom/news/68-arrested-in-spain-for-pumping-out-76-million-kilos-of-co2

SWEDISH FAMILY SMUGGLED PALLETS OF BEER FROM GERMANY TO SCANDINAVIA DAILY

On 25th November, IOGT International reported that a Swedish family has been uncovered in their operation to smuggle several hundred boxes almost every day – smuggling about 6 pallets of beer containing about 79 cartons each, every day, from Germany to Denmark, Sweden and Norway.  Alcohol taxation is lower in Germany, making alcohol far cheaper than in most Scandinavian countries and border shops across Northern Germany are selling cheap beer for export to Scandinavia.

https://iogt.org/news/2019/11/25/germany-sweden-cross-border-alcohol-smuggling/

This blog is primarily for my own use, to keep informed and up to date. However, if you would like to say thank you (and perhaps help me get a new, better laptop when I am away…) you can “buy me a coffee” at https://www.buymeacoffee.com/KoIvM842y

 

NEW GUIDE: INSOLVENCY TOOLS TO SUPPORT CROSS-BORDER ASSET RECOVERY IN CORRUPTION CASES

On 3rd December, the Stolen Asset Recovery Initiative (a World Bank and UNODC joint effort) published a step-by-step guide for asset recovery practitioners on the use of insolvency proceedings in recovering corruption proceeds.  The report outlines the procedures associated with insolvency actions, explores challenges associated with this approach, and provides practical methods for various strategic and technical concerns.  The book makes particular use of case studies to demonstrate the benefits of cross border insolvency proceedings in international corruption cases and further elaborate the challenges that practitioners face in this pursuit.  It is intended to inform policymakers, public officials, and those who have been entrusted with recovering their nations’ stolen assets how insolvency can be used to pursue proceeds of corruption. It may also serve as a quick reference for other practitioners — insolvency professionals, auditors, financial institutions, in-house counsel, and others who deal with corruption.

https://star.worldbank.org/sites/star/files/going-for-broke.pdf

This blog is primarily for my own use, to keep informed and up to date. However, if you would like to say thank you (and perhaps help me get a new, better laptop when I am away…) you can “buy me a coffee” at https://www.buymeacoffee.com/KoIvM842y

 

SWEDISH TELECOM ERICSSON AGREES TO PAY $1 BILLION OVER US BRIBERY ALLEGATIONS

The Japan Times and others on 7th December reported that Swedish telecommunications company Ericsson has agreed to pay more than $1 billion to resolve allegations of bribery spanning Asia and the Middle East.  An Egyptian subsidiary also pleaded guilty in New York to a charge of conspiring to violate the FCPA.  It is said that Ericsson’s corrupt conduct involved high-level executives and spanned 17 years and at least 5 countries, all in a misguided effort to increase profits, and the alleged corruption occurred in Djibouti, China, Vietnam, Indonesia and Kuwait.

https://www.japantimes.co.jp/news/2019/12/07/business/swedish-telecom-ericsson-agrees-pay-1-billion-u-s-bribery-allegations/?src=ilaw#.XeteLHd2umQ

https://mondovisione.com/media-and-resources/news/sec-charges-multinational-telecommunications-company-with-fcpa-violations/

https://mondovisione.com/media-and-resources/news/us-department-of-justice-ericsson-agrees-to-pay-over-1-billion-to-resolve-fcpa/

This blog is primarily for my own use, to keep informed and up to date. However, if you would like to say thank you (and perhaps help me get a new, better laptop when I am away…) you can “buy me a coffee” at https://www.buymeacoffee.com/KoIvM842y

OUTCOME OF MONEYVAL’S PLENARY MEETING

The FATF-style regional body, and organ of the Council of Europe, held its 59th Plenary in Strasbourg on 2nd to 6th December.  On 6th December, the Council reported on the outcomes.  MONEYVAL completed the mutual evaluations of Gibraltar and Cyprus, endorsed the report of the mutual evaluation of the Russian Federation (jointly conducted by FATF, EAG and MONEYVAL), and also adopted follow-up reports on Albania, Andorra, Bosnia and Herzegovina, Hungary, Latvia, Montenegro, Romania, Serbia, Slovenia and Isle of Man.

https://www.coe.int/en/web/human-rights-rule-of-law/-/outcome-of-moneyval-s-59th-plenary-meeting

This blog is primarily for my own use, to keep informed and up to date. However, if you would like to say thank you (and perhaps help me get a new, better laptop when I am away…) you can “buy me a coffee” at https://www.buymeacoffee.com/KoIvM842y

ONLY 3 MARITIME SECURITY PROVIDERS APPROVED FOR GERMAN FLAGGED VESSELS

On 5th December, Open PR carried a report that the list of maritime security providers from the German Federal Office for Economic Affairs and Export Control (BAFA) has been updated.  However, it points out that there are only 3 maritime security providers (2 German, 1 British) approved to carry out armed maritime security services on commercial vessel and yachts carrying the German flag.  The article (by one of the companies still on the list), says that the list began in 2013 with 13 providers, reducing to 9 in recent years.

https://www.openpr.com/news/1876308/now-just-only-3-maritime-security-provider-world-wide-approved

The BAFA list and further information can be accessed at –

https://www.bafa.de/EN/Foreign_Trade/Maritime_Security/maritime_security.html

This blog is primarily for my own use, to keep informed and up to date. However, if you would like to say thank you (and perhaps help me get a new, better laptop when I am away…) you can “buy me a coffee” at https://www.buymeacoffee.com/KoIvM842y