BNY Mellon to Pay $14.8 Million to Settle FCPA Corrupt Hiring Charges
BNY’s internships for sovereign wealth fund officials were bribes. Key SEC findings and takeaways for compliance.
U.S. Sectoral Sanctions Targeting Russian Financial Services: OFAC Directive 1
United States Adds Russian Direct Investment Fund, Other Russian Financial Services Actors to Sectoral Sanctions List Certain Financing, Debt, and Equity Transactions Remain…
OFAC Directive 1 “New” Financing, Debt, Equity: Explainer
Russia Sanctions Directive 1 explainer.
OFAC Directive 1: Financing, Debt & Equity Prohibitions
On July 30, 2015, the Office of Foreign Assets Control (OFAC) made explicit the sanctioned status of certain entities operating in Russia’s financial services sector by adding them to the Sectoral Sanctions Identifications List (SSIL).The SSIL identifies parties subject to U.S. Sanctions targeting specific sectors of the Russian economy (Sectoral Sanctions) within the framework of Ukraine/Russia-related sanctions adopted in response to events in Ukraine. Currently Russia’s financial services, defense, and energy sectors are targeted. Nevertheless, they may encounter legal, commercial, or reputational risk in the context of current or planned business with or involving a sanctioned entity, whether listed on the SSIL (or another sanctions list) or sanctioned as a matter of law (such as under the 50% Rule).
Non-Dollar Trade May Stem Global Reach of U.S. Law
Dollar dominance fuels the global reach of U.S. law, including U.S. sanctions. Emerging trade and finance channels, led by non-Western nations, may if successful stem the global reach of U.S. law.
Guidance for Responsible Agricultural Supply Chains
This update briefly discusses aspects of the FAO-OECD Guidance for Responsible Investment in Agricultural Supply Chains (the “Guidance”), which is open for public comment through February 20, 2015. Among other things, the Guidance proposes a risk-based due diligence approach for adoption by enterprises engaged in the agricultural supply chain. Elements of the risk-based due diligence approach are outlined (with some comment) below, followed by considerations for sovereign and private investors, food-agri companies, and finance providers (e.g., commercial banks).
Compliance for Financial Institutions: Anticorruption – AML Nexus
Enforcement authorities in the US and Asia reportedly are investigating financial institutions for potentially corrupt employment and business relationships with family members of government officials. The investigations underscore policy links between anti-corruption and anti-money laundering regimes where dealings with Politically Exposed Persons (PEPs) are involved.
This article, published by Hdeel Abdelhady in Butterworths Journal of Banking and Financial Law, briefly discusses the pending investigations and the anti-corruption-AML policy nexus, and suggests, with respect to PEPs and more generally, that financial institutions facilitate fluidity in their compliance programs to allow for the sharing of information and adaptation of compliance protocols across (sometimes impermeable) internal functional and disciplinary lines.
Cross-Compliance for Financial Institutions: Anticorruption-AML Nexus
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Hdeel Abdelhady discussed the Nile water dispute on Chicago radio
Hdeel Abdelhady and John Mbaku discussed the Egypt-Ethiopia Nile water dispute around the Grand Ethiopian Renaissance Dam, on WVON Radio Chicago’s African Diaspora Today. Listen to the program.