Potpourri
Restitution
As highlighted in this prior post, in connection with the May 2022 Glencore FCPA enforcement action, the majority owners of Crusader Health (Ian and Laureth Hagen) petitioned the court in the underlying enforcement action to file a restitution claim under the Mandatory Victims Restitution Act (MVRA) and the Crime Victims Act on the basis that the entity was a victim of Glencore’s conduct in the Democratic Republic of Congo. The court granted the petition.
As highlighted in this prior post, Glencore acknowledged “that Crusader—and by extension, the Hagens—was harmed by the offense to which Glencore has pled guilty, and it is prepared to pay restitution in the amount of any loss directly and proximately caused by that offense.” However, Glencore disputed the amount of restitution properly owed.
Recently, the court awarded Crusader restitution of approximately $29.7 million (an amount less than the approximate $48.4 – $50.3 million Crusader sought). See U.S. v. Glencore International 2023 WL 2242469.
Customer Charges Ultra Electronics Forensic Technology With Crimes
Montreal, Canada based Ultra Electronics Forensic Technology provides technology and solutions that help law enforcement and border security agencies around the world prevent and solve crime.
One of the companies customers is Canada’s Royal Canadian Mounted Police (RCMP).
Recently, the RCMP announced that Ultra Electronics Forensic Technology Inc. (UEFTI) and former four executives (Robert Andrew Walsh, Philip Timothy Heaney, René Bélanger, and Michael McLean) were each charged with bribery and fraud under the Corruption of Foreign Public Officials Act (CFPOA) and the Criminal Code in connection with an investigation by the RCMP into international corruption.
Potpourri
[To the best of my recollection, my first introduction to the word “potpourri” was in watching Jeopardy which I was very fond of as a teenager and young adult. Rest in peace Alex Trebek]
Lingo
Daniel Kahn (Acting Chief of the DOJ Fraud Section) was the guest on this recent episode of the Compliance Perspectives Podcast. During the podcast, Kahn talks about COVID’s impact on DOJ enforcement and certain recent enforcement actions such as Goldman Sachs and Beam.
In terms of the DOJ’s mid-2000 revision to its “Evaluation of Corporate Compliance Programs” policy document, Kahn stated that it certainly is by no means a “game changer.” Call me old-fashioned, but I want to hear the DOJ Fraud Section Chief talk about the law and legal requirements not lingo. Yet, the podcast dishes up plenty of lingo (tone at the top, conduct at the top, tone of upper and middle management, empowering compliance, walking the walk, direct line to the board, dotted line to the board, etc.).
SNC-Lavalin Pleads Guilty In Canada’s Most Significant Foreign Corruption Case To Date
Numerous prior posts dating back to 2012 (see here for the subject matter tag) have discussed SNC-Lavalin Group’s (a Montreal-based engineering, procurement and construction services company) scrutiny under Canada’s FCPA-like law, the Corruption of Foreign Public Officials Act (CFPOA).
After years of pouting that it was not being treated fairly (see here among other posts), SNC-Lavalin recently resolved a $280 million CFPOA enforcement action.
The below guest post from McCarthy Tetrault attorneys John Boscariol, Andrew Matheson and Robert Glasgow summarizes the enforcement action and its broader implications.
Issues To Consider From The Westport Fuel Systems Enforcement Action
This prior post highlighted the SEC’s recent $4 million Foreign Corrupt Practices Act enforcement action against Westport Fuel Systems and a former executive officer (Nancy Gougarty). This post continues the analysis by highlighting additional issues to consider.
Just the Third
Westport Fuel Systems is a Canadian company with shares listed on a U.S. exchange. The enforcement action is believed to be just the third enforcement action in the FCPA’s 40+ year history against a Canadian company. The first enforcement action against a Canadian company was Nordion (2016 – see here and here for prior posts). The second enforcement action against a Canadian company was Kinross Gold (2018 – see here and here for prior posts).