Chad Archives - FCPA Professor

DOJ Announces FCPA And Related Charges In Relation To Griffiths Energy International’s Bribery Scheme Involving Chad

By Mike Koehler on May 25, 2021 in 2021 Enforcement Actions, Chad, FCPA Related Charges, Griffiths Energy, Jurisdiction, Mahamoud Adam Bechir, Naeem Riaz Tyab, Nouracham Bechir Niam, Oil and Gas Industry, Youssouf Hamid Takane

These pages have followed the bribery enforcement action against Canada based Griffiths Energy International (GEI) and related issues for quite a long time.

As highlighted in this post, in 2013 Canadian law enforcement brought an enforcement action against GEI under Canada’s Corruption of Foreign Public Officials Act regarding the company’s efforts to obtain a production sharing contract with the African nation of Chad to provide GEI with the exclusive right to explore and develop oil and gas reserves and resources in southern Chad. As noted in the prior post, in resolving the action, GEI acknowledged that it “directly agreed to provide, and indirectly provided, improper benefits to a Chadian public official in order to further the business objectives of GEI and its subsidiaries.” The public official was Chad’s Ambassador to Canada, Mahamoud Adam Bechir, and by extension his wife Ms. Nouracham Niam. Because Chad had no embassy located in Canada, the Ambassador resided in Washington D.C. and the previous post wondered if the DOJ would get involved.

Ho Convicted Of FCPA And Related Offenses

By Mike Koehler on December 6, 2018 in Chad, Charitable Contributions, Chi Ping Patrick Ho, FCPA Trial, FCPA Trials, Financial Services Industry, Joint Venture, Oil and Gas Industry, Political Contributions, Uganda, Unsuccessful Bribery Schemes

As highlighted in this previous post, in November 2017 Chi Ping Patrick Ho (pictured) and Cheikh Gadio were criminally charged with conspiring to violate the Foreign Corrupt Practices Act, violating the FCPA, conspiring to commit international money laundering, and committing international money laundering in connection with alleged bribery schemes in Chad and Uganda on behalf of China Energy Fund Committee, an entity funded by CEFC China Energy Company Ltd.

In July 2018, Ho’s motion to dismiss was denied (see here), in September 2018 the DOJ quietly dismissed charges against Gadio (see here), and in late November Ho’s trial began with Gadio as a primary DOJ witness.

Yesterday, the DOJ announced that after a one week trial a federal jury found Ho guilty of one count of conspiring to violate the FCPA, four counts of violating the FCPA, one count of conspiring to commit international money laundering and one count of committing international money laundering.

DOJ Charges Two Individuals With FCPA And Other Violations In Connection With An African Bribery Scheme On Behalf Of CEFC China Energy Company Ltd.

By Mike Koehler on November 21, 2017 in 2017 Enforcement Actions, Anything of Value, CEFC China Energy Company Limited, Chad, Charitable Contributions, Cheikh Gadio, Chi Ping Patrick Ho, DOJ Enforcement Action, Gifts, Individual Enforcement Action, Jurisdiction, Uganda, United Nations

Yesterday, the DOJ announced that Chi Ping Patrick Ho (of Hong Kong, China) and Cheikh Gadio (of Senegal) were criminally charged with conspiring to violate the Foreign Corrupt Practices Act, violating the FCPA, conspiring to commit international money laundering, and committing international money laundering.

Although not specifically mentioned in the DOJ’s indictment, it is easy to connect the dots that Ho is associated with China Energy Fund Committee (CEFC) and as noted here, CEFC is “fully funded by CEFC China Energy Company Limited.” Gadio is associated with Sarata Holding (a consulting and advising firm specializing in business and development partnerships with Africa).

Big picture – in the past two weeks – the DOJ has announced three core FCPA enforcement actions involving 9 individuals. (See here for the November 7th action against 5 individuals associated with Rolls-Royce and here for the November 9th action against 2 individuals associated with SBM Offshore).

In Depth Into The Och-Ziff FCPA Enforcement Action

By Mike Koehler on October 2, 2016 in 2016 Enforcement Actions, Anything of Value, Chad, Charitable Contributions, Congo, Cooperation, Dan Gertler, Daniel Och, DOJ Enforcement Action, Due Diligence, Financial Services Industry, Foreign Official, Internal Controls, Joel Frank, Libya, Michael Cohen, Monitor, Niger, Och-Ziff Capital, Och-Ziff Capital Management, Resource Extraction Industry, SEC Enforcement Action, Third Parties, Travel and Entertainment, Vanja Baros

Last week, the DOJ and SEC announced (here and here) a Foreign Corrupt Practices Act enforcement action against Och-Ziff Capital Management Group (and a related entity) for improper business practices in various African countries. The aggregate settlement amount was $412 million (a $213 million DOJ criminal penalty and a $199 million SEC resolution consisting of disgorgement and prejudgment interest), the 4th largest FCPA settlement amount of all-time.

As highlighted in this previous post, the SEC also found Daniel Och (CEO) and Joel Frank (CFO) culpable for certain of the improper conduct. As indicated in the post, this represents what is believed to be the first time in FCPA history that the SEC also found the current CEO and CFO of the issuer company liable, to some extent, for company FCPA violations. Moreover, the $2.2 million Och agreed to pay, without admitting or denying the SEC’s findings, is the largest settlement amount in FCPA history by an individual in an SEC action.

Whether the Och-Ziff enforcement action is the “first time a hedge fund has been held to account for violating the FCPA” (as the DOJ stated in its release) is a debatable point. (See here for the 2007 FCPA enforcement action on the DOJ’s FCPA website against hedge fund Omega Advisors).

DOJ Criminally Charges Gabonese National Connected To Och-Ziff With FCPA Conspiracy In Connection With African Mining Projects

By Mike Koehler on August 19, 2016 in 2016 Enforcement Actions, Africa Management Ltd., Anything of Value, Chad, DOJ Enforcement Action, Guinea, Individual Enforcement Action, Mining Industry, Niger, Och-Ziff Capital Management, Palladino Holdings Ltd, Samuel Mebiame

Och-Ziff, a publicly-traded hedge fund that has been under Foreign Corrupt Practices Act scrutiny since 2011 for its business dealings in Africa, recently disclosed that it is in discussions with the DOJ and SEC regarding resolution of the matter. As noted in this recent post, Och-Ziff has reserved over $400 million in anticipation of the resolution. (For the latest on this expected resolution see here).

In the meantime, a criminal complaint was recently unsealed charging Samuel Mebiame, a Gabonese national connected to Och-Ziff, with conspiracy to violate the FCPA’s anti-bribery provisions.

1 2 Next →

Top Menu

Navigation

Ho Convicted Of FCPA And Related Offenses

DOJ Charges Two Individuals With FCPA And Other Violations In Connection With An African Bribery Scheme On Behalf Of CEFC China Energy Company Ltd.

In Depth Into The Och-Ziff FCPA Enforcement Action

DOJ Criminally Charges Gabonese National Connected To Och-Ziff With FCPA Conspiracy In Connection With African Mining Projects

Subscribe