Former Executives of iSun Resolve Non-FCPA, FCPA Enforcement Action
The Foreign Corrupt Practices Act has always been a law much broader than its name suggests.
Sure, the FCPA contains anti-bribery provisions which concern foreign bribery.
Sure, the FCPA’s books and records and internal controls provisions can be implicated in foreign bribery schemes.
However, the fact remains that most FCPA enforcement actions (that is enforcement actions that charge or find violations of the FCPA’s books and records and internal controls provisions) have nothing to do with foreign bribery. For lack of a better term, these enforcement actions have longed been called non-FCPA, FCPA enforcement actions by this site.
The latest example concerns an SEC enforcement action against former executives and/or directors of iSun, Inc. (formerly a solar energy company based in Vermont whose stock was publicly traded).
Seventh Circuit Decision In Non-FCPA, FCPA Enforcement Action
This site has long followed the criminal prosecution of four former Commonwealth Edison (“ComEd”) executives and associates based on allegations of attempting to influence and rewarding the former Speaker of the Illinois House of Representatives in order to assist with the passage of legislation favorable to the electric utility company.
Bribery of a state politician is not ordinarily the type of conduct that results in Foreign Corrupt Practices Act issues.
However, ComEd (a majority-owned indirect subsidiary of Exelon Corp) was an issuer (as was Exelon) and the FCPA has always been a law much broader than its name suggests because of the FCPA’s books and records and internal controls provisions.
Enforcement actions involving the books and records and internal controls provisions – yet having nothing to do with foreign bribery – have long been called (for lack of a better term) non-FCPA, FCPA enforcement actions on this site.
Key Tronic And Executives Resolve Non-FCPA, FCPA Enforcement Action
The Foreign Corrupt Practices Act has always been a law much broader than its name suggests.
Sure, the FCPA contains anti-bribery provisions which concern foreign bribery.
Sure, the FCPA’s books and records and internal controls provisions can be implicated in foreign bribery schemes.
However, the fact remains that most FCPA enforcement actions (that is enforcement actions that charge or find violations of the FCPA’s books and records and internal controls provisions) have nothing to do with foreign bribery. For lack of a better term, these enforcement actions have longed been called non-FCPA, FCPA enforcement actions by this site.
The latest example concerns an SEC enforcement action against Key Tronic (a contract manufacturer of products such as computer components and medical devices), Brett Larsen (Key Tronic’s CFO from July 2015 to June 2024, and is now the company’s CEO) and Nicholas Fasciana (Key Tronic’s Senior Vice President of U.S. Operations).
Seventh Circuit Orders New Trial In Non-FCPA, FCPA Enforcement Action And Orders That Individuals Be Released From Prison
This site has long followed the criminal prosecution of four former Commonwealth Edison (“ComEd”) executives and associates based on allegations of attempting to influence and rewarding the former Speaker of the Illinois House of Representatives in order to assist with the passage of legislation favorable to the electric utility company.
Bribery of a state politician is not ordinarily the type of conduct that results in Foreign Corrupt Practices Act issues.
However, ComEd (a majority-owned indirect subsidiary of Exelon Corp) was an issuer (as was Exelon) and the FCPA has always been a law much broader than its name suggests because of the FCPA’s books and records and internal controls provisions.
Checking In On The FAT Brands Matter
In May 2024, FAT Brands (a global franchising company which owns 18 restaurant brands including Johnny Rockets, Fazoli’s, Ponderosa, and Bonanza Steakhouses) as well as various current or former executives were civilly charged by the SEC and criminally charged by the DOJ. (See here for the prior post).
The matter was highlighted on these pages because it was example of a so-called non-FCPA, FCPA enforcement action (that is an action that charged violations of the FCPA’s books and records and internal controls provisions yet had nothing to do with alleged foreign bribery).