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Approximately 4.5 Years After The Enforcement Action, The SEC Orders Frank To Pay A $35,000 Civil Penalty

By on March 18, 2021 in Joel Frank, Och-Ziff Capital, Och-Ziff Capital Management, SEC Enforcement Action
Joelfrank

In September 2016, in connection with certain of the same core conduct alleged in the Och-Ziff Foreign Corrupt Practices Act enforcement action, the SEC also released an administrative order finding that (see here for the prior post) Daniel Och (CEO and Chairman of Och-Ziff) was a cause of certain of the company’s FCPA books and records violations and that Joel Frank (CFO – pictured) was a cause of certain of the company’s FCPA books and records and internal controls violations.

Without admitting or denying the SEC’s findings, Och agreed to pay approximately $2.2 million and Frank likewise agreed to resolve the action without admitting or denying the SEC’s findings and the SEC stated that and “a penalty will be assessed against him at a future date.”

Oddly, it took approximately 4.5 years, but earlier this week the SEC ordered that Frank pay a $35,000 civil penalty.

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FCPA Flash Podcast – A Conversation With Moe Fodeman Regarding The Och-Ziff Restitution Order

By on November 23, 2020 in FCPA Flash, Och-Ziff Capital, Och-Ziff Capital Management, Restitution
Podcast Logo

The FCPA Flash podcast provides in an audio format the same fresh, candid, and informed commentary about the Foreign Corrupt Practices Act and related topics as readers have come to expect from written posts on FCPA Professor.

This FCPA Flash episode is a conversation with Moe Fodeman (who along with colleagues at Wilson Sonsini) successfully represented certain investors who were deemed “victims” of Och-Ziff’s bribery and secured a $138 million restitution order under the Mandatory Victims Restitution Act. During the podcast, Fodeman discusses the chronology leading up to the restitution claim, how (and why) the DOJ resisted “victim” status for his clients, and what impact, if any, the restitution award may have on future actions.

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Potpourri

By on November 17, 2020 in Canada, Compliance, Damodar Arapakota, Greens, IMEX Systems, Och-Ziff Capital, Och-Ziff Capital Management, Siriwan, Victims
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.).

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Potpourri

By on July 29, 2020 in Basil Al Jarah, Edward Thiessen, FCPA Sentences, Och-Ziff Capital, Och-Ziff Capital Management, Restitution, Sculptor Capital Management, Serious Fraud Office, SFO, Stephen Whiteley, Unaoil, United Kingdom, Victims, Ziad Akle
Potpourri

Agreement in Principle

As highlighted in prior posts here and here in 2016 hedge fund Och-Ziff resolved a $412 million Foreign Corrupt Practices Act enforcement action concerning improper business practices in various African countries.

As highlighted in this 2018 post, former shareholders of Canadian mining company Africo Resources Ltd. (“Claimants”) sough restitution pursuant to the Mandatory Victims Restitution Act for losses allegedly incurred as a result of Och-Ziff’s bribery of corrupt officials in the Democratic Republic of the Congo.

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Friday Roundup

By on July 17, 2020 in Asset Recovery, Export Issues, Och-Ziff Capital, Och-Ziff Capital Management
Roundup

Asset recovery, export finance, Och-Ziff related, and for the reading stack.

It’s all here in the Friday roundup.

Asset Recovery

Efforts by the U.S. government to combat foreign corruption are broader than just the Foreign Corrupt Practices Act. For instance, approximately ten years ago the DOJ announced a Kleptocracy Asset Recovery Initiative.

Recently, the DOJ announced:

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