This post provides a summary of Foreign Corrupt Practices Act enforcement activity and related developments from the second quarter of 2024. (See here for a summary post from the first quarter of 2024).
DOJ Enforcement (Corporate)
There were no corporate FCPA enforcement actions brought by the DOJ in the second quarter.
DOJ Enforcement (Individual)
There were no individual FCPA enforcement actions brought or announced by the DOJ in the second quarter.
SEC Enforcement (Corporate)
There were no corporate FCPA enforcement actions brought by the SEC in the second quarter.
SEC Enforcement (Individual)
The SEC did not bring any individual FCPA enforcement actions in the second quarter.
The last time the SEC brought an individual FCPA enforcement action was in October 2020 – a gap that is now approaching 4 years.
Other Developments or Items of Interest
Testing innocence in a criminal matter can impose substantial burdens on a defendant. Particularly when that defendant is a foreign national in the United States separated from his family. In a long-running FCPA enforcement action, Paulo Casqueiro Murta decided to plead guilty – despite several pre-trial victories on various legal issues. The judge sentenced Murta to time served, ordered that Murta’s passports be returned to him, and placed no further restrictions on his travel.
As highlighted here, U.S. Congressman Enrique Roberto “Henry” Cuellar (D-TX) and his wife, Imelda Cuellar, were criminally charged with participating in two schemes involving bribery, unlawful foreign influence, and money laundering.
In mid-2022, Stericycle resolved a net $59 million parallel DOJ and SEC enforcement action concerning conduct in Brazil, Mexico, and Argentina. As a condition of settlement, the DOJ required Stericycle to engage an independent compliance monitor for a two year period (a relatively rare recent example of a U.S. company being required to engage a monitor in connection with an FCPA enforcement action). As highlighted here, Stericycle has disclosed $4.1 million in monitor expenses.
For at least the past 20 years, the Department of Justice has wanted business organizations to voluntarily disclose possible legal violations (in the FCPA context and otherwise) to the DOJ. As highlighted here, the DOJ signaled that it also wants to hear from culpable individuals about their possible criminal activity by releasing yet another “pilot program” – this one titled “The Criminal Division’s Pilot Program on Voluntary Self-Disclosures for Individuals.”
