This post provides a summary of Foreign Corrupt Practices Act enforcement activity and related developments from the third quarter of 2022. (See here for the first quarter of 2022 and here for the second quarter).
DOJ Enforcement (Corporate)
The DOJ brought one corporate enforcement action in the third quarter. Net settlement amount in this enforcement action was approximately $15.3 million.
Gol Linhas Aereas Inteligentes S.A. (Sept. 15th)
See here and here for prior posts.
Charges: Conspiracy to violate the anti-bribery and books and records provisions.
Resolution Vehicle: Criminal information charges resolved through a deferred prosecution agreement.
Guidelines Range: $116 million to $232 million
Settlement: Net $15.3 million (based on inability to pay and a credit for a related foreign law enforcement settlement).
Origin: Foreign law enforcement action.
Monitor: No
Individuals Charged: No
DOJ Enforcement (Individual)
The DOJ announced two core individual enforcement actions involving five individuals in the third quarter.
As highlighted here, the DOJ announced criminal charges against Esteban Eduardo Merlo Hidalgo, Christian Patricio Pintado Garcia, and Luis Lenin Maldonado Matute in connection with an alleged bribery scheme in Ecuador.
As highlighted here, the DOJ announced criminal charges against Cary Yan and Gina Zhou in connection with an alleged bribery scheme in the Marshall Islands.
SEC Enforcement (Corporate)
The SEC brought two corporate FCPA enforcement actions in the third quarter. Net settlement amounts in these actions was approximately $46 million.
Gol (Sept. 15th)
See here and here for prior posts.
Charges: None (administrative order findings violations of the anti-bribery, books and records, and internal controls provisions)
Settlement: $22.8 million (based on inability to pay and a credit for a related foreign law enforcement settlement).
Origin: Foreign law enforcement action.
Individuals Charged: No
Related DOJ Enforcement Action: Yes
Oracle (Sept. 27th)
See here and here for prior posts.
Charges: None (administrative order findings violations of the anti-bribery, books and records, and internal controls provisions)
Settlement: $22.9 million.
Origin: Unclear from the resolution document, although it does state: “Oracle self-reported certain unrelated conduct.”
Individuals Charged: No
Related DOJ Enforcement Action: No
SEC Enforcement (Individual)
The SEC did not bring any individual FCPA enforcement actions in the third quarter.
Other Developments or Items of Interest
As highlighted here, Deputy Attorney General Monaco released a memo titled “Further Revisions to Corporate Criminal Enforcement Policies Following Discussions with Corporate Crime Advisory Group.” This post provides additional analysis of the memo. In a related speech, Monaco called the DOJ’s FCPA voluntary disclosure program successful. However, this post asks – if the program is successful, why is it so unsuccessful?
As highlighted here, the Second Circuit once again sided with Lawrence Hoskins on an FCPA issue as the court affirmed the trial court’s grant of a motion of acquittal on all FCPA charges. There was a dissenting judge, but as highlighted here the judge was just plain wrong on an FCPA issue.
This post checked in on the FCPA enforcement action against Naman Wakil and highlighted various defense motions including a motion to dismiss focused on obtain and retain business, corrupt intent, and facilitating payment issues.
As highlighted here, the Fourth Circuit affirmed Mark Lambert’s FCPA (and related) convictions in connection with a Russian bribery scheme.
As highlighted here, a court dismissed FCPA (and related) criminal charges based on lack of jurisdiction, lack of due process, vagueness, and statute of limitation issues against Paulo Casqueiro-Murta in connection with an alleged bribery scheme in Venezuela.
