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    Feb. 12, 2025

Executive Order Presses Pause on FCPA Enforcement

Late on February 10, 2025, President Donald Trump signed an executive order (EO) “pausing” enforcement of the FCPA by the DOJ for at least 180 days to evaluate the current pipeline of cases and formulate new guidance and policies for future prosecutions. The reasoning behind the EO is at odds with Congress’ stated purposes for the FCPA and statements by DOJ officials under both the first Trump administration and the Biden administration. And it comes just after newly sworn in AG Pam Bondi delivered a memorandum addressing FCPA enforcement that conflicts with the EO in some ways. This article breaks down the EO and examines it in the context of enforcement history. Future Anti-Corruption Report content will provide insights from defense counsel and other experts in the field about what it means for companies. For further context, see “A Quick Look at 2024 Anti-Corruption Enforcement Developments” (Jan. 15, 2025).

AAR Settlement: Self-Reporting Credit for an Imperfect VSD

In what is likely to be the last FCPA enforcement action for some time considering the recent executive order pausing FCPA cases, AAR Corp. (AAR), a publicly traded aviation services company, settled FCPA allegations with the DOJ in December 2024. The terms of the deal illustrate the DOJ’s recently stated willingness to reward companies’ self-reporting efforts even if they already knew about the misconduct. This first article in a two-part series on the case lays out the underlying facts about the bribery schemes in both South Africa and Nepal, and how the company was able to take advantage of recent changes to the DOJ Criminal Division’s Corporate Enforcement and Voluntary Self-Disclosure Policy. The second article will discuss how AAR’s cooperation and remediation efforts enabled it to avoid the imposition of an independent compliance monitor. See “Government Enforcers Explain Their Approach to Whistleblowers and VSD” (Jul. 17, 2024).

Managing Conflicts of Interest With Consistency and a Can-Do Attitude

Conflicts of interest (COIs) can take many shapes and forms – and can often be a headache for CCOs. Having easy reporting mechanisms, clear rules, a well-informed CCO and a willingness to say “yes” when appropriate are necessary to manage the risks associated with COIs and keep a company out of trouble. This article synthesizes advice shared during a recent Practising Law Institute program by Michael Koenig, global chief ethics and compliance officer for JBS Foods, and Shamina Sneed, managing director and deputy GC at the TCW Group. See “Understanding and Mitigating Risk of Organizational Conflicts of Interest for Government Vendors” (Mar. 13, 2024).

How Risk Assessments and Policies Can Ward Off New U.K. Fraud Offense

The U.K.’s upcoming “failure to prevent fraud” offense (FTPF Offense) takes effect on September 1, 2025, and is the subject of guidance that the U.K. Home Office published on November 6, 2024, as part of the implementation of the Economic Crime and Corporate Transparency Act 2023 (ECCTA). The ECCTA lowered the bar for U.K. authorities to prosecute corporations for economic crimes, making large organizations criminally liable for frauds committed for their benefit. But, as detailed in a recent Gibson Dunn webinar, organizations will have a defense against the FTPF Offense if they had reasonable procedures in place to prevent fraud or they can demonstrate that it would not have been reasonable to have had fraud prevention procedures in place. This article summarizes key takeaways from the webinar. See “U.K. Enhances Anti-Fraud Efforts With Economic Crime and Corporate Transparency Act” (Jan. 17, 2024).

Examining DOJ’s Final Rules on Access to Government and Sensitive U.S. Personal Data

The DOJ has solidified a new national security regulatory regime focused on protecting bulk U.S. sensitive personal data and government-related data from countries of concern. On December 27, 2024, the DOJ released final rules (Rules), implementing a February 2024 Executive Order issued by then-President Biden. The Rules take effect on April 6, 2025, except for certain requirements that will take effect in October 2025. Many companies deal with “sensitive data,” as defined in the Rules, and, therefore, most will be affected by prohibited and restricted transaction provisions. This article highlights the key elements of the Rules. See “Loose Lips Sink Ships: Maintaining Confidentiality in Investigations” (Nov. 20, 2024).

Former DOJ Criminal Division Deputy Assistant AG Joins Sidley

Sidley Austin has announced that Lisa Miller will be joining Sidley as a partner in the firm’s white collar defense and investigations practice in Washington, D.C. She arrives from the DOJ’s Criminal Division, where she was Deputy Assistant AG. For commentary from Miller, see “Deputy Assistant AG Miller Discusses Robust DOJ Anti-Corruption Efforts, Stressing Individual Accountability, Self-Reporting, Remediation and Cooperation” (Mar. 1, 2023).

Foley Hoag Adds Former DOJ and White House Official As Partner in D.C.

Daniel Levin has joined Foley Hoag’s white collar crime & government investigations practice as a partner in Washington, D.C. He arrives from White & Case. For insights from Foley Hoag, see “Obligations Linger Despite Freepoint’s Settlements With DOJ and CFTC” (Aug. 28, 2024).

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Spotlight on Trailblazing Women

To mark International Women’s Day 2024, women editors and reporters of ION Analytics interviewed outstanding women in the industries and jurisdictions we cover. In this part, Jill Abitbol, Managing Editor of the Cybersecurity Law Report and Anti-Corruption Report, features notable women in data privacy, cybersecurity, white collar defense, compliance and anti-corruption law, including Christina Montgomery, Leslie Shanklin, Palmina Fava, Alexandra Ross and Lucinda Low. Enjoy reading their inspiring remarks here.