https://video.wixstatic.com/video/4dc8bf_e852c5ebbc0f4393b352ff6d5be76b03/1080p/mp4/file.mp4 Lack of access to financial capital is a barrier for many entrepreneurs who seek to grow their business ventures. Congress and the Obama Administration enacted the Jumpstart Our Business Startups Act (JOBS) Act to help solve this lack of access to financial capital by democratizing the entrepreneurial ecosystem through investment crowdfunding. The JOBS Act established crowdfunding provisions that allow early-stage businesses to offer and sell securities up to a certain dollar limit, adjusted for…
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…
As highlighted in this prior post, in 2013 Philips (a Netherlands-based company with shares listed on the NYSE) resolved a $4.5 million Foreign Corrupt Practices Act enforcement action concerning conduct in Poland. As highlighted in this prior post, in 2019 the company again became the subject of the FCPA scrutiny – this time concerning conduct in Brazil and China. As highlighted below, Philips recently disclosed that its conduct in another country is also…
In the minds of some, companies that have resolved Foreign Corrupt Practices Act enforcement actions are bad or unethical companies. It is a tempting position to take. After all, the FCPA is about bribery and corruption. However, it is a wrong position to take in many (but certainly not all) instances. It surprises most people to learn that a company with pre-existing FCPA compliance policies and procedures – and a company otherwise making good faith efforts to comply…