Is your internal reporting program keeping up or falling behind the curve? With over 2.15 million reports analyzed from nearly 70 million employees worldwide, NAVEX's 2025 Regional Whistleblowing & Incident Management Benchmark Report offers a goldmine of insight into how companies are (and aren’t) managing employee concerns. In this episode, Michael Volkov breaks down the key findings, regional trends, and what they really mean for compliance officers trying to build a stronger speak-up culture. NAVEX dominates the hotline market, and its annual benchmark report gives compliance professionals an unparalleled look at reporting behaviors across the globe. From rising retaliation concerns to surprising substantiation rates, the numbers speak volumes.

You’ll hear him discuss:

• Why Europe’s sharp spike in reporting rates is likely tied to the EU Whistleblower Directive
• How North American companies resolve reports faster and what that says about handling HR-driven complaints
• Why anonymous reporting is much higher in APAC, Europe, and South America and what it might reveal about employee trust
• How retaliation claims are being substantiated at drastically different rates depending on geography and legal frameworks
• What’s behind the higher substantiation rates at privately owned companies compared to public ones
• How reporting channel preferences are shifting and why phone-based hotlines may be on the way out
• What “time to report” stats reveal about fear, hesitation, and the need for cultural change in the workplace

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

A competitor could trigger a federal investigation against your company, just by filing a whistleblower complaint about your imports. In this episode, Michael Volkov explores how the Trump Administration is reshaping the enforcement landscape by linking trade compliance and the False Claims Act (FCA) in unprecedented ways. With “trade and customs fraud, including tariff evasion” now a DOJ national priority, companies engaged in international trade face growing legal and reputational risks. A recent Ninth Circuit ruling has only intensified the stakes.

You’ll hear him discuss:

• Why DOJ is combining trade enforcement and FCA cases, and what that means for companies that import goods into the U.S.
• How “reverse false claims” work in the trade context, and why import misclassification, undervaluation, or incorrect country-of-origin declarations are now high-risk areas.
• Recent high-dollar settlements - including $45 million in one case - where companies paid the price for customs fraud violations.
• The significance of the Ninth Circuit’s decision in Island Industries v. Sigma Corp., which confirmed DOJ’s ability to pursue customs fraud claims under the FCA in federal court.
• How whistleblowers, including competitors, are using FCA claims as a strategic tool in the marketplace, leading to sealed complaints and increased litigation.
• What companies should be doing now to evaluate and reinforce their trade compliance programs, from reviewing documentation and broker relationships to training and internal reporting.
• Why ignoring tariff and duty obligations - or failing to investigate them thoroughly - could be seen as deliberate indifference, exposing companies to both civil and criminal liability.

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

What happens when companies ignore red flags, bypass legal advice, and underestimate the reach of U.S. export laws? In this episode, Michael Volkov unpacks two major enforcement actions from the Department of Commerce’s Bureau of Industry and Security (BIS) and the Treasury Department’s Office of Foreign Assets Control (OFAC). These cases serve as cautionary tales for companies navigating complex trade and sanctions landscapes, highlighting the steep costs of compliance failures, even when violations aren't willful.

You’ll hear him discuss:

• BIS’s $4.25 million penalty against Alpha and Omega Semiconductor (AOS) for 15 violations of the Export Administration Regulations (EAR), including unauthorized shipments to Huawei
• How AOS disregarded legal advice and internal compliance warnings while continuing to export EAR99 items from the U.S. to an Entity List company
• The significance of BIS’s finding that even non-willful violations will trigger serious enforcement consequences
• OFAC’s $608,825 settlement with Key Holding LLC over Cuban sanctions violations linked to its Colombian subsidiary, Key Colombia
• How a failure to implement sanctions compliance after acquiring a foreign affiliate exposed Key Holding to U.S. jurisdiction - and liability
• The importance of post-acquisition compliance integration and automated screening in mitigating enforcement risk
• Why these cases mark a return to traditional administrative enforcement priorities and serve as stark reminders of jurisdictional reach

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

Could your supply chain be funding cartels without you realizing it? In today’s complex global economy, companies are grappling with a dual challenge - the urgent need to unravel their supply chains and the immediate recalibration of due diligence systems to detect links to cartel and transnational criminal organizations (TCOs). With the Department of Justice sharpening its focus on both direct prosecutions and financial facilitators, global companies must prepare for heightened scrutiny. Michael breaks down the mounting risks, enforcement priorities, and practical steps companies must take to protect themselves from becoming unwitting participants in criminal operations.

You’ll hear him discuss:

• How DOJ’s new two-pronged enforcement strategy is bringing corporate facilitators of cartels and TCOs into the crosshairs
• Why traditional due diligence no longer goes far enough, especially with "Nth Party" risks buried deep in supply chains
• How cartels and TCOs exploit legitimate businesses in sectors like logistics, agriculture, mining, and construction
• The importance of identifying beneficial ownership and tracing complex corporate structures across jurisdictions
• Red flags to watch for, from nominee arrangements and shell companies to unexplained wealth and layered financial flows
• How cartels are adapting with fake websites, fake bios, and cryptocurrency to mask illicit activities
• What companies must do to modernize their compliance systems with open-source tools and workflow automation
• Why trade-based money laundering, remittance services, and decentralized platforms are growing areas of concern

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

What happens when a company inherits a sanctions violation through acquisition, and acts fast to fix it? Can a robust post-acquisition response really save a parent company from prosecution? In this episode, Michael Volkov unpacks the fascinating DOJ-led global enforcement action against UNICAT Catalyst Technologies - a case that reflects the U.S. government's intensifying focus on trade enforcement across sanctions, export controls, and customs. This resolution marks the first declination under DOJ’s National Security Division M&A policy, showcasing the power of voluntary disclosure, cooperation, and remediation in today’s enforcement environment.

You’ll hear him discuss:

• How DOJ, OFAC, BIS, and CBP coordinated parallel resolutions against UNICAT
• The $3.3 million forfeiture and additional penalties tied to underpaid duties and unlawful exports
• Why DOJ declined prosecution of UNICAT’s parent company, White Deer, under its M&A policy
• The former CEO’s role in orchestrating 23 unlawful sales to Iran, Venezuela, and Cuba
• The importance of identifying willful intent in sanctions violations — and when DOJ disclosure is required
• The risks of failed pre-acquisition due diligence and the value of strong post-acquisition integration
• How concealment tactics like falsified invoices and coded emails were used to hide dealings with sanctioned entities
• Key lessons for global companies navigating the new era of trade compliance and enforcement

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

Are your trade compliance programs truly airtight - or are they just good enough to get caught? In this episode, Michael breaks down why tariff and trade violations are now squarely on DOJ’s radar, and why the heat is rising fast for importers, especially those dealing with Chinese goods. With enforcement priorities shifting, companies are at increased risk of both regulatory investigations and full-blown criminal prosecutions. This episode is a wake-up call for compliance professionals and legal teams - if you think tariff enforcement is still a civil issue, think again.

You’ll hear him discuss:

• Why Customs and Border Patrol and Homeland Security Investigations are stepping up referrals and actions
• How companies try to gain a competitive advantage by evading tariffs - and why it’s an “inevitable result” regulators are watching closely
• The most common tariff evasion schemes, including misclassification under HTS codes, transshipment, undervaluation, and false certification of origin
• Why importing from China under Section 301 is now considered a high-risk activity
• The specific risks surrounding steel and aluminum imports under Section 232 tariffs
• Examples of recent DOJ cases, including plywood, flooring, and mosaic tile fraud, and what they signal for future enforcement
• How AI and data analytics are being used by investigators to spot anomalies and build cases
• The difference between Section 301 and 232 tariffs - and how they reflect different policy objectives
• How rising tariffs and fewer exclusions under the Trump administration are reshaping the trade compliance landscape
• The statutes DOJ is using for criminal charges, including 18 U.S.C. §§ 371, 545, and 1341

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

Has the pendulum swung back on FCPA enforcement - and will companies be ready when it hits? Is the DOJ’s renewed push on FCPA enforcement a strategic shift - or just old wine in a new bottle?

In this episode, Michael discusses the return of the Justice Department to the FCPA enforcement arena. In a significant development, DOJ announced the resumption of FCPA enforcement, accompanied by a new set of enforcement guidance principles. This guidance is more than policy - it’s a statement of priorities and strategy that will shape how FCPA investigations and prosecutions unfold. While the number of attorneys in DOJ’s FCPA Unit has declined, U.S. Attorneys' Offices across 94 districts now have increased authority to investigate and prosecute FCPA cases with less oversight. The result? Potentially broader, faster, and more decentralized enforcement. As always, the devil is in the details - and the June 9 DOJ FCPA Guidance Memo delivers plenty.

You'll hear him discuss:

• DOJ’s renewed emphasis on prosecuting individuals over corporations, especially when misconduct can’t be directly linked to senior leadership
• How companies may now have stronger arguments to avoid liability if the wrongdoing is isolated to a small group
• Expanded autonomy for U.S. Attorneys’ Offices and what this means for enforcement volume and consistency
• The DOJ’s prioritization of cases that directly impact U.S. national interests and corporate competitiveness
• Increased scrutiny of links to cartels and transnational criminal organizations, including risks hidden in supply chains and third-party relationships
• The push for faster, more efficient investigations to avoid the years-long white-collar case backlog
• Guidance on when facilitating payments, gifts, or travel fall under FCPA exceptions - and why these rarely matter in major prosecutions
• Why cooperation, early disclosure, and individual accountability may now be companies’ best bet for avoiding charges altogether
• The DOJ’s sharpened focus on national security sectors like defense, critical infrastructure, and technology

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

Is AI a magic bullet - or just another tool in the compliance toolkit?

What really happens when you let algorithms near your risk decisions?



In this episode of Corruption, Crime and Compliance, Christian Focacci, founder and CEO of Threat.Digital, returns for a thoughtful and highly practical conversation about the state of artificial intelligence in compliance and third-party risk management. Christian’s platform is at the forefront of using large language models and real-time data to transform how companies identify and manage risk - without losing sight of the human judgment that still needs to guide every decision. He and Michael explore what's changed in the AI landscape over the past year, what’s misunderstood about the technology, and how compliance teams can strike the right balance between innovation and accountability.

You’ll hear them discuss:

• Why Christian believes you shouldn’t use AI unless it’s truly the right tool for the job, and how this philosophy shapes how Threat.Digital builds and deploys its systems
• What large language models actually are, how they function under the hood, and why most people fundamentally misunderstand how they learn and process information
• The growing demand for corporate AI governance, how some risk committees are creating unnecessary delays, and why many internal processes are still focused on the wrong questions
• How Threat.Digital uses AI to reduce noise in due diligence, replacing bloated, unfiltered search results with clear, high-quality summaries supported by verifiable sources
• Why the real power of AI isn’t about replacing humans, but about expanding what can be reviewed - moving from 10 data points to 10,000, while helping compliance professionals focus only on what matters
• The future of due diligence: chaining AI tasks to build multi-layered investigations that trace ownership, pull third-party records, and surface hidden risks in real time
• How AI is revolutionizing name screening and sanctions checks by eliminating irrelevant fuzzy matches, freeing teams from chasing meaningless alerts and allowing them to act on true risks with confidence

Resources

Christian Focacci on the Threat.Digital | LinkedIn | Email: chris@threat.digital

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

What if your trade compliance misstep became tomorrow’s federal prosecution headline? In this episode, Michael Volkov issues a powerful warning to corporate leaders and compliance professionals: the DOJ is no longer treating trade violations as minor infractions—they're targeting them as fraud under the False Claims Act. With trade compliance now framed as a national security issue, this administration is on a mission to protect domestic industries and punish companies that cut corners. If your organization engages in international trade—especially with China—this episode is a must-listen.

You’ll hear him discuss:

• Why corporate leaders should not confuse the pause in FCPA enforcement with a wider drop in corporate prosecutions, as the DOJ is intensifying its focus on other high-risk areas like customs and trade compliance
• How the False Claims Act is being used to prosecute companies for tariff evasion, misclassification of goods, and country-of-origin fraud, creating major new exposure for import-heavy businesses
• The administration’s positioning of trade compliance as a national security priority, which signals tougher penalties and more aggressive enforcement tactics
• Examples of recent DOJ cases, including multimillion-dollar settlements with Barco Uniforms, International Vitamins Corporation, and Danco Laboratories, that highlight how quickly companies can become targets
• The expanding role of whistleblowers under new DOJ incentives, making it more likely that internal missteps will be reported and investigated
• Why supply chains involving China and other flagged jurisdictions are under heightened scrutiny, and how companies can prepare for increased oversight
• The risks of becoming a public example of trade fraud, and the steps companies should take now to stay ahead of enforcement and protect their brand and bottom line

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

Is your company ready to bet its future on whether it can outpace a whistleblower to the DOJ’s door? In this episode, Michael Volkov takes a deep dive into the Department of Justice’s newly announced strategy to reshape corporate enforcement. With promises of greater clarity, reduced penalties, and fewer monitors, the DOJ wants companies to see voluntary disclosure as a smart and safe move - not a leap of faith. But behind the incentives lies a sharper edge: whistleblowers, shortened timelines, and a more assertive DOJ ready to move fast. Whether you’re in-house counsel, a compliance officer, or just trying to stay ahead of enforcement trends, this is a must-listen breakdown of what’s changed, why it matters, and what companies need to do now to avoid being caught off guard.

You’ll hear him discuss:

• How companies that voluntarily disclose, cooperate, and remediate can now qualify for a declination, even with aggravating circumstances
• Why the DOJ is promising greater transparency and fairness in enforcement to reduce fear and uncertainty around self-reporting
• What changes have been made to limit when corporate monitors are imposed, and how DOJ will control their cost and scope
• How the whistleblower program has been significantly expanded to include sanctions, tariffs, trade violations, and federal program fraud
• What benefits may still be available for companies that report after DOJ has begun an investigation, including reduced fines and no monitorship
• Why DOJ is pushing prosecutors to shorten the length of corporate investigations and avoid drawn-out resolutions
• What’s at stake if a whistleblower reports first, and how companies could lose access to key benefits by waiting too long

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

What happens when the world’s most influential anti-bribery law is abruptly paused? Is transparency merely a compliance box-tick—or the most powerful tool we have against global threats like kleptocracy, sanctions evasion, and illicit finance? In this eye-opening episode of Corruption, Crime, and Compliance, Michael Volkov is joined by two powerhouse experts in the global fight against corruption: Scott Greytak and Josh Birenbaum (*see ‘’About Guests below). Together, they break down the sweeping implications of the U.S. government’s pause on Foreign Corrupt Practices Act (FCPA)enforcement, the gutting of the Corporate Transparency Act (CTA), and what all of this means for business leaders, policymakers, and the international community.

When the United States hit pause on FCPA enforcement, the global anti-corruption landscape shifted. Scott and Josh explore how companies are reacting, how allies are stepping up enforcement, and why transparency is emerging as a national security imperative. They offer a forward-looking conversation filled with insights for compliance professionals, risk officers, and anyone committed to ethical business in a volatile world.

You’ll hear them discuss:

• Why the U.S. government's pause on FCPA enforcement shocked the global anti-corruption community—and why companies should still stay the course with compliance regardless of political signals.
• How the Corporate Transparency Act, once seen as the most significant U.S. anti-money laundering law in a generation, has been quietly gutted—leaving a dangerous gap in the fight against shell companies and financial crime.
• What it means that U.S. companies are now incentivized to form anonymously domestically to avoid ownership disclosure—inviting kleptocrats, traffickers, and foreign adversaries to hide in plain sight.
• Why global businesses must prepare for a sharp rise in trade compliance enforcement, as tariffs, export controls, and sanctions take center stage in economic security—and why transparency is essential to managing these risks.
• How foreign enforcers, especially in Europe, are beginning to step up—but why no alliance or coalition can truly fill the vacuum left by a retreating United States.
• What makes transparency not just a compliance tool, but a weapon against geopolitical threats—from Xinjiang’s forced labor camps to Russian shadow fleets and fentanyl trafficking.
• How transparency can be hardwired into foreign aid policy to protect U.S. taxpayer money, prevent narco-state development, and give American businesses a fair shot abroad.
• Why there’s still hope—from new bipartisan support for anti-corruption measures to the emergence of a national security lens on transparency across Congress, federal agencies, and the private sector.

About Guests

Scott Greytak is an anticorruption attorney and the Director of Advocacy for TI US. His work focuses on designing anticorruption laws and policies, organizing and leading ideologically inclusive coalitions, and lobbying the U.S. Congress and administration. Greytak was named a Top Lobbyist in 2021, 2023, and 2024 by the National Institute for Lobbying & Ethics.

Josh Birenbaum is the deputy director of FDD’s Center on Economic and Financial Power, focusing on illicit finance risks and global corruption. Previously, Josh was the research and policy analyst at TRACE International, producing articles, book chapters, op-eds, model policies, industry reports, and speeches on sanctions, export controls, corruption, conflict minerals, money laundering, human rights, illicit finance, and other topics.

Resources

Scott Greytak on LinkedIn | Email - sgreytak@us.transparency.org

Josh Birenbaum on LinkedIn | Email - jbirenbaum@fdd.org

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

What if your next import shipment becomes the centre of a federal enforcement action — not because of criminal intent, but because of a mistake? In today’s episode, Michael Volkov breaks down the expanding power and reach of U.S. Customs and Border Protection (CPB) and what it means for businesses navigating an increasingly aggressive trade enforcement landscape. With the Trump Administration’s re-defined objective of fair trade, companies across all sectors need to brace for scrutiny, adapt to evolving risks, and rethink their compliance strategies.

You’ll hear him discuss:

• The Trump Administration’s focus on fair trade and why CPB has become a central enforcement agency under this new agenda
• How CPB exercises its authority to impose regulatory penalties, seize goods, and refer serious cases for civil or criminal prosecution
• The legal standards that determine the severity of violations — fraud, gross negligence, or negligence — and how each carries different penalty thresholds
• Why the materiality of a false statement or omission is a key factor in determining whether a violation has occurred
• The importance of voluntary disclosure and how it can significantly reduce potential penalties and protect company reputation
• The step-by-step process of CPB administrative enforcement, including investigations, pre-penalty notices, appeals, and mitigation options
• The expanding impact of the Enforce and Protect Act (EAPA), and how companies can be held accountable for evading anti-dumping and countervailing duties
• Why businesses must now take a closer look at their import documentation, supply chain practices, and overall trade compliance posture

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

Are you running a compliance program that’s making a real impact—or just checking the boxes? In this episode, Michael Volkov dives into LRN’s 2025 Program Effectiveness Report, an annual benchmark that separates the truly impactful compliance programs from those that are merely operational. Based on insights from 1,500 global ethics and compliance professionals, this year’s report draws a clear line between high-impact and medium-impact programs—and what it takes to bridge the gap. The conversation highlights urgent risks, cultural disconnects, and the strategic value of automation, data, and leadership alignment in shaping tomorrow’s compliance functions.

You’ll hear him discuss:

• How high-impact programs are defined by their strategic use of automation, data analytics, and benchmarking tools to drive measurable compliance outcomes
• Why third-party risk management—including due diligence and supply chain oversight—is a defining trait of the most effective programs today
• The growing trust gap between Gen Z employees and middle managers, and why this generational shift poses a cultural red flag
• The continued dominance of outdated internal systems, regulatory complexity, and budget pressure as top operational challenges facing compliance leaders
• How high-impact programs are integrating AI into both their codes of conduct and employee training, preparing teams for emerging tech risks
• What medium-impact programs can do to evolve: focus on training, automation, and peer collaboration to elevate impact and resilience

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

When The United States has hit pause on Foreign Corrupt Practices Act (FCPA) enforcement—it left many asking whether Europe will now be stepping up to lead the global anti-corruption charge. In this episode of Corruption, Crime and Compliance, Michael Volkov explores how European prosecutors are responding to the enforcement gap, why multinational companies can’t afford to slow down their compliance efforts, and how both state-level and international initiatives are reshaping the future of anti-bribery law.

You’ll hear him talk about:

• The launch of a new International Anti-Corruption Prosecutorial Task Force formed by the UK, France, and Switzerland, designed to intensify cross-border enforcement and cooperation in bribery and corruption cases.
• The task force’s formation as a direct response to the U.S. enforcement pause, signaling that European agencies are prepared to take a more prominent role in prosecuting international corruption, especially involving multinational corporations.
• California’s bold move to pursue foreign bribery under its Unfair Competition Law (UCL), reinforcing that FCPA violations remain prosecutable at the state level despite federal hesitation.
• A continued commitment by global companies to maintain strong compliance programs, reflecting awareness that international and local enforcement can still pose serious legal and financial risks.
• The unexpected dismissal of the long-running FCPA case against Cognizant executives, contrasted with the DOJ's decision to move forward with prosecutions in other high-profile cases, suggesting a selective enforcement pattern under current policy shifts.
• A landmark case by the UK Serious Fraud Office (SFO), charging a company with failure to prevent bribery—a first for the SFO to bring such a case before a jury, potentially setting a new standard for corporate liability in the UK.

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

Could your routine data transfers now violate federal law? The DOJ’s new Data Security Program (DSP) targets the flow of U.S. sensitive personal and government data to foreign adversaries — and the clock is ticking. In this episode of Corruption, Crime and Compliance, Michael Volkov breaks down the Justice Department’s sweeping new Data Security Program, enacted under Executive Order 14117 and finalized in January 2025.

You’ll hear him discuss:

• The origins of the DSP, created through Executive Order 14117 under the Trump Administration, and the key national security concerns it addresses.
• What constitutes a “covered data transaction” and the thresholds for U.S. personal and government data that trigger compliance obligations.
• The list of “countries of concern” and what it means for companies doing business with entities tied to these regions.
• The types of U.S. data covered by the DSP, including biometric, genomic, financial, and geolocation data, and the specific quantity thresholds that trigger restrictions.
• Why data brokerage and bulk human genomic data transactions are prohibited outright, raising new compliance challenges for affected industries.
• How “restricted transactions” like cloud computing services and vendor agreements are subject to conditional exceptions under the DSP.
• The critical actions U.S. companies must take during the 90-day enforcement hiatus, including vendor assessments, renegotiations, and compliance system updates before the July 8th deadline.

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

How prepared is your organization to handle the evolving landscape of sanctions compliance? In this episode of Corruption, Crime and Compliance, Michael Volkov dives into critical sanctions compliance cases and their implications for global companies. He discusses four significant cases that underscore the necessity of robust compliance programs, particularly in light of increased DOJ enforcement actions. Through these examples, he breaks down the consequences of third-party liability, supply chain risks, and the dangers of inadequate compliance measures, offering valuable insights into how companies can proactively avoid similar pitfalls.

Cases discussed:

• British American Tobacco (BAT): The company faced a staggering $629 million settlement for circumventing North Korean trade sanctions. This case illustrates how corporate prosecutions are evolving to resemble Foreign Corrupt Practices Act (FCPA) cases, emphasizing the growing scrutiny on multinational corporations.
• Epsilon Electronics: This case clarifies the liabilities companies face when third-party distributors divert products to prohibited countries, such as Iran. Even if the company had no direct involvement in the diversion, it still bears responsibility, underscoring the importance of diligent monitoring of distribution channels.
• ELF Cosmetics: The company received a $1 million fine for importing goods containing materials sourced from North Korea. This case underscores the critical importance of conducting thorough supply chain due diligence to ensure compliance with international sanctions.
• Murad LLC: This case focuses on post-acquisition compliance failures, demonstrating the urgent need for thorough pre- and post-acquisition audits. These audits are essential to uncover potential sanctions violations and ensure that newly acquired companies adhere to compliance standards.

Resources:

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

Links to the four cases: British American Tobacco | Epsilon Electronics I Elf Cosmetics | Murad LLC

A Framework for OFAC Compliance Commitments (May 2019)

What do you do when the headlines shift faster than your risk matrix can keep up? In this episode, Michael Volkov dives into the challenge of adapting compliance programs in the face of volatile and fast-changing global risks—from tariffs and trade controls to supply chain disruptions and third-party exposures. While the pressure to react is constant, the real key is staying anchored in your company’s values while making smart, timely adjustments.

Legal and compliance officers are used to adjustments and continuous improvement of their compliance programs. Building and maintaining an effective ethics and compliance program never ends — it is a continuous process. In a climate of rapid change, the strategies may feel familiar, but the risks themselves are taking new shape. To that end, Michael outlines five specific strategies for evolving your compliance program without losing your footing.

You'll hear him discuss:

• Why culture isn't just a buzzword—it's the first and most critical line of defense in volatile times
• How to run a quick-turn, focused risk assessment to identify new hotspots like sanctions, tariffs, and supply chain gaps
• The rising danger of indirect exposure to foreign terrorist organizations and cartels through third parties
• What companies need to know about tariff classification, scope, and enforcement to avoid legal and economic penalties
• Why sanctions and export controls enforcement is heating up—and what that means for your global operations
• How to recalibrate third-party risk management to account for trade-based threats and hidden ownership structures

Resources

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

This week we are pleased to bring you one of our most popular episodes of 2024. Please enjoy, and we will be back next week with more insights from the Corruption, Crime, and Compliance podcast.

How can companies build trust and drive growth in a region as politically and economically volatile as Latin America? In this episode, Nicolas Garcia - Vice President, Legal, Regional and Compliance Manager for LATAM and Orica - joins Michael Volkov to discuss the complexities of navigating compliance and leadership in LATAM. The conversation highlights how regional dynamics, such as the crisis in Venezuela, influence business operations and how cultural shifts are changing the role of compliance officers. Nicolas provides valuable insights on the evolving compliance landscape, emphasizing the importance of trust, leadership, and a strong compliance culture in driving business success in challenging environments.

Listen in as Nicolas and Mike discuss:

• The ongoing political and economic crisis in Venezuela has led to massive immigration into neighboring countries like Colombia, Chile, and Brazil, creating both economic challenges and opportunities in the region.
• Guyana is experiencing rapid growth due to foreign investment, particularly in the oil and gas sectors, standing in stark contrast to Venezuela’s decline.
• Nicholas emphasizes the shift from compliance officers being seen as enforcers to becoming strategic business partners. This transition helps companies not only meet regulatory requirements but also drive success.
• Establishing a trust-based relationship between compliance officers and leadership is essential. When compliance is integrated into the business strategy, it becomes a tool for enabling growth rather than a barrier.
• Trust in reporting systems is growing in Latin America, though fear of retaliation remains a concern. Anonymous reporting is on the rise, and substantiation rates are increasing as employees gain confidence in the system’s integrity.
• Ensuring that investigations follow due process is critical to maintaining credibility in compliance programs. It also helps improve trust and the success rate in legal outcomes.

Resources:

Nicolas Garcia on LinkedIn

Nicolas Garcia on Email: Nicolas.Garcia@Orica.com

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

This week, we are pleased to bring you one of our most popular episodes of 2024. Please enjoy, and we will be back next week with more insights from the Corruption, Crime, and Compliance podcast.

Carlos Villagrán is the Director of Compliance at CMPC, a 100-year-old Chilean-based holding company, one of the worldwide leading pulp, paper, packaging, personal care, and other forest products manufacturers. With more than 20,000 employees, CMPC has industrial operations in 9 countries (LatAm and the US) and commercial offices in the US, Europe, and China, selling and distributing its products to more than 45 countries around the world. Carlos joined CMPC to remediate and rebuild CMPC's culture and compliance program after a devastating scandal -- CMPC was prosecuted for its involvement in a decade-long conspiracy to fix prices in Peru and Chile for consumer paper products. Carlos discusses the challenges he faced in rebuilding CMPA's culture and commitment to compliance. His story is an inspiration to all legal and compliance professionals and provides important instructive lessons to corporate leaders and compliance professionals.

You'll hear Michael and Carlos discuss:

• The importance of rebuilding and rediscovering the values and purpose of CMPC after a major corporate crisis.
• The effects on market share quotas and sales prices when CMPC faced an investigation and found to be the leader of a cartel in Chile and Peru.
• How the crisis significantly impacted CMPC's reputation, leading to public protests and consumer backlash in Chile and Peru.
• CMPC’s compliance team addressed the company’s complex nature because of its diverse workforce, including data analytics experts, IT professionals, and engineers.
• How the compliance program at CMPC shifted from a traditional approach to a more cultural and system-thinking perspective, aligning with the company's values and operations.
• Success for the compliance program at CMPC is defined by the number of critical tables the team is seated on, indicating their value and integration within the business operations.

Resources

Carlos Villagran on the Web | LinkedIn

Email: carlos.villagran@cmpc.cl or cfvillagran@gmail.com

Michael Volkov on LinkedIn | Twitter

The Volkov Law Group

This week we are pleased to bring you one of our most popular episodes of 2024. Please enjoy, and we will be back next week with more insights from the Corruption, Crime, and Compliance podcast.

Have you heard of the recent controversies around Boeing 737 MAX and its safety? Have you wondered what is being done about the concerns around it? In this episode of Corruption, Crime, and Compliance, Michael Volkov delves into the latest developments in the Boeing 737 MAX case, highlighting the recent plea agreement proposed by the Department of Justice (DOJ). The Boeing 737 MAX case took another dramatic turn. On July 24, 2024, the Department of Justice filed with the United States District Court for the Northern District of Texas a proposed plea agreement with Boeing. Under the Plea Agreement, Boeing will plead guilty to the original Information filed in 2021 with the Deferred Prosecution Agreement ("DPA"). The discussion focuses on Boeing's alleged failure to implement adequate compliance measures, leading to significant risks and violations, and the ongoing legal and ethical implications of the case. Tune in to hear a detailed analysis of the complexities and legal ramifications of Boeing’s recent plea agreement and what it means for corporate compliance and accountability.

You’ll hear him talk about:

• Certification Issues: Boeing failed to ensure its 737 MAX certifications were accurate, risking false certifications to the FAA.
• DOJ Plea Deal: Boeing agreed to plead guilty to conspiracy to defraud the U.S., facing opposition from victims' families who find the resolution insufficient. The plea agreement, which has been filed under Federal Rule Criminal Procedure 11(c)(1)(C), requires the Court to approve and accept the deal. The Court can reject the plea deal and require the parties to renegotiate the terms.
• Victims’ Rights: The proposed resolution has been controversial because of the opposition of the families of the victims, who have opposed the plea agreement and general disposition of DOJ's investigation and prior resolutions as insufficient to vindicate the public interest and their rights as victims of Boeing's malfeasance
• Compliance Failures: Boeing breached its DPA by not implementing effective compliance controls, particularly in safety and quality processes.
• Independent Monitor: Boeing will be monitored for three years and must invest $455 million in compliance and safety improvements.
• Ongoing Challenges: Boeing’s anti-fraud measures still have gaps, with broader implications for industries where safety is critical.

Resources:

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