The latest global trends, risks and developments in regulatory, investigations and financial crime
View our latest insights globally or click on a specific geography for local insights.
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First Legal Action Under The 2017 French Vigilance Law
On 10 December 2020, the Court of Appeal confirmed the decision of the juge des référés of the Tribunal of Nanterre ruling that it did not have jurisdiction to hear the complaint filed by NGOs against the oil company under the French Vigilance Law.
Charles-Henri Boeringer Partner 22 December 2020
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What lies ahead? The Federal False Claims Act
What lies ahead? Our investigations, enforcement, litigation, and compliance teams have been thinking hard to help you stay two-steps in front. In this video, partner Glen Donath brings you up to speed on the Federal False Claims Act and what business across all industries need to know about the investment and enforcement of the Act when pursuing Federal Government support during the current pandemic.
Glen Donath Partner 27 July 2020
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Partner Joshua Berman highlights investigations trends for 2020
Our clients can't predict the future – but we can help them stay ahead of trends in investigations, enforcement, litigation, and compliance.
In this video, Josh Berman highlights the expected spike in investigations and inquiries from prosecutors, law enforcement agents and regulators during the current pandemic and into the future – take a look to see why.
Joshua Berman Partner 24 July 2020
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New investigation reveals risks of biometric data processing for law enforcement purposes
The regulatory woes of facial recognition firm Clearview AI deepened last week when data regulators in the UK and Australia (the ICO and OAIC) announced a joint investigation into their personal information handling practices, and signalled that they would liaise with other global data protection authorities.
Alex Sisto Associate 16 July 2020
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Preeminent French criminal lawyer, Eric Dupond-Moretti, appointed Minister of Justice by President Macron: three key takeaways from his inaugural speech
It has been 34 years since a criminal lawyer was appointed Minster of Justice in France. The announcement on Monday of the make-up of the new French cabinet with Mr. Dupond-Moretti as new Minister of Justice came as a shock to the legal profession as this talented but controversial criminal lawyer, known for his strong criticism against judges and the judicial system, was totally unexpected.
Thomas Baudesson Partner 9 July 2020
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UK Government announces first sanctions under a new global human rights regime
On 6 July 2020, Foreign Secretary Dominic Raab announced the first set of autonomous UK sanctions to be imposed since the country left the European Union. Marking a potential divergence in approach between the UK and the EU towards tackling human rights abuses, this latest step adds to the growing complexities businesses face when conducting international trade. Particularly UK financial institutions.
Carla Lewis Senior Associate 8 July 2020
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HKCFA clarifies agency relationship under Prevention of Bribery Ordinance in Hong Kong
The Hong Kong Court of Final Appeal (HKCFA) clarifies that no pre-existing legal relationship is required for an agency relationship to arise under section 9 of the Prevention of Bribery Ordinance (Cap. 201) (POBO).
Sincere Chiu Associate 2 July 2019
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Culture in financial services: developing thinking in the year of Coronavirus and BLM protests
The FCA's thinking on culture is continuing to develop in the year of Coronavirus and BLM protests with focus on corporate purpose and the role of discrimination as both a symptom and cause of poor culture.
Oliver Pegden Partner 24 June 2020
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Is Poland ready for the EU Whistleblower Protection Directive?
Currently, Polish law contains no universal regulations on whistleblower protection. However, there are some specific laws in various business sectors that already contain provisions that are in line with the requirements laid down by the EU Whistleblower Protection Directive.
Monika Diehl Advocate 17 June 2020
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Issuer claims for share manipulation – where are we after Burford?
The recent Commercial Court decision in Burford v LSE has highlighted the difficulties faced by listed companies who wish to bring civil claims for manipulation of their own shares.
Jason Epstein Senior Associate 15 June 2020
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The ICC emphasises the threats that sanctions clauses pose to trade finance
The ICC Banking Commission has issued updated guidance to banks concerning the use of sanctions clauses in trade finance-related instruments subject to the ICC Rules, including documentary and standby letters of credit, documentary collections and demand guarantees and counter-guarantees.
Carla Lewis Senior Associate 15 June 2020
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The New EU Whistleblower Protection Directive– Are The Member States Ready?
Almost six months have passed since the Whistleblower Protection Directive came into force. This blog piece provides an overview of the new whistleblower protections and related obligations for companies.
Paweł Pogorzelski Counsel 8 June 2020
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HKMA's observations on AML/CFT control measures for remote customer on-boarding activities
The Hong Kong Monetary Authority (HKMA) elaborates on its regulatory expectations of Authorized Institutions (AIs) in respect of remote on-boarding activities, outlining good practices and suggestions to mitigate AML/CFT risks.
William Wong Consultant 4 June 2020
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Caution! Temporary changes to Australian continuous disclosure regime likely to be ineffective to reduce class-action risk
The temporary changes, which are in effect for six months from 26 May 2020, ignore a number of provisions commonly invoked by class action plaintiffs to pursue damages claims in relation to alleged continuous disclosure failings
Jason Oliver Counsel 27 May 2020
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The PCAOB's International Focus – The US Public Company Accounting Oversight Board's Activity Abroad PCAOB registered non-US audit firms and individuals continue to be a focus for the PCAOB. Enforcement statistics for 2015-19 show significant non-US activity, which we expect to continue. 12 May 2020 Read more
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FCA guidance for firms on financial crime systems and controls during the coronavirus crisis
On 6 May, the FCA published brief guidance as to its expectations of how firms should apply their financial crime systems and controls during the Covid-19 crisis.
Ellen Lake Senior Associate 11 May 2020
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CARES Act Funding Comes with Enforcement Risk CARES Act funding from the US government aims to help businesses weather the COVID-19 storm, but companies will need effective compliance measures to mitigate the risk of government enforcement. 4 May 2020 Read more
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Latest Ofgem enforcement action gives much for the wholesale energy markets to consider
Significant financial penalty and redress payment signals Ofgem's intention to take strong action in respect of the manipulation of the wholesale energy markets, but leaves questions unanswered for market participants.
Matthew Lee Senior Associate 28 April 2020
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Financial crime compliance in unprecedented times – key themes for financial services firms
In a world of increased financial crime threats and challenges as a result of coronavirus, we look at 6 key areas for financial services firms to take action to stay in compliance.
Ellen Lake Senior Associate 27 April 2020
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The NCA's 2020/21 Annual Plan and National Strategic Assessment: Criminal use of tech and crypto and the threat of cyber crime
The recently published Annual Plan for 2020/21 sets out the National Crime Agency's operational priorities for the year ahead and its enforcement response to the serious and organised crime threats set out in its National Strategic Assessment (NSA).
Ellen Lake Senior Associate 21 April 2020
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Responding to change and challenge: FCA publishes its Business Plan for 2020/21
On 7 April 2020, the FCA released its Business Plan for 2020/21, setting out its priorities for the year ahead, with specific focus on the unprecedented challenges arising from the coronavirus (Covid-19) pandemic. In this context of uncertainty and disruption, the Business Plan is understandably shorter in length this year.
Emily Goddard Lawyer 16 April 2020
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Regulators provide further clarity of senior managers' obligations in response to COVID-19
Both the FCA and PRA have recently issued statements providing guidance to senior managers on ensuring that they are supporting the Government's efforts to protect the public during the COVID-19 health emergency.
Nicholas Grafton-Green Senior Associate 31 March 2020
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FCA publishes guidance to financial services firms on COVID-19
The FCA has set out information for, and the expectations of, firms during the coronavirus pandemic (COVID-19).
Carlos Conceicao Partner 24 March 2020
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Coronavirus: Five steps to building a financial institution's resilience
In the financial services sector, particularly in the UK, regulated firms such as banks, asset managers and insurers must ensure that their Coronavirus contingency planning meets not just the complex challenges raised by this event but also increasingly stringent regulatory standards.
Nicholas Grafton-Green Senior Associate 11 March 2020
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CMA loses in the Court of Appeal in landmark case on unfair pricing
As well as clarifying the law on unfair pricing, this judgment has important implications for the duty of competition authorities to investigate and the evidential burden placed on defendants.
Ben Jasper Senior Associate 10 March 2020
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Regulatory risk and compliance during the coronavirus outbreak
The FCA, Bank of England and HM Treasury has published a statement on coronavirus.
Ellen Lake Senior Associate 6 March 2020
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CMA secures further director disqualification in an increased focus on individual responsibility for competition breaches
The CMA can prohibit directors from having any involvement in the management of any company for up to 15 years. These tools are now a key part of CMA enforcement.
Ben Jasper Senior Associate 5 March 2020
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SFC's powers in seizing digital devices and accessing electronic records confirmed
This is the first decision in Hong Kong confirming the SFC's powers to seize and require production of (i) digital devices and (ii) passwords to digital devices and email accounts.
William Wong Consultant 25 February 2020
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How will Tech predictions for 2020 impact Financial Crime?
I am interested to see the impact of AI in respect of financial crime. I expect to see criminals continuing to employ increasingly sophisticated technologies like machine learning to find and exploit weak points in businesses' security systems, and also to assist in concealing illegal behaviour like money laundering.
Ellen Lake Senior Associate 20 February 2020
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Operational resilience: increased regulatory scrutiny and new obligations
The increased regulatory focus on operational resilience stems from a combination of factors, including: a shift in the way customers access financial services; the use of new technologies; the significant negative impact of IT failures/incidents; and the introduction of new types of risk.
Nicholas Grafton-Green Senior Associate 11 February 2020
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SFO to evaluate firms' compliance programmes during an investigation
On 17 January 2020, the Serious Fraud Office (SFO) published guidance setting out how and when SFO investigators will assess the effectiveness of the internal compliance programme of a firm under investigation.
Luke Tolaini Partner 28 January 2020
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European Commission hopes for post-Brexit harmony on sanctions – Good news for businesses
Last week, the European Commission's Task Force for Relations with the United Kingdom published its latest Brexit negotiation slides, relating to foreign policy, security and defence. These slides suggest a desire, that will be shared by businesses, that the EU and UK will remain aligned in their sanctions regimes post-Brexit.
Lydia Drake Lawyer 24 January 2020
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Regulatory, investigations & financial crime in the UK – horizon scan: top 10 topics for 2020
We highlight some of the key areas of focus for financial services firms in 2020.
Carlos Conceicao Partner 22 January 2020
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U.S. Commodities Anti-Manipulation Law and Open Market Trading
A recent Wall Street Journal article highlights threat of vague regulation to lawful trading strategies.
Robert Houck Partner 22 January 2020
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European Signatories Trigger Dispute Resolution Mechanism Under The Iran Nuclear Deal
On 14 January 2020 the United Kingdom, France and Germany (the E3) activated the dispute resolution mechanism under the Iran Nuclear deal (or JCPOA), the outcome of which could result in a "snap back" of UN sanctions against Iran. This follows a series of high-profile political events that culminated in Iran's announcement on 5 January 2020 that it would discard "the last key component of its limitations in the JCPOA”.
Carla Lewis Senior Associate 16 January 2020
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5MLD Comes Into Force In The UK On 10 January: The Key Takeaways
On 10 January 2020, the bulk of the Money Laundering and Terrorist Financing (Amendment) Regulations 2019 (MLRs 2019), which implement the Fifth Money Laundering Directive (5MLD) in the UK, come into force.
Ellen Lake Senior Associate 7 January 2020
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Tensions Between The EU And US On Iran Sanctions: Are The Solutions Real Or Illusory?
Recent events suggest that EU measures aimed at frustrating US sanctions on Iran are unlikely to be a match to the threats imposed by the Trump Administration on those who try to use them.
Lydia Drake Lawyer 23 December 2019
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Enforcement Risks In Becoming A Hong Kong SFC Licensed Virtual Asset Trading Platform
Some of the key enforcement risks that a virtual asset trading platform needs to be aware of when seeking to be regulated under the new framework
William Wong Consultant 4 December 2019
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New Guidance On Hong Kong Licensed Corporations' Use Of Cloud Services And Other External Electronic Data Storage
The Securities and Futures Commission sets out requirements for licensed corporations which keep regulatory records externally and clarifies their general obligations when using external electronic data storage providers.
Grace Fung Associate 8 November 2019
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Do the U.S. Securities and Commodities Laws Reach Foreign Conduct?
Two recent appellate court decisions shed light on the limited circumstances in which regulators and private plaintiffs can pursue claims for violations of the U.S. securities and commodities laws for conduct occurring outside the United States.
David Yeres Senior Counsel 24 October 2019
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Key points from the FCA's disciplinary action against Tullet Prebon
On 11 October the FCA published a Final Notice imposing a fine of £15.4m on Tullet Prebon for breaches of Principles, 2, 3 and 11.
Nadège Huart Senior Associate 22 October 2019
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The Wheels Of Justice Turn Slowly – Case Progression At The UK's Serious Fraud Office
Criminal practitioners know it, the current Director of the SFO has acknowledged it, and now HM Crown Prosecution Service Inspectorate has confirmed it – the SFO has room for improvement when it comes to the speed at which they progress cases under investigation.
Matthew Lee Senior Associate 17 October 2019
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Crypto and financial crime – what are the risks for Facebook's Libra?
Facebook’s proposed global digital currency, Libra, aims to provide instant money transfers using blockchain technology for the 1.7 billion adults globally without access to a traditional bank account.
Ellen Lake Senior Associate 8 October 2019
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U.S. Treasury Department Issues Proposed Rules Implementing New CFIUS Regulations Under FIRRMA Pursuant to the Foreign Investment Risk Review Modernization Act of 2018, the United States Treasury Department's Office of Investment Security has issued Proposed Rules implementing the changes FIRRMA brought to the Committee on Foreign Investment in the United States. 26 September 2019 Read more
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Hacked! High Court of Australia dismisses action to restrain use of "Paradise Papers" on grounds of LPP
The unanimous decision of all seven judges of Australia's highest court in Glencore International AG v Commissioner of Taxation [2019] HCA 26 underlines the importance of confidentiality in maintaining a claim for legal professional privilege (LPP) and leaves open the question of whether a claim of LPP will be available in litigation in the ordinary course if the otherwise privileged documents have entered the public domain following a cyber-attack.
Jason Oliver Counsel 23 August 2019
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The US imposes additional sanctions on Russia in response to the UK 'Novichok' Incident
On 2 August 2019, the US announced that new sanctions will be imposed on Russia as required under the Chemical and Biological Weapons Control and Warfare Elimination Act of 1991 in response to the March 2018 "novichok" nerve agent incident against Sergei and Yulia Skripal in the UK.
David DiBari Managing Partner, Washington 9 August 2019
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New SFO Corporate Co-operation Guidance issued
The UK's Serious Fraud Office has published new guidance on corporate co-operation. The SFO meaning of co-operation? Providing assistance to the SFO that goes above and beyond what the law requires.
Ellen Lake Senior Associate 8 August 2019
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Turbulent Times: OFAC warns Aviation industry on deceptive practices
On 23 July 2019, "Iran-Related Civil Aviation Industry Advisory", the US Department of Treasury Office of Foreign Assets Control (OFAC) delivered a warning as to the "deceptive practices by Iran with respect to the Civil Aviation Industry".
Michelle Williams Partner 8 August 2019
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Raising the bar: New Fit and Proper and CPD Guidelines published for insurance intermediaries in Hong Kong
In preparation for the new regulatory regime for insurance intermediaries in Hong Kong, the Insurance Authority has published two new guidelines on Fit and Proper Criteria and Continuing Professional Development to come into effect on 23 September 2019.
Helen Fu Associate 5 August 2019
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Expectations of Private Sector actors in the fight against economic crime
The UK's Economic Crime Plan for 2019-22 places heavy emphasis on new requirements for the private sector in defending against economic crime.
Ellen Lake Senior Associate 26 July 2019
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FCA publishes Enforcement Annual Performance Report 2018/2019
Alongside its Annual Report and Accounts, on Tuesday 9 July 2019 the FCA published its Enforcement Annual Performance Report, which provides an overview of the FCA's enforcement activities during 2018/2019.
Emily Goddard Lawyer 11 July 2019
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Hong Kong Competition Tribunal's first decisions: Six key takeaways
On 17 May 2019, the Competition Tribunal handed down its judgments in Hong Kong's first two competition cases involving bid-rigging, market sharing and price fixing.
Helen Wang Consultant 8 July 2019
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Crypto exchanges have 12 months to implement FATF anti-money laundering standards
FATF Recommendation 15 means that crypto exchanges and other virtual asset service providers must share originator and beneficiary information during transactions between exchanges.
Ellen Lake Senior Associate 4 July 2019
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Cybersecurity and financial sector firms: IOSCO poses 15 sample questions to ask when reviewing your practices
The IOSCO Cyber Task Force has produced a set of questions to assist in understanding core cybersecurity standards and to promote international consistency in the fight against cybercrime.
Ellen Lake Senior Associate 19 June 2019
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Senior Manager Delegation – some wise words from a US President
Delegation of responsibilities has taken on new significance for insurance firms since the implementation of the Senior Managers Regime. For the first time, senior managers have an express obligation under the conduct rules to take reasonable steps when delegating responsibilities and providing oversight of them.
Dorian Drew Partner 13 June 2019
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Focus on the protection of whistleblowers in Poland and the EU
The current proposal of the new Polish law on corporate criminal liability provides for protection for whistleblowers. This is in line with the most recent EU policy.
Monika Diehl Advocate 7 June 2019
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Russian sanctions post-Brexit: Further risks
As at the date of publication, leaving the EU without a deal seems an increasingly realistic outcome. To prepare for this eventuality, the Government has put into place various regulations to implement sanctions into UK law that will apply from "Brexit Day".
Carla Lewis Senior Associate 6 June 2019
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Outsourcing and operational resilience: Lessons from recent regulatory findings
As financial institutions increase their use of outsourcing, particularly in the FinTech sector, recent enforcement actions and authority publications offer useful indicators of key regulatory concerns.
Nicholas Grafton-Green Senior Associate 5 June 2019
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AMF's recent action on insider trading: lessons learned
The AMF has recently imposed fines; punishing the Chairman of a French telecommunications company for insider trading, whilst letting bankers who acquired the information by looking over a neighbour's shoulder on the Eurostar off scot free. We consider the reasoning, as well as key takeaways from this decision.
Charles-Henri Boeringer Partner 22 May 2019
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Highlights from the FCA's 2019/2020 Business Plan
On 17 April 2019, the FCA released its latest Business Plan, setting out its key priorities and main areas of focus for 2019/2020. The FCA has since published its Approach to Enforcement and Approach to Supervision, which aim to help explain how the FCA carries out its activities in accordance with its Mission. We consider some of the key themes.
Emily Goddard Lawyer 10 May 2019
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New Guidance from OFAC: A Framework for OFAC Compliance
Last year, OFAC signaled that it would be issuing much-anticipated guidance for companies on building sanctions compliance programs and, on May 2, 2019, OFAC delivered.
David DiBari Managing Partner, Washington 9 May 2019
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HM Treasury considers gold-plating 5MLD requirements for cryptos
HM Treasury's consultation on the transposition of 5MLD highlights the potential gold-plating of 5MLD in relation to the requirements for cryptos. We look at the proposal and consider some of the potential impacts.
Lydia Drake Lawyer 8 May 2019
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New Guidance from DOJ on "Evaluation of Corporate Compliance Programs"
On April 30, 2019, the US Department of Justice, Criminal Division, published an updated "Guidance Document" on "Evaluation of Corporate Compliance Programs".
David DiBari Managing Partner, Washington 8 May 2019
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Cyber-enabled crime highlighted as key risk area for financial and economic crime in the NCA's 2019/20 Annual Plan
The National Crime Agency's Annual Plan highlights risks for cyber crime, money laundering, fraud, bribery, corruption and sanctions evasion – in particular the use of more complex and cyber-enabled methods by organised crime groups.
Ellen Lake Senior Associate 29 April 2019
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Reform of corporate criminal liability – unresolved
On 7 May 2019, the Government published its response to the House of Commons Treasury Committee's March 2019 report "Economic Crime - Anti-money laundering supervision and sanctions implementation" – but deferred again on addressing calls for reform of the corporate criminal liability framework.
Ellen Lake Senior Associate 16 May 2019
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US Department of Justice CLOUD Act White Paper
The US Department of Justice released in April a White Paper addressing a so-far unused aspect of the CLOUD Act.
Steve Nickelsburg Partner 26 April 2019
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US Department of Treasury's FinCEN penalizes individual operating peer-to-peer virtual currency exchange
Last week, US Department of Treasury's Financial Crimes Enforcement Network (FinCEN) assessed a $35,350 civil money penalty against an individual operating a peer-to-peer virtual currency exchange without registering as a Money Services Business (MSB).
Megan Gordon Partner 24 April 2019
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US expands focus on corporate officer wrongdoing with novel prosecution under the Consumer Product Safety Act
For the first time ever, the US Justice Department has prosecuted corporate officers for violations of the Consumer Product Safety Act.
Joshua Berman Partner 23 April 2019
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Trump's Iran oil embargo: What if China ignores it?
The White House announced on 22 April that it will terminate in early May an exception to the US secondary sanctions that had enabled 8 countries, including China and India, to import crude oil from Iran without risking the imposition of US sanctions in response.
George Kleinfeld Partner 23 April 2019
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Looking ahead to whistleblower protections in 2019 in the US, UK and EU
Financial institutions should be monitoring expected changes to whistleblower protections in the US, UK and EU, which will require enhancements to existing policies to prevent your financial institution from making a critical misstep in an ever-changing legal area.
Michelle Williams Partner 27 March 2019
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The UK Bribery Act is the gold standard, but more guidance is needed
The House of Lords Bribery Act 2010 Committee has concluded that the legislation is 'exemplary' in its post-legislative scrutiny report on the Bribery Act 2010, but has identified areas where more guidance is needed.
Ellen Lake Senior Associate 25 March 2019
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There may be changes ahead: UK Treasury Select Committee has recommended a sweeping overhaul of the fight against economic crime
On 8 March 2019, the UK Treasury Select Committee released its report into economic crime, anti-money laundering supervision and sanctions implementation.
Carla Lewis Senior Associate 20 March 2019
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How the Banking Royal Commission will change the Australian regulatory landscape
The final report brings Australia's Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry to a close, with a series of 76 recommendations. In an election year, this promises to reshape the regulatory compliance and enforcement landscape for the entire industry.
Jason Oliver Counsel 15 March 2019
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FCA Enforcement action against Carphone Warehouse: Key points
The recent FCA fine imposed on Carphone Warehouse raises important points regarding systems and controls, whistleblowing and the FCA's partial settlement and penalty policies.
Oliver Pegden Partner 14 March 2019
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Canadian Cannabis vs POCA: High time for guidance
It is now over four months since the Canadian Cannabis Act 2018 was passed but there has yet to be any guidance provided by the UK government in light of the wide ambit of the UK's money laundering legislation.
Lydia Drake Lawyer 4 March 2019
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FCA issues first decision using its Competition Act powers
The FCA's decision on 21 February 2019 underscores the risks associated with competitors exchanging strategic information with each other, particularly in relation to prices and volumes.
Ben Jasper Senior Associate 26 February 2019
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FCA consultation on further amendments to the SMCR: Head of Legal function excluded
On 23 January 2019, the Financial Conduct Authority (FCA) issued a consultation paper (CP19/4) on amendments and clarifications to the Senior Managers and Certification Regime (SMCR).
Emily Goddard Lawyer 31 January 2019
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Insider trading: What amounts to material non-public information (MNPI)?
The question of whether information amounts to materially non-public information (MNPI) is always a challenging one.
Janice Goh Partner, Cavenagh Law LLP* 25 January 2019
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Final transitional period under DFS Cybersecurity Regulations ends March 1, 2019
The New York State Department of Financial Services (DFS) reminded regulated entities last week that the final transitional period for DFS's Cybersecurity Regulations ends March 1, 2019.
Brian Yin Associate 12 February 2019
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President Trump, human rights, US sanctions and global business: Traps for the unwary
Over the past year, completely contrary to public expectations, President Trump has unleashed the power of US economic sanctions to champion human rights and fight corruption globally.
George Kleinfeld Partner 14 January 2019
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AML failings and senior managers: what if senior managers don't have AML experience?
The FCA has again made clear that inexperience is no excuse when it comes to failings in the UK regulatory environment. But what if senior managers lack experience in an area for which they are responsible?
Ellen Lake Senior Associate 5 December 2018
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Enforcement risks for payment services firms raised by FCA's latest "Dear CEO" letter
On 9 July 2020, the FCA wrote to payment services firms highlighting the key areas of risk that firms must take steps to manage. Payment services is a key strategic priority for the FCA and these areas will likely form the basis of subsequent enforcement in the payment services sector.
Ellen Lake Senior Associate 17 July 2020
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Is Italy ready for the EU Whistleblower Protection Directive?
Italy enacted the "Law on Whistleblowing" to establish general laws applicable alongside sector legislation. This is however limited to entities that adopted systems and controls under the Italian Vicarious Liability Act.
Simonetta Candela Partner 3 August 2020
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The Insurance Authority of Hong Kong issues guidance on enforcement and secrecy provisions
The Insurance Authority of Hong Kong (IA) has issued Frequently Asked Questions (FAQs) on enforcement and an Explanatory Note (Explanatory Note) to clarify Section 121 of the Insurance Ordinance (Cap. 41) (IO) on the secrecy provisions
Sincere Chiu Associate 5 August 2020
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SFC publishes review of Hong Kong Stock Exchange's performance in its regulation of listing matters In this review report, the SFC continues its focus on listed company compliance and recommends enhancement of the investigatory and enforcement processes for oversight of the Hong Kong Stock Exchange 5 August 2020 Read more
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Record-setting CFTC and DOJ penalties imposed after failure to provide complete and accurate information
On August 19, 2020, the U.S. Commodity Futures Trading Commission (“CFTC”) announced a $127.4 million settlement with a bank headquartered outside the United States (the “Bank”) for spoofing and false statements
David Yeres Senior Counsel 27 August 2020
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FCA Enforcement on AML – the risks associated with a supervisory visit laid bare
In its annual AML and CTF supervision report, HM Treasury has reported on the work of the FCA and other supervisory bodies in relation to the supervision and enforcement of the Money Laundering Regulations in the UK. The report highlights the enforcement risk associated with supervisory visits.
Michael Lyons Partner 7 August 2020
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FCA Reveals Data on Cyber Notification and Investigation Trends
New data released by the FCA reveals significant insights into the number of cyber incidents that have been reported to them and the number of investigations they have consequently opened
Alex Sisto Associate 25 August 2020
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FCA to extend the scope of the REP-CRIM reporting regime
The Financial Conduct Authority (FCA) is consulting (CP20/17 'Extension of Annual Financial Crime') (24 August 2020) on a proposal to significantly extend the scope of firms required to provide information under the current annual financial crime reporting (REP-CRIM) requirements.
Michael Lyons Partner 27 August 2020
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Is Belgium ready for the EU Whistleblower Protection Directive?
Belgium as yet does not have a comprehensive framework for whistleblower protection. Two piecemeal regulations, however, regulate such protection for financial markets and money laundering.
Dorothée Vermeiren Partner 2 September 2020
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OFSI issues Maritime Financial Sanctions Guidance
Over the summer, the UK Office of Financial Sanctions Implementation ("OFSI"), issued new sanctions compliance guidance for entities and individuals operating within the maritime shipping sector.
Lydia Drake Lawyer 3 September 2020
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Is Luxembourg ready for the EU Whistleblower Protection Directive?
The EU Whistleblower Directive (the "Directive") provides for a general framework of whistleblower protection, in stark contrast to the number of sectorial rules currently in force in Luxembourg.
Albert Moro Partner 4 September 2020
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Strengthen and Simplify: ALRC Advocates for a Corporate Criminal Responsibility Regime with Sharper Teeth
The Australian Law Reform Commission report, Corporate Criminal Responsibility, was tabled in Parliament on 31 August 2020, making 20 recommendations for reform. Access the final report here and the summary report here.
Andrew Kish Associate 7 September 2020
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FCA Proceedings and Privilege
Reasoning in the recent FCA v Carillion PLC (In Liquidation) decision may be relevant to the question of when litigation privilege arises during a regulatory investigation.
Oliver Pegden Partner 16 September 2020
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ACCC seeks to strengthen Global Collaboration on Anti-Competitive Investigations
The Australian Competition and Consumer Commission (ACCC) has announced a new multilateral memorandum of understanding aimed at tackling anti-competitive behaviour by multinational companies.
Andrew Kish Associate 21 September 2020
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Is the Netherlands ready for the EU Whistleblower Protection Directive?
In the Netherlands, whistleblower protection legislation (the "Whistleblower Act") has been effective since 1 July 2016. Relevant legislation provides for an obligation for employers that generally have at least 50 people working within their organisation in the Netherlands to draw up an internal procedure for reporting wrongdoing. The new EU Whistleblower Protection Directive (the "Directive"), will bring several changes to the existing legal framework.
Sara Schermerhorn Senior Advisor 22 September 2020
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Is Romania ready for the EU Whistleblower Protection Directive?
As of the date of this briefing, no general regulation for the protection of the whistleblowers is in force in Romania. Moreover, no draft law for implementing the Whistleblower Protection Directive has been published yet. However, some sector-specific legislation in force includes certain protection provisions related to reporting procedures and whistleblowers' protection.
Bianca Alecu Senior Associate 21 September 2020
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PSR interim report on the supply of card acquiring services encourages smaller merchants to switch
Following the launch of its market review into the supply of card-acquiring services in July 2018, the Payment Systems Regulator's (PSR) has published its interim report: Market Review (MR18 1.7) (15 September 2020) (MR18/1.7), setting out a number of key recommendations that include advising smaller merchants to switch supplier and removing perceived barriers which potentially impede the switching process.
Samantha Ward Partner 22 September 2020
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FCA issues statement on cannabis-related businesses
The FCA has issued a statement in response to queries from companies involved in the lawful cannabis industry outside of the UK who are interested in listing in the UK. In its statement the FCA sets out its analysis of the Proceeds of Crime Act in relation to cannabis-related businesses and how this impacts any application to list in the UK.
Lydia Drake Lawyer 21 September 2020
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The French Anti-bribery Agency publishes Gifts and Hospitality guidelines
Guidelines on the management of Gifts and Hospitality published on 11 September by the French Anti-bribery Agency ("AFA") specify some good practices but leave some room for corporate entities to tailor their Gifts and Hospitality policy to their risk profile.
Charles-Henri Boeringer Partner 22 September 2020
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L'AFA publie un guide sur les cadeaux et invitations en entreprise
Le guide pratique sur la gestion des cadeaux et invitations publié le 11 septembre précise certaines bonnes pratiques sans être pour autant prescripteur.
Charles-Henri Boeringer Partner 22 September 2020
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The FCA's latest published figures show that skilled person reviews remain a key supervisory tool
Section 166 reviews are likely to be an attractive means to assist regulators in assessing the impact of the pandemic.
Nicholas Grafton-Green Senior Associate 30 September 2020
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European Digital Operational Resilience – the next chapter
The European Commission unveils wide-ranging proposals to regulate digital operational resilience in financial services.
Nicholas Grafton-Green Senior Associate 2 October 2020
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Ransomware: More than your data is at risk warns latest US Treasury Advisories
The US Department of Treasury recently issued advisories aimed at financial institutions and corporates being extorted to make or process payments relating to ransomware attacks. The advisories are a reminder to consider money laundering and sanctions risks as part of ransomware crisis management.
Michelle Williams Partner 6 October 2020
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ICO Announces Significantly Reduced GDPR Fine for British Airways
The ICO has issued a Penalty Notice fining British Airways £20m for infringements of the GDPR, a reduction of £163 million from its original intended fine.
Alex Sisto Associate 19 October 2020
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Law Commission to investigate corporate criminal liability laws in the UK
The Government has recently asked the Law Commission to consider options for reforming corporate criminal liability – but this is unlikely to be the magic wand that those calling for reform have hoped for.
Ellen Lake Senior Associate 10 November 2020
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UK Government publishes new guidance for post-Brexit sanctions
With less than two months to go until the end of the Brexit Implementation Period, the UK Government is continuing its efforts to help ensure UK businesses are fully prepared for the transition, publishing further guidance on the UK's post-Brexit sanctions regime.
Michael Lyons Partner 16 November 2020
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Three ICO Enforcement actions in a month – What do the Ticketmaster, Marriott and British Airways penalties tell us about cyber resilience and data breach?
It has been a busy few weeks for the Information Commissioner, with the ICO most recently publishing a Penalty Notice for GDPR breaches under the Data Protection Act 2018 (DPA) against Ticketmaster, which it has fined £1.25m.
Alex Sisto Associate 23 November 2020
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AUSTRAC seeks to guide industry
Australian Transaction Reports and
Analysis Centre (AUSTRAC) has announced its plan to increase guidance for industry including by establishing a division dedicated to educating and engaging with regulated entities.
The Australian Financial Review has reported on the developments here.
Lara Gotti Senior Associate 1 December 2020
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What you need to know about UK sanctions post-Brexit
At 11pm on 31 December 2020, EU sanctions will cease to apply within the UK, and will be replaced by a new UK sanctions regime which is similar, but not identical to the current EU sanctions regime.
Michael Lyons Partner 30 December 2020
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Anti-Money Laundering (AML) reforms part of sweeping changes in 2021
On January 1, 2021, Congress passed into law the National Defense Authorization Act for Fiscal Year 2021, which includes the Anti-Money Laundering Act of 2020 (the "Act"), the most sweeping anti-money laundering ("AML") legislation since the enactment of the USA PATRIOT Act of 2001.
David DiBari Managing Partner, Washington 5 January 2021
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New Luxembourg law on implementation of restrictive measures in financial matters
Restrictive measures in financial matters have just been reviewed in Luxembourg in order to integrate U.N. and E.U. progress in this area into national legislation.
Albert Moro Partner 14 January 2021
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PRC Blocking Statute now in effect
On 9 January 2021, the PRC Ministry of Commerce (MofCom) issued its new "blocking statute", known as the Rules on Counteracting Unjustified Extra-territorial Application of Foreign Legislation and Other Measures (Rules), which came into effect on the same date.
Lei Shi Partner 15 January 2021
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New Federal District Court Decision Continues Trend of Ordering Disclosure of Cyber Investigation Reports
A law firm was recently ordered to disclose a forensic investigation report prepared following a data breach, despite the report being prepared at the instruction of outside counsel.
Alex Sisto Associate 25 January 2021
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New FTC Enforcement Action Reveals Novel Facial Recognition Settlement
In a recent settlement with the FTC, a photo storage application agreed to delete any facial recognition technologies it enhanced using improperly obtained photos.
Alex Sisto Associate 27 January 2021
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Is Spain ready for the EU Whistleblower Protection Directive?
Currently, there are no universal regulations on whistleblower protection under Spanish law, but specific laws in various sectors already contain some provisions that are in line with the requirements laid down by the Whistleblower Protection Directive.
This "partial coverage" of whistleblowing under Spanish law includes certain coverage in the financial services sector, regarding anti-money laundering regulation, as well as criminal compliance programmes, but still leaves gaps in protection across other sectors.
Sonia Trendafilova Abogado 29 January 2021
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Enhanced U.S. Subpoena Authority over Foreign Banks with U.S. Correspondent Accounts: Watershed or Overreach?
Congress passed the Anti-Money Laundering Act of 2020 (the "Act") on January 1, 2021 as part of the National Defense Authorization Act for Fiscal Year 2021.
The Act includes, among other significant updates to the Bank Secrecy Act and related U.S. anti-money laundering regimes, new and potentially groundbreaking authority for the U.S. Department of Justice ("DOJ") and the U.S. Department of the Treasury ("Treasury") to subpoena non-U.S. bank records stored outside the U.S., backed by hefty penalties for non-compliance.
Brendan Stuart Associate 1 February 2021
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Plug the Leak: Australian Regulator Orders Australian Government Agency to Compensate Victims for Unlawful Personal Information Disclosure
On 10 February 2014, the Australian Department of Home Affairs (DHA) inadvertently published the personal information of 9,258 detainees in immigration detention.
A report was subsequently made to the Office of the Australian Information Commissioner (OAIC).
On 11 January 2021, the OAIC released its determination, ordering compensation on a categorial loss basis, ranging from AU$0 to in excess of AU$20,000.
Andrew Kish Associate 1 February 2021
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What you need to know: Major overhaul of breach reporting obligations for Financial Services and Credit Licensees
Australian Financial Services Licensees and, for the first time, Credit Licensees have until October to ensure they can comply with a complex overhaul of breach reporting obligations.
Tim Grave Partner 4 February 2021
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UK Supreme Court rebalances Serious Fraud Office's extra-territorial evidence gathering powers
The SFO has suffered a further setback in its ability to gather evidence held overseas following a ruling by the Supreme Court that its "Section 2" powers do not extend to allowing it to compel the production of documents held outside of the UK by a foreign company.
Matthew Lee Senior Associate 9 February 2021
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Internal investigations in Spain continue being waitlisted for regulation
Latest legislative initiatives in Spain still fail to provide legal framework for internal investigations.
Sonia Trendafilova Abogado 24 February 2021
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Apply within: ASIC requests applications from individuals seeking immunity from serious market misconduct
In a move that may come as a surprise to many, the Australian Securities and Investments Commission (ASIC) has released an immunity policy available to individuals who think they may have contravened certain financial market misconduct provisions in the Corporations Act 2001 (Cth) (Corporations Act).
Alexandra Payne Senior Associate 24 February 2021
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Enforcement trends as revealed in the SFC's October – December 2020 quarterly report
On 23 February 2021, the Securities and Futures Commission (SFC) issued its quarterly report for October to December 2020, which keeps its stakeholders and the public informed of its key regulatory work during this period.
William Wong Consultant 25 February 2021
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Council of Financial Regulators mandates increase in cybersecurity standards and cyber resilience
The Council of Financial Regulators (CFR) calls for Australian Financial Institutions (AFIs) to increase cybersecurity measures by increasing cyber self-defence activities.
Kirsten Scott Counsel 26 February 2021
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DFS announces first cyber settlement
The New York State Department of Financial Services ("DFS") has fined a mortgage lender $1.5 million to settle violations of its Cybersecurity Regulations
Alex Sisto Associate 8 March 2021
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ASIC's 'why not litigate?' strategy alive and well, with multiple new proceedings commenced against major organisations
The Australian Securities and Investments Commission (ASIC) has announced a number of significant enforcement proceedings for breaches of the Corporations Act 2001 (Cth) (Corporations Act) and ASIC Act 2001 (Cth) (ASIC Act), including criminal charges laid against Alliance and AWP, and civil penalty proceedings against NAB, CommSec and AUSIEX, and REST.
Alexandra Payne Senior Associate 10 March 2021
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Microsoft announces widespread hack of Exchange Server software
Reports indicate that at least 30,000 companies have fallen victim to a hack compromising their Outlook email systems and broader IT networks.
Alex Sisto Associate 11 March 2021
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OFSI updates monetary penalty guidance
OFSI has issued new guidance on the monetary penalties for breaches of financial sanctions in the UK, which comes into force on 1 April 2021. The amendments highlight some subtle but potentially important changes to enforcement risk which we discuss below in more detail.
Lydia Drake Lawyer 16 March 2021
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APRA accepts rare court enforceable undertaking to improve risk and compliance weaknesses from major insurer
The Australian Prudential Regulation Authority (APRA) has accepted a court enforceable undertaking (CEU) from Allianz Australia Insurance Limited (Allianz), acknowledging "past weaknesses" in Allianz's "risk culture, risk governance, and risk management".
Alexandra Payne Senior Associate 22 March 2021
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Corporate investigations in Hong Kong – upcoming changes, key principles and hot topics
Global Investigations Review (GIR) has published the fifth edition of its practical guide for external and in-house counsel, compliance officers and accounting practitioners. Members of the Clifford Chance global RIFC practice are editors and authored several chapters including the Hong Kong chapter.
Donna Wacker Partner 23 March 2021
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Exploring the latest trends in economic sanctions and trade controls
In this this write-up from a recent Clifford Chance webinar, we explore the latest trends in US, EU and UK policy on economic sanctions and trade controls, including compliance and enforcement risks and potential changes under the Biden Administration.
David DiBari Managing Partner, Washington 24 March 2021
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The investigation into MAPFRE cyber attack: Spanish Data Protection Agency stresses importance of a diligent response and transparency
Key factors that led to the investigation closing without a fine were the diligent and efficient crisis management and the swift notice to relevant regulators and third parties.
Sonia Trendafilova Abogado 6 April 2021
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Operational resilience: UK policy statements set out new requirements for financial institutions
The FCA and PRA have unveiled final rules reflecting new operational resilience obligations, with initial milestones to be reached by March 2022.
Nicholas Grafton-Green Senior Associate 12 April 2021
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DFS fines Insurance Company $3 Million for Unreported Data Breaches and False Compliance Certification
The New York Department of Financial Services (DFS) has fined the National Securities Corporation for failing to notify it of data breaches; the Department's second settlement demonstrates DFS's demand for strict compliance with its cybersecurity regulations.
Alex Sisto Associate 20 April 2021
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FTC issues notice of intent to enforce against unfair use of AI
The Federal Trade Commission ("FTC") recently published a blog post recommending best practices to businesses that utilize Artificial Intelligence ("AI") while also warning that improper use of AI may result in FTC enforcement.
Alex Sisto Associate 29 April 2021
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DFS issues guidance in response to SolarWinds attack
Focus is on supply chain risk as DFS urges companies to adopt "zero trust" approach and timely address vulnerabilities.
Alex Sisto Associate 30 April 2021
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Buy now, regulate later – is the buy now pay later regulatory loophole set to close?
The buy now, pay later (BNPL) sector enjoys a largely unregulated existence in Australia, sitting outside the scope of the National Credit Code. With increasing pressure from consumer groups and interest in the BNPL sector from international regulators, moves by the Australian Securities and Investments Commission (ASIC) to remind the BNPL sector of the soon to commence design and distribution obligations (DDO) regime may be the first step in strengthening the BNPL regulatory framework.
Alexandra Payne Senior Associate 4 May 2021
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Upcoming developments to be expected at the midpoint of the UK's Economic Crime Plan for 2019-2022
Almost two years on from the UK’s Economic Crime Plan for 2019-2022, the Government, in partnership with UK Finance, has reported on progress against the plan in the recently published Economic Crime Plan: Statement of Progress.
Ellen Lake Senior Associate 11 May 2021
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ECJ opinion on the EU Blocking Regulation and US sanctions on Iran
The Advocate General ("AG") of the ECJ has issued a long-awaited opinion on the meaning of the EU Blocking Regulation concerning US sanctions on Iran. If adopted by the Court, the effects could be significant and wide-ranging.
Michael Lyons Partner 21 May 2021
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Australian regulators zooming in on cyber compliance
Australian regulators have flagged a continued focus on securing enforcement outcomes for data privacy breaches.
Sharfah Mohamed Associate 26 May 2021
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Targeting the tech that enables serious and organised crime: the NCA's National Strategic Assessment 2021
The National Crime Agency (NCA) has published its 2021 National Strategic Assessment on Serious and Organised Crime (NSA), which highlights the technological means used by criminals who pose serious and organised crime threats to the UK.
Ellen Lake Senior Associate 28 May 2021
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Who watches the watchers? Australian regulators now subject to oversight from independent watchdog
Certain issues identified by Commissioner Hayne in the Financial Services Royal Commission will be addressed by the establishment of a Financial Regulator Assessment Authority.
Kirsten Scott Counsel 4 June 2021
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European Commission launches European Public Prosecutor’s Office
On 1st June 2021, the European Commission (EC) launched the European Public Prosecutor’s Office (EPPO) based in Luxembourg and marking an important milestone on the way to a deeper cooperation between EU member states concerning white-collar crime.
Charles-Henri Boeringer Partner 9 June 2021
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Is this the end of group-wide whistleblower systems and central investigations?
The EU Whistleblower Protection Directive must be transposed into Member States' local legislation by 17 December 2021. With a little less than six months to go before the deadline, companies are asking important questions to the European Commission.
Ines Keitel Head of the German Employment Group 22 June 2021
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Get Shorty? ASIC releases guidance on short selling
The Australian Securities and Investment Commission (ASIC) has joined the discussion on activist short selling campaigns, with the release on 1 June 2021 of a new information sheet (Information Sheet 255 Activist short selling campaigns in Australia).
Alexandra Payne Senior Associate 23 June 2021
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