Presentation on Foreign Corruption Political Act
How Not to be subject to Civil or Criminal Penalties
We have found that leaders of companies, especially larger ones that are conducting foreign business often have little to no understanding of the risks that they have placed themselves and their company in. Some operate under the philosophy of ‘when in Rome do as the Romans do’, even if that means payoffs, favors or other compensation. While it may provide momentary relief, ultimately they have placed themselves in jeopardy with the U.S. government.
At West Coast Detectives International we stress Prevention. We help our clients avoid violating FCPA and ITAR rules that result in fines of thousands and sometimes millions of dollars. It is always less painful to prevent a FCPA or ITAR violation than to deal with the penalty and brand damage afterward.
Our first objective is to bring an understanding that instituting meaningful compliance policies and procedures equals prevention. We have found that when we have been called after a serious problem has been uncovered, there have not been proper protocols put into place or they were not followed. Naivety and unwarranted trust that we won’t have a problem is a common error. A simple call to WCDI before could’ve saved countless lost hours of productivity and precious financial resources.
Secondly, we then create a thorough and needed communication line within the company. We usually find that when there has been a problem, particular in large companies, there hasn’t been a comprehensive ITAR and FOCA policy program which has been communicated from the top down and the importance of following it. A policy doesn’t work if only management understands it. It must be communicated clearly with an understanding of what to do and the penalties if not followed.
There is no plausible deniability when it comes to FCPA and ITAR failures within a company. You cannot say that you were not aware, or failure to properly document meetings, in fact a simple conversation with someone about your business that hasn’t been cleared can create serious risks for a company.
Thirdly we educate the marketing and sales departments and anyone involved in foreign sales about the provisions of the FCPA and how to avoid being in violation of the act. Then we develop a compliance manual and client documentation file that is opened at the beginning of each foreign involvement. This file contains all of the forms and procedures necessary for the company to stay in compliance with the FCPA and ITAR if applicable.
To further assist our clients we utilize our “capabilities” in the investigative world to vet all foreign individuals prior to company involvement to ensure they are not involved in corrupt practices, or are known to be middle-men or brokers who operate by attempting to bribe their country’s officials for contracts or favors. This service is priceless to our clients.
We check all parties that our clients entertain doing with business with in foreign countries by, checking them through the following list:
- (SDN) Specially Designated National List
- Statutorily Debarred Parties List
- Denied Persons List
- Unverified List
- Entity List
- Nonproliferation Sanctions List
We also offer an investigative service which sweeps all the ITAR systems every 24 hours and if they are any changes is status with any of the people we are working with we are notified so action can be taken.
For further information or to schedule a free consultation about how we can serve your company please contact me directly by email at email@example.com or my cell 818-262-1312.
I look forward to hearing from you.