Welcome to This Week In Compliance: GAN’s weekly news roundup, where we curate the latest stories on compliance and anti-corruption to keep you informed. This week we cover advancement's in the EU's mandatory due diligence draft directive. Read the full story and more news below:
EU Parliament Passes Mandatory Due Diligence Legislation:
A month after the EU's Legal Affairs Committee voted in favor of a draft law on mandatory due diligence in supply chains, the EU parliament adopted the legislative initiative report on Wednesday, March 10th. The legislative initiative calls for establishing fines and sanctions on companies that fail to monitor their supply chains against human rights risks and adverse environmental impacts. The EU Commission is expected to legislate a binding due diligence directive for all companies in the market by June.
Scania Discloses Bribery Scheme in India:
After three media companies accused Swedish bus manufacturer Scania of bribing Indian state officials, the company disclosed the results of an internal investigation finding evidence of misconduct. The media's investigation found that Scania employees paid bribes to win bus contracts in India from 2013 to 2016. Scania, which exited the Indian market, stated that all the involved individuals no longer work at the company.
SEC Gives USD 1.5M to Whistleblower:
The U.S. Securities and Exchange Commission (SEC) announced a whistleblower award of USD 1.5M to an individual whose help and assistance led to successful enforcement action. The SEC stated that the individual provided information on witnesses and on previously unidentified behavior. Jane Norberg, Chief of the SEC's Whistleblower Program, stated that this goes to show that 'whistleblowers play an integral part in the SEC's enforcement program.'
France Passes Bill Enabling the Repatriation of Misappropriated Assets:
France's National Assembly passed a draft law requiring the French government to return looted assets from corrupt foreign officials to the country's population from which the money was embezzled. The bill has been praised by several anti-corruption groups, although others have argued it still needs strengthening. The draft law, which has to be approved by parliament, would affect several ongoing investigations, including one against Syria's president and one against Equatorial Guinea's rulers.
Corruption Charges Against Former Brazilian President Annulled:
Former Brazilian President Luis Inácio 'Lula' da Silva was released from jail after Brazil's top court annulled corruption charges against him. Lula, who held the presidency from 2003 to 2011, was sent to jail in 2018 as part of the Car Wash investigations. Federal investigators accused Da Silva of receiving bribes in the form of properties from construction conglomerate Odebrecht. A second case that has not been resolved yet relates to a non-profit Lula founded in 2011. Brazil's Supreme Court judge Luiza Fachin dismissed the charges arguing they were conducted in the wrong court.
Peruvian Presidential Candidate Charged for Corruption:
Peruvian justice charged presidential candidate Keiko Fujimori for corruption. The charges related to money laundering, obstruction of justice, and organized crime against the presidential candidate, could lead to a jail sentence of up to 30 years.
Federal appeals court upholds 5.6B USD Visa and Mastercard settlement
The DOJ updates its guidance on corporate compliance programs
Founder and former FTX CEO arrested, indicted on eight fraud charges