Stay current on the latest developments from agencies including the CFPB, Federal Reserve, FDIC, and OCC to advise clients on real-life regulatory situations.
By Liz Crampton
The Justice Department’s fraud section is looking for a replacement compliance counsel as the current employee’s contract is set to expire later this year. Hui Chen, the current compliance counsel, was the first person to assume the position when she was hired two years ago to bring a private sector perspective into the Justice Department.
Practitioners told Bloomberg BNA they see the opening as an opportunity to expand on the parts of the program that have been successful, such as strengthened communication between the business community and government.
The position is intended to help the fraud section’s evaluation of company compliance and remediation efforts when companies are under investigation for violating international bribery laws. The compliance counsel also works to train DOJ attorneys and oversee outside corporate monitors.
“The compliance counsel serves almost as a translator — or compliance whisperer — between the private sector and DOJ,” Alexandra Wrage, president of TRACE, an organization that consults with companies on anti-bribery compliance, told Bloomberg BNA.
“The compliance counsel, if she has a great deal of private sector experience, as Hui Chen does, can assess whether the program really is addressing the risks the company faces,” she said. “Lawyers who have worked in senior compliance positions at companies become skilled at asking the right questions and spotting systemic weaknesses in compliance programs.”
Chen’s contract will expire in September. “The current postings for a compliance expert seek a successor to continue the existing compliance consultant’s excellent work in strengthening the section’s compliance program,” Justice Department spokesman Wyn Hornbuckle told Bloomberg BNA.
The new compliance counsel will be hired for a two-year term, and the contract may be extended. Federal agencies use such contracts for hires that they need immediately or temporarily, bypassing lengthy federal hiring requirements.
The compliance counsel position requires at least four years of legal experience, with at least one year of “specialized” experience, such as “a senior compliance position within a multinational company.”
The underlying idea behind a compliance attorney is to bring someone into the agency who has real-world experience and can help advise DOJ on the measures a company has taken in an investigation, Olivia Radin, a white collar crime partner at Freshfields Bruckhaus Deringer, told Bloomberg BNA.
Radin said she’d like to see Chen’s replacement bring in-depth knowledge of how companies adopt a risk-based approach to addressing potential outcomes of international interactions. They use such risk analysis to keep compliant with the Foreign Corrupt Practices Act.
“It’s important for DOJ to be transparent about the standards it expects to see and how it will evaluate compliance efforts,” she said.
“For international companies, it’s especially important for the compliance attorney to take into account that the company is managing its program against different cultural and legal frameworks,” Radin said.
A “key quality” of a compliance attorney is “practicality,” Wrage agreed.
“We already have a lot of documents describing the need for ‘reasonable,’ ‘proportionate,’ or ‘appropriate’ compliance measures. But what does that actually look like?” Wrage added.
For businesses hoping to stay in good stead with the law, the more detailed guidance they can get from the DOJ, the better. “Is the answer different for a vast multinational with lawyers on the ground in every country and a small company operating in just a handful of the world’s most challenging markets? We’ve heard the DOJ say it is, but not how the programs might reasonably differ,” Wrage.
To contact the reporter on this story: Liz Crampton in Washington at email@example.com
To contact the editor responsible for this story: Fawn Johnson at firstname.lastname@example.org
Copyright © 2017 The Bureau of National Affairs, Inc. All Rights Reserved.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to email@example.com.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to firstname.lastname@example.org.
Put me on standing order
Notify me when new releases are available (no standing order will be created)