Foreign Corrupt Practices Act, Arms Export Control Act and ITAR
Attorney Solomon L. Wisenberg has successfully represented clients who were suspected of violating the Foreign Corrupt Practices Act, the Arms Export Control Act, and/or ITAR regulations.
Foreign Corrupt Practices Act
Foreign Corrupt Practices Act (FCPA) prosecutions and investigations are currently reaching epic proportions. After years of promising to pursue such cases, the government is finally delivering on its boast. The FCPA includes both anti-bribery and "books and records" crimes.
At their core, FCPA anti-bribery provisions forbid covered entities and individuals from making payments (other than minor "grease" payments) to foreign officials in order to obtain or maintain business.
Elements of the Foreign Corrupt Practices Act Bribery Offense
An FCPA bribery offense is committed when:
1. A covered entity or individual;
2. Willfully;
3. Makes or authorizes, directly or indirectly, a payment, offer, or promise of anything of value;
4. To any: foreign official; foreign political party or party official; candidate for foreign political office; or person [acting as a middleman];
5. With corrupt intent
6. For the purpose of: influencing an official act or decision of the person; inducing that person to do or omit to do any act in violation of his or her lawful duty; inducing that person to use his or her influence with a foreign government to affect or influence any government act or decisions; or securing any improper purpose;
7. In order to assist in obtaining or retaining business for or with, or directing business to, any person.
This is a very broad law and it is being interpreted expansively by the U.S. Department of Justice.
The criminal "books and records" provisions of the FCPA prohibit knowingly making incorrect entries in corporate books and records, in order to hide foreign payoffs.
FCPA law is still in great flux, because federal appellate case law in this area is not well developed. The next few years should see more certainty as additional cases are tried and appealed
Mr. Wisenberg is experienced in FCPA representation and issues. He has counseled clients and lectured and written widely about FCPA issues.
*Mr. Wisenberg represented a World Bank consultant who was identified as a target by the Department of Justice in a major FCPA anti-bribery case involving a World Bank project in Kenya. Mr. Wisenberg's client was the only target who escaped prosecution.
Arms Export Control Act and ITAR: What You Don't Know Can Hurt You
Many Arms Export Control Act cases involve well-meaning businesspeople who may not have known that selling their products to customers in certain countries constituted a criminal export-import violation. While a person generally cannot be convicted of a crime if he or she has no criminal intent, the government holds exporters responsible for knowing where and to whom their products are being sold.
Exporters are deluged with government reporting regulations and notices. Many of these regulations require the responsible person to sign a notice verifying that he or she understands the regulations and is in compliance with them. These reporting requirements can make it difficult for a defendant to show that a he or she had no knowledge of a particular Arms Export Control Act or ITAR provision. Mr. Wisenberg has experience representing corporate employees in this area of the law.
In one such case, corporate executives and employees were questioned extensively by FBI special agents, a federal prosecutor and a federal grand jury regarding alleged violations of the Arms Export Control Act. No charges were filed against any of Mr. Wisenberg's clients.
If you are being investigated for, or have been charged with, an export-import violation, please contact white collar criminal defense attorneys Solomon L. Wisenberg and Adrienne Urrutia Wisenberg at the Washington, D.C. office of Barnes & Thornburg LLP. We represent clients nationwide in federal white collar investigations and prosecutions.
