CRIM1500 Final
The FCPA contains two separate provisions:
Anti-Bribery Provisions (DOJ) Accounting Provisions SEC)
In the real world
Borrowers are corrupt and act based on their own self interest, laundering money for their own private and personal benefit. Lenders: turn a blind eye
In theory, everyone behaves honestly and acts diligently
Borrowers: are expected to act in good faith on behalf of the country Lenders: exercise due dilligence
PENALTIES FOR BUSINESS ENTITIES -ANTIBRIBERY PROVISIONS
Civil penalty up to $10,000 Criminal fine up to $2 million
PENALTIES FOR INDIVIDUALS ANTI-BRIBERY PROVISIONS
Civil penalty up to $10,000 Criminal fine up to $250,000 and/or imprisonment up to 5 years
Odious Debt
Consent: The government of a country receives a loan without the approval of the people. Benefit: the loan is used on activities not beneficial to the people. Creditor Knowledge: The lenders know of this situation but play possum
FCPA
Foreign Corrupt Practices Act
Phone Call to Raffensperger
One of the most significant pieces of evidence is a recorded phone call in early January 2021, where Trump asked then-Georgia Secretary of State Brad Raffensperger to "find 11,780 votes," which would have pushed him over the threshold of Biden's win there1.
FIVE ELEMENTS OF A VIOLATION OF THE ANTIBRIBERY PROVISIONS:
Payment Foreign official Improper means Corrupt intent Business Purpose
Anti-bribery provisions
Persons and Businesses Prohibited from Making Improper Payments Issuers Domestic Concerns Foreign Nationals and Businesses
Garth Peterson and Morgan Stanley
Peterson, a managing director of Morgan Stanley, falsely represented facts to company in order to enrich him and his co-conspirators; eventually prosecuted and pled guilty to FCPA violations First time that the Department of Justice explicitly declined to bring any enforcement against a company for the acts of its agent The high quality of Morgan Stanley's compliance program was specifically emphasized and praised
2 Examples of Odious Debt
Philippines: For example, in the case of Philippines, Ferdinand Marcos left the nation with $28 million in debt, while he left his personal heirs $10 million. Democratic Republic of Congo For example, president of Zaire, Mobutu, and his elaborate and luxurious villa, while the citizens of Zaire suffer.
RICO
Racketeer, influenced, corrupt, organizations
Harassment and Intimidation of Fulton Countv Election Worker
Ruby Freeman false accusations were repeated to GA legislators and other officials to persuade them to unlawfully change the outcome of the presidential election in favor of Donald Trump members of the enterprise traveled from out of state to harass Freeman, intimidate her, and solicit her to falsely confess to election crimes that she did not commit
Trump Georgia Indictment:
Trump lost the 2020 presidential elections. One of the states he lost was Georgia. Trump and the other Defendants charged in this Indictment refused to accept that Trump lost, and they knowingly and willfully joined a conspiracy to unlawfully change the outcome of the election in favor of Trump. That conspiracy contained a common plan and purpose to commit two or more acts of racketeering activity in Fulton County, Georgia, elsewhere in the State of Georgia, and in other states
Georgia RICO Act:
Violation of the act is a felony, which provides for a prison term of 5 - 20 years; a fine of three times the amount of money gained from the criminal activity, but no less than $25,000; or both
What did RICO aim to regulate?
Was designed to take down crime groups, however, it is been most effective against accounting firms, brokerage houses, and banks (75% of the cases involve securities fraud)
Transparency in Defence Expenditures (TIDE)
designed to fight corruption in military expenditures
Compliance and Ethics Programs
designed to limit corruption within a company
Trump Indictment Charges
false statements and writings, impersonating a public officer, forgery, filing false documents, influencing witnesses, computer theft, computer trespass, computer invasion of privacy, conspiracy to defraud the state, acts involving theft, and perjury.
What is Capital Flight?
when the upper class moves their money to foreign banks in more stable economies Mobutu moving the government's money elsewhere
