The Magazine of Corporate Responsibility

Tag Archive for ‘U.S. Justice Department’

Why No Financial Crisis Prosecutions? ‘It’s Just too Hard’

Years after the financial crisis, there have still been no prosecutions of top executives at the major players in the financial crisis. Why’s that? Well, according to a now-departed Justice Department official who used to be in charge of investigating such matters, the Justice Department has decided that holding top Wall Street executives criminally accountable is too difficult a task.

Doctors Avoid Penalties in Suits Against Medical Firms

At least 15 drug and medical-device companies have paid $6.5 billion since 2008 to settle accusations of marketing fraud or kickbacks. However, none of the more than 75 doctors named as participants were sanctioned, despite allegations of fraud or of conduct that put patients at risk, a review by ProPublica found.

Facing Bribery Inquiry, News Corp. Lawyers Up With Former Federal Prosecutors

The embattled media conglomerate News Corporation and its independent directors have not only hired top criminal defense lawyers, they’ve also hired former Justice Department prosecutors well-versed in U.S. bribery law. The new hires are a sign that the company is taking the Justice Department’s preliminary investigation rather seriously.

Obama Highlights Anti-Corruption Measure for Mining and Energy

A new measure designed to combat corruption in resource-rich countries by requiring mining and energy companies to disclose payments to foreign governments was highlighted this week by U.S. President Barack Obama in a speech at the United Nations Millennium Development Goals Summit in New York. The requirement is a provision of the Dodd-Frank financial reform bill signed into law by Mr. Obama in July.

Courts Fault Feds, SEC for Going Easy on Banks

When big banks have announced settlements with the Securities and Exchange Commission, ProPublica put those agreed-upon fines into perspective, and often found that even millions of dollars in fines aren’t too hard for these big financial firms to shell out. Judges, increasingly, seem to agree.

Oracle Accused of Overcharging U.S. Government

The U.S. Justice Department said it filed a complaint under the False Claims Act against Oracle Corporation alleging that company defrauded the federal government on a General Services Administration (GSA) software contract that was in effect from 1998 to 2006 and “involved hundreds of millions of dollars in sales.”

Italian Firm and Unit to Pay $365 Million to Settle Bribe Charges

The settlement is the latest related to a four-company joint venture that was awarded $6 billion in contracts to build liquid natural gas facilities on Bonny Island, Nigeria. U.S. officials said a total of $1.28 billion in penalties has been obtained to date in connection with the Bonny Island bribery scheme.

French Firm to Pay $338 Million to Settle Bribery Charges

French engineering firm Technip S.A. agreed to pay a total of $338 million to settle criminal and civil charges brought by U.S. enforcement agencies for its participation in a scheme to bribe Nigerian government officials to obtain more than $6 billion in contracts to build liquefied natural gas facilities on Bonny Island, Nigeria.

Holder Says More Individuals to Face Bribery Charges

Attorney General Eric Holder said the prosecution of individuals “is accelerating” amidst continuing evidence of transnational bribery. “Let me be clear, prosecuting individuals is a cornerstone of our enforcement strategy because, as long as it (bribery) remains a tactic, paying large monetary penalties cannot be viewed by the business community as merely ‘the cost of doing business,’ ” he said.

Novartis to Pay $72.5 Million to Settle Illegal Marketing Charges

The charges involved off-label marketing of the cystic fibrosis drug TOBI. Under the agreement the federal government will get $43.5 million and 10 U.S. states will share $29 million. Three former employees will share $7.825 million to settle their whistleblower lawsuit.