Big Brains In Compliance is the newest show on the Compliance Podcast Network featuring Tom Fox, the Voice of Compliance, and Stephen Martin, Partner at StoneTurn. In this week’s show, Tom chats with Stephen about the Six Elements framework Stephen helped develop. They discuss why it’s important and how companies can use it to construct a comprehensive compliance program that satisfies government requirements and drives an ethical culture.
The Six Elements
Typically business leaders would either find compliance programs too legalistic, so they would tune out, or believe that they would never run afoul of the guidelines, so they didn’t need to care. Stephen says they created the Six Elements framework for CEOs and companies to have an easily digestible, practical guide to create an effective compliance program for their companies. It helps them to benchmark their existing programs, recognize the gaps, and make enhancements.
“[The Department of Justice] has become much more sophisticated in evaluating the effectiveness of your compliance program,” Stephen points out. The Six Elements allow companies to have a continuous cycle of monitoring and improvement in the key areas of compliance: risk assessment; governance and structure; policies, procedures, controls; training and education; oversight and reporting; and response and enhancements. “It gives you a very nice work plan of how to enhance,” Stephen says, “and it’s something that both helps you as a company but also you can then show to government regulators if you are ever asked about the effectiveness of your compliance program.”
Risk Assessment and Monitoring
Tom comments on the DOJ’s recent statement that you should do your risk assessment whenever your risks change. Stephen adds that the two areas of compliance that companies struggle with the most are effective risk assessment and oversight and monitoring. He shares how his company helps clients build a proactive risk monitoring protocol: this allows them to monitor their risk internally on an ongoing basis. He and Tom talk about the importance of Data Analytics in oversight and monitoring. It’s the number one question compliance officers ask, Stephen says. They all want to use data but they don’t know how. His company again takes a proactive approach by helping clients create dashboards to aggregate the data already present in the organization. This allows them to monitor key issues.
Culture
“How do you help a CCO… to help bring institutional justice and fairness leading to trust and a better culture to an organization?” Tom asks Stephen. Most compliance programs don’t focus on the ethics or culture side, Stephen admits. However, building an ethical culture and giving your employees the tools to speak freely, does more to protect your company than a compliance program in the long run. “Ethical leadership is the best compliance program that you could put in place,” Stephen argues.
Resources
Stephen Martin on LinkedIn
In the Episode, I visit with Podfest Expo founder Chris Krimitsos about the upcoming Podcast Global Summit, March 1-5. Podfest Global Summit is a gathering for those who are passionate about sharing their voice and message with the world through audio and video. Podfest Global has grown into a recurring, must-attend gathering that is now international, drawing creators from all over the world. You will see friendly faces and speakers who are experts in their field, delivering the most valuable, recent content from the virtual stage AND backstage. The programming, exhibitions and networking opportunities make this event a place for developing long-lasting, positive relationships for years to come. Highlights include
- What led to the March event;
- What makes the Podfest Global Summit the most unique event in the podcast arena;
- Why this is a must attend event for any podcaster;
- Be a part of this Guinness World Record setting event;
- Why paying it forward is a key part of the event and how you can do so; and
- Why you should join the Podfest Expo family.
Recourses
Join Tom and others at Podfest Global Summit at any time during March 1-5. Best all of listeners to this podcast can attend at no charge. Register here, using promo code CPN.
In today’s edition of Sunday Book Review:
- Russian Roulette: The Life and Times of Graham Greene-Richard Greene
- Graham Greene-A Life in Letters by Richard Greene
- Between Form and Faith: Graham Greene and the Catholic Novel by Martyn Sampson
- The Life of Graham Greene by Norman Sherry
Categories
Confidence Tricks
Welcome to the latest edition to the Compliance Podcast Network, The Wirecard Saga. In this series, I am joined by Mikhail Reider-Gordon, Managing Director of Institutional Ethics & Integrity at Affiliated Monitors. In this episode, we take a deep dive into the gaps in compliance in not simply Wirecard but in those entities which facilitated Wirecard or did business with Wirecard. Some of the highlights include:
- IC Loses Confidence in Regulators
- Stock Exchange Shrugs
- FREP Head: Rules Don’t Apply To Me
- HÜSt Shocked
- BaFin Economical With the Truth
- Feeble Efforts
- von Knoop’s Social Life in Ruins
- Weiss Sings Like Canary
- Marsalek’s Confidence Trick
- Austria Spies on German MPs
- Schmidbauer Consults
- Novomatic
As the state of Texas goes dark due to cold weather and our jr. Senator Ted Cruz (#CancunTed) heads out to Mexico to get away from it all, Tom and Jay look at this week’s stories top compliance and ethics stories which caught their interest on This Week in FCPA.
- How does weather inform compliance? Tom explores from an undisclosed power and water free location in Texas. Managing Risk, Root Cause Analysis and Continuous Risk Assessments.
- What is the ‘Baader-Meinhof phenomenon’ and how does it inform compliance? Dick Cassin explores in the FCPA Blog.
- Embezzlement and corruption? CISCO discloses both in a filing. Dylan Tokar in the WSJ Risk and Compliance Journal.
- Former Braskem CEO in talks to plead out. Dylan Tokar in the WSJ Risk and Compliance Journal.
- Hiring and screening in a pandemic. Matt Jaye in CCI.
- How does Tom Brady (TB12) inform compliance? Jay explores in this LinkedIn
- Where is SEC enforcement going under Biden. Dylan Tokar in the WSJ Risk and Compliance Journal.
- On The Compliance Life, Natalia Shehadeh, CCO at ABB joins me this month. In the first episode, Natalia explained why she choose the compliance profession. Check out the Episode 1 and Episode 2. In Episode 3, Natalia discusses moving into the CCO chair.
- New podcasts out on the Compliance Podcast Network this month. In ComTech, Valerie Charles joins Tom for an exploration of the intersection of compliance and technology. Episode 2 which posted Monday, February 8, featured Parth Chanda, the Skywalker of Compliance. In Big Brains in Compliance, Tom is joined by Stephen Martin to visit with some of the top thinkers and doers in compliance. It premiered February 22. Finally Tom premiers a new video podcast (PodTube) on YouTube. The Compliance Handbook, a podcast on the nuts and bolts of compliance. In Episode 1, he is joined by Stephen Martin to talk about how to best think through a comprehensive compliance program. In Episode 2, Tom was joined by Mike Volkov to discuss the Board’s role in Compliance.
- A new AMI podcast is out, Integrity Through Compliance. It will have AMI’s expert observations and guidance in the fields of ethics, antitrust, healthcare, government contracting, corporate governance, cybersecurity, construction, telecommunications, consumer protection and more. In the Episode 1, AMI founder Vin DiCianni visits with AMI MD Jerry Coyne the future of telehealth & home healthcare during a pandemic and beyond. In Epsiode 2, Brenda Morris and Dionne Lomax visit with Jennifer Newton. In upcoming Episode 3 on February 24, Joseph K. West, Partner & Chief Diversity and Inclusion Officer, Duane Morris joins the podcast.
- On Thursday, February 25, join the “Ask an Expert FINQuiry” webinar on DOLFIN: K2 Integrity’s financial crimes compliance experts will respond to your AML/CFT, sanctions, and other financial-integrity-related questions. Information and Registration here.
- Join the Baker Tilly Fraud 1st Annual Fraud and Compliance Summit, Tuesday, Feb 23, 2021, to Thursday, Feb 25, 2021. Details and registration here.
- Interested in podcasting? Want to be a part of a Guiness World Record attempt? PodFest Global Summit is a gathering for those who are passionate about sharing their voice and message with the world through audio and video. Join Tom and others at Podfest Global Summit at any time during March 1-5. Best all of listeners to this podcast can attend at no charge. Register here, using promo code CPN.
- Tom announces his latest book, The Compliance Handbook, 2nd edition is available for presale purchase. Use Use the code FOX25 and go here. The Compliance Handbook 2ndedition will be available in both print and eBook editions.
Tom Fox is the Compliance Evangelist and can be reached at tfox@tfoxlaw.com. Jay Rosen is Mr. Monitor and can be reached at jrosen@affiliatedmonitors.com.
In this episode, we’re going to discuss the Anti-Money Laundering Act of 2020 (AMLA 2020). This is the most comprehensive set of reforms to U.S. anti-money laundering (“AML”) laws since the passage of the USA PATRIOT Act in 2001. While there is a lot to the Act, there are some important changes and enhancements that should have an immediate and long-lasting impact on anti-money laundering.
Join us each week as we take a deep dive into the various forms of fraud across the world and discuss crime families, penny stock boiler rooms, international money launderers, narco-traffickers, oligarchs, dictators, warlords, kleptocrats and more.
Scott Moritz is a leading authority on white-collar crime, anti-corruption, and in the evaluation, design, remediation, implementation, and administration of corporate compliance programs, codes of conduct. He is also considered an authority in the establishment, training, and oversight of the investigative protocols carried out by financial intelligence, corporate security, and internal audit units.
What happens when an investigator stumbles upon a personal detail that leads to professional misdeeds? In Episode 3 of Digging Deeper, Chris Morgan Jones interviews Lisa Silverman, senior managing director in Chicago, about cases where the personal interfered with the professional.
One of the most challenging parts of an investigator’s job is to not try and make the facts stick to a theory – but to develop a theory based on the actual facts. Everyone has a story, and often a client can have a theory. But what sets an investigator apart is the ability to find the accurate story, not the popular one. With the ever-increasing amount of information available on the internet, getting the information is just the first step. Where an investigator’s skills come in now are in undertaking a thoughtful analysis, separating accurate information from falsehoods, and then determining how the information fits together to tell a story. Also, the repositories for information have changed over time. For example: twenty years ago, when investigating an employee for fraud, it was common to physically sift through files for details. While that still happens, more often, investigators forensically image the subject’s computer and conduct their analysis digitally.
As investigations become more complex, the ability to observe and think critically have become invaluable to uncovering the facts and securing the right outcome. Whether the issues centers around cybercrimes; trade secrets spirited overseas; a due diligence on a prospective executive or board-level hire; a range of frauds; or a variety of international compliance issues with no easy solutions; a deep dive into a potential investment; or a range of other challenges, a skilled investigator’s job is to follow the trail of clues to the bare facts, and then to help clients use them in a way that is as whole and protected as possible in the corporate and legal arenas they occupy.
Learn more about our investigative services.
Digging Deeper, an investigative podcast series by K2 Integrity, helps shine a light on the investigations industry as few can: via the real-world, exceptional practitioners who, day in and day out, conduct this work across sectors and around the globe. Listen in to each episode where guests explore unique cases and share what they uncovered along the way to crack the code for clients. Learn more by clicking here, or subscribe on Apple Podcasts, SoundCloud, Spotify or Stitcher.
Welcome to the only roundtable podcast in compliance. Today, we have a quartet of Jonathan Armstrong, Jonathan Marks, Matt Kelly and Jay Rosen for a deep dive into plethora of topics generally related to the GOAT in football and the Coronavirus pandemic. We end with a veritable mélange of rants and shouts outs.
- Jonathan Armstrong joins us from London to review the UK Supreme Court decision in the KBR Section 2 document request case. He shouts out to the UK Judiciary for its perseverance during the Coronavirus health crisis and a special shout out to Texas lawyer Tiddles the Cat.
- Matt Kelly considers the recent CDC guidance on vaccine and the return to work movement by asking how it all will impact compliance. Matt shouts out to GOP Representative Adam Kissinger for his calling out the hypocritical behavior in failing to punish Donald Trump for leading an insurrection against America.
- Jonathan Marks looks at the Fraud Pentagon in the context of fraud risks in the era of the Coronavirus pandemic. Marks shouts to former National Holdings CCO Kay Johnson for her victory over her former employer who fired her when she investigated the company CEO for securities law violations.
- Jay Rosen pens a love sonnet to the GOAT and his former QB Tom Brady and looks at Tompa Bay’s accomplishment from the compliance perspective. Rosen shouts out to Twitter and FB for banning the former President from their platforms.
- Tom Fox rants about former KPMG UK chairman Bill Michael who was forced to resign after telling KPMG employees to ‘stop whining’ about working during the Coronavirus pandemic. For good measure Michael said there was no such thing as ‘unconscious bias’ against minorities.
The members of the Everything Compliance are:
- Jay Rosen– Jay is Vice President, Business Development Corporate Monitoring at Affiliated Monitors. Rosen can be reached at JRosen@affiliatedmonitors.com
- Mike Volkov – One of the top FCPA commentators and practitioners around and the Chief Executive Officer of The Volkov Law Group, LLC. Volkov can be reached at mvolkov@volkovlawgroup.com
- Matt Kelly – Founder and CEO of Radical Compliance. Kelly can be reached at mkelly@radicalcompliance.com
- Jonathan Armstrong –is our UK colleague, who is an experienced data privacy/data protection lawyer with Cordery in London. Armstrong can be reached at armstrong@corderycompliance.com
- Jonathan Marks is Partner, Firm Practice Leader – Global Forensic, Compliance & Integrity Services at Baker Tilly. Marks can be reached at marks@bakertilly.com
The host and producer (and sometime panelist) of Everything Compliance is Tom Fox the Voice of Compliance. He can be reached at tfox@tfoxlaw.com. Everything Compliance is a part of the Compliance Podcast Network.