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Red Flags Rising

Red Flags Rising: S01 E01 – DeepSeek’s Deep Impact on Export Controls

In the launch of Red Flags Rising, Mike and Brent explain the concept and purpose of the pod (00:00), a recent report by Gregory C. Allen of the Center for Strategic and International Studies on “DeepSeek, Huawei, Export Controls, and the Future of the U.S.-China AI Race” (linked below) (01:43), the report’s emphasis on backing strong regulations with strong enforcement (04:49) and the recently rediscovered “high probability” knowledge standard under the U.S. Export Administration Regulations (06:50), whether and how the Commerce Department’s enforcement capability is impacted by recent policy and personnel decisions (11:00), parallels to the U.S. Foreign Corrupt Practices Act (13:54), and conclude with the first-ever “Brent Carlson on Managing Up” segment, providing practical tips on what trade compliance professionals can do to explain to stakeholders, the c-suite, and boards the value proposition of export controls compliance today (19:43).

Resources:

Gregory C. Allen’s Report

Mike & Brent’s “Fresh Looks” Series

Brent LinkedIn

Mike LinkedIn

Categories
Daily Compliance News

Daily Compliance News: March 14, 2025, The $200 Transaction Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee, and listen in to the Daily Compliance News—all from the Compliance Podcast Network. Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.

Top stories include:

  • Treasury flags $200 transactions at the border. (WSJ)
  • Judge orders rehire of fired federal employees. (FT)
  • Server fraud claims in Singapore reach $390MM. (Reuters)
  • Huawei bribery scandal hits EU. (Politico)
Categories
Daily Compliance News

Daily Compliance News: March 11, 2025, The Shift in View Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee, and listen in to the Daily Compliance News—all from the Compliance Podcast Network. Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.

Top stories include:

  • Barclay’s CEO has shifted his view of Staley and Epstein. (FT)
  • US mulling ban of DeepSeek. (Reuters)
  • How AI can assist finance. (HBR)
  • SEC cancels license for Ecomamoni. (BusinessWorld)
Categories
Everything Compliance

Everything Compliance: Episode 150, The Musk On Edition

Welcome to this edition of the award-winning Everything Compliance. In this episode, Matt Kelly, Jonathan Armstrong, Jonathan Marks, Karen Woody, and Karen Moore join the full gang to examine various issues for compliance professionals under the incoming administration.

  1. Jonathan Armstrong looks at the car crash coming for DeepSeek in the EU. He shouts out to Peter Mandelson, the new UK Ambassador to the United States.
  2. Karen Moore looks at the reframing of DEI. She shouts out about the film on September 5.
  3. Matt Kelly considers the Bondi Memo on changes in DOJ enforcement focus and mentions Alexei Navalny’s memoir.
  4. Karen Woody examines the new SEC Crypto Taskforce and mentions the award-winning play Hadestown.
  5. Jonathan Marks provides a tutorial on the role of internal audit on export controls. He also shouts out to his hometown team, the Philadelphia Eagles (now the Super Bowl-winning Philadelphia Eagles).
  6. Tom Fox shouts out to (conspiracy) Bill Simmons for opining that the Dallas Maverick’s trade of Luka Doncic was a ploy to force the state of Texas to allow gambling in this state.

The members of Everything Compliance are:

The host and producer, rantor (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 award-winning Compliance Podcast Network.

For more information on the Ethico Toolkit for Middle Managers, available at no charge, by clicking here.

Categories
All Things Investigations

All Things Investigations – DeepSeek’s AI Revolution: Implications for Compliance and Security

Welcome to the Hughes Hubbard Anti-Corruption & Internal Investigations Practice Group’s podcast, All Things Investigation. In this podcast, host Tom Fox is joined by HHR Partner Mike Huneke and Brent Carlson from the Berkeley Research Group.

Brent Carlson and Mike Huneke review the recent DeepSeek AI announcement, which has stirred significant debate in the business and compliance sectors. Brent views this development as a “Sputnik moment” in the technology space, highlighting both the exciting potential and the profound implications for national security and corporate strategy, particularly due to the dual-use nature of AI technologies. On the other hand, Mike has expressed concern over the contentious debates surrounding export controls, emphasizing the necessity for robust compliance frameworks to mitigate liability risks and adapt to the evolving AI landscape. Together, they stress the importance of incorporating high probability standards and reliable inputs into compliance programs to effectively navigate the complex challenges of advanced AI technologies like DeepSeek, ensuring corporate citizenship and strategic advantage in this new era.

Key highlights:

  • Groundbreaking AI Progress Raises National Security Concerns
  • AI Market Disruption by DeepSeek Technology
  • High Probability Standard in Export Control Compliance
  • Subjective Judgment in Compliance Risk Assessment Framework
  • Red Flag Detection with Data Analytics Tools

Resources:

Hughes Hubbard & Reed website

Brent Carlson on LinkedIn

A Fresh Look at US Export Controls and Sanctions

DeepSeek Finds US Export Controls at a New ‘Sputnik Moment’ in Bloomberg Law

Categories
FCPA Compliance Report

FCPA Compliance Report – DeepSeek and the Sputnik Moment

Welcome to the award-winning FCPA Compliance Report, the longest-running podcast in compliance. In this episode, Tom welcomes back Mike Huneke and Brent Carlson for a special two-part podcast series on DeepSeek’s bombshell AI advancements announced on President Trump’s inauguration day. In Part 1, we reviewed the business and compliance implications, and in Part 2, they consider the Sputnik Moment that has occurred.

In this episode, we delve into the concept of the ‘Sputnik moment’ as it relates to the global race to dominate artificial intelligence (AI) technology in the 21st century. Our discussion highlights AI’s economic and military applications and its significance for the United States. The conversation touches on the role of compliance, enforcement, and the evolving regulatory landscape, including recent developments like the AI diffusion framework. The episode also explores the increasing responsibilities placed on U.S. companies and their compliance teams, especially concerning export controls and national security standards.

Key highlights:

  • Economic and Military Implications of AI
  • Compliance and Enforcement Challenges
  • The Role of Compliance Teams
  • Board of Directors’ Responsibilities

Resources:

Mike Huneke

Hughes Hubbard & Reed website

Brent Carlson on LinkedIn

A Fresh Look at US Export Controls and Sanctions

DeepSeek Finds US Export Controls at a New ‘Sputnik Moment’ in Bloomberg.Law

Tom Fox

Instagram

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For more information on the Ethico Toolkit for Middle Managers, available at no charge, click here.

Categories
FCPA Compliance Report

FCPA Compliance Report – DeepSeek and the Recalibration of Risk with Mike Huneke and Brent Carlson

Welcome to the award-winning FCPA Compliance Report, the longest-running podcast in compliance. In this episode, Tom welcomes back Mike Huneke and Brent Carlson for a special two-part podcast series on DeepSeek’s bombshell AI advancements announced on President Trump’s inauguration day. In Part 1, they review the business and compliance implications, and in Part 2, they consider the Sputnik Moment that has occurred.

In Part 1, they consider the immediate and significant repercussions in both the business and compliance landscapes. Key topics include the economic and geopolitical ramifications of DeepSeek’s innovations, changes in export control policies, and the unique compliance challenges AI technology poses. The discussion also examines how corporations can recalibrate their risk frameworks, integrate high-probability standards, and leverage data analytics to handle millions of transactions in a global economy. Emphasizing the importance of comprehensive compliance programs, the episode provides actionable insights for compliance professionals navigating this evolving landscape.

Key highlights:

  • DeepSeek’s AI Breakthrough
  • Economic and Compliance Implications
  • Export Controls and Legal Concerns
  • Compliance Strategies and Risk Management
  • Training and Organizational Culture

Resources

Mike Huneke

Hughes Hubbard & Reed website

Brent Carlson on LinkedIn

A Fresh Look at US Export Controls and Sanctions

DeepSeek Finds US Export Controls at a New ‘Sputnik Moment’ in Bloomberg.Law

Tom Fox

Instagram

Facebook

YouTube

Twitter

LinkedIn

For more information on the Ethico Toolkit for Middle Managers, available at no charge, click here.

Categories
FCPA Compliance Report

FCPA Compliance Report – Jag Lamba on Navigating Compliance Challenges in a Rapidly Changing World

Welcome to the award-winning FCPA Compliance Report, the longest-running podcast on compliance. In this episode, Tom welcomes Jag Lamba, CEO of Certa.AI, the podcast’s sponsor.

We look at the recent events involving economic and trade sanctions levied on Colombia (now withdrawn) and the announcement of DeepSeek as a cost-effective competitor to ChatGPT in the AI space to discuss how quickly your risks can change. We overlay this discussion through the lens of the DOJ’s 2024 Update on the Evaluation of Corporate Compliance Programs (2024 ECCP). Jag provides insights on how compliance officers can proactively manage risk amidst rapidly changing global landscapes by ensuring their programs are well-designed, adequately resourced, and effective. Key takeaways include the importance of data, controls, and technology in building robust compliance frameworks and using business impact and ROI to secure necessary resources.

Key highlights:

  • Current Events Impacting Compliance
  • 2024 ECCP-Designing a Well-Structured Compliance Program
  • 2024 ECCP-Adequate Resourcing for Compliance Programs
  • 2024 ECCP: Effectiveness of Compliance Programs in Practice
  • Proactive Risk Management Strategies
  • Export Controls and Compliance Challenges

Resources:

Jag Lamba on LinkedIn

Certa.ai

Categories
Daily Compliance News

Daily Compliance News: January 30, 2025, The Malicious Compliance Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee, and listen in to the Daily Compliance News—all from the Compliance Podcast Network. Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.

Top stories include:

  • Did the Chinese steal IP from ChatGPT? (WSJ)
  • Trump Administration complains that agencies are following its mandates. (The Atlantic)
  • Joe Wilson wants more FCPA and FEPA enforcement. (Newsweek)
  • Serbian PM resigns amid corruption probe. (ABC)

For more information on the Ethico Toolkit for Middle Managers, available at no charge, click here.

Check out The FCPA Survival Guide on Amazon.com.

Categories
Daily Compliance News

Daily Compliance News: January 29, 2025, The End to Black History Month Edition

Welcome to the Daily Compliance News. Each day, Tom Fox, the Voice of Compliance, brings you compliance-related stories to start your day. Sit back, enjoy a cup of morning coffee, and listen in to the Daily Compliance News—all from the Compliance Podcast Network. Each day, we consider four stories from the business world: compliance, ethics, risk management, leadership, or general interest for the compliance professional.

Top stories include:

  • State Department prohibited from celebrating Black History Month. (WSJ)
  • Is DeepSeek real? (FT)
  • DOJ Public Corruption Unit Chief resigns. (Bloomberg)
  • Using AI agents requires trust and compliance. (Bloomberg)

For more information on the Ethico Toolkit for Middle Managers, available at no charge, click here.

Check out The FCPA Survival Guide on Amazon.com.