The Securities and Exchange Commission has filed a lawsuit in Pensylvania federal court charging transition management brokerage Global Transition Solutions of charging over $13 million in hidden fees by coordinating with routing brokers to impose markups on the transactions and splitting the proceeds. One of the routing brokerages used by GTS is Bermuda-based ConvergEx...
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Category: Foreign Fraud
FBI asked to help probe whether Paul Manafort received $2.7 million in secret Kiev cash payments
According to an article in the British newspaper the Times, The Federal Bureau of Investigation (FBI) has been asked by detectives from the Ukrainian National anti-Corruption Bureau to help them determine whether Paul Manafort actually received $12.7 million from the pro-Russian party of Ukraine's former president Yanukovyen. Information in a ledger was released which...
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State Street Bank to pay $530 million to end probe of its overcharge of foreign exchange trades
The State Street Corporation of Boston has agreed to pay the government $530 million to end an investigation which charged that it overcharged pension funds, mutual funds and hundreds of other clients concerning the cost of currency on foreign trades. State Street admitted to the US attorney that, despite promising to get customers...
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Donald Trump says U.S. law against foreign bribes is horrible law
A federal law called the Foreign Corrupt Practices Act prohibits U.S. companies for paying foreign officials or their families in order to obtain contracts with foreign nations. Back in 2012, long before his current presidential campaign, Trump said laws such as the Foreign Corrupt Practices Act (FCPA), "should be changed."...
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State Street set to settle case over foreign exchange rates for $500 Mill says WSJ
The State Street Corporation is preparing to settle with the Securities and Exchange Commission and The U.S. Department of Labor for over $500 million regarding allegations that it unlawfully overcharged clients on foreign currency transactions. This, according to the Wall Street Journal and also based on the fact that in June 2015, the bank...
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Novartis under criminal investigation by South Korea for allegations of kickbacks to doctors
Swiss pharmaceutical manufacturer Novartis AG is under criminal investigation by South Korea for allegations of offering kickbacks to doctors who used its products. The kickbacks may have been in the form of rebates to those physicians prescribing the company products.
The investigation comes a month after Novartis agreed to pay $25 million to the US...
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Novartis to pay $25 million to settle S.E.C. sanctions action for foreign China bribes investigation
The Securities and Exchange Commission announced last week that it deems it appropriate and in the public interest that public administrative and cease and desist proceedings be issued under the SEC Act against Swiss pharma giant Novartis (NOVN: VX), alleging bribery activities in China.
The SEC statement said: "From at least 2009 to 2013, certain...
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Cayman Islands companies plead guilty to helping US taxpayers hide $130 million
Two financial firms, Cayman National Securities Ltd. and Cayman National Trust Ltd. both affiliates with Cayman National Corp., based in the Cayman Islands have pleaded guilty to helping U.S. taxpayers hide more than $130 million in offshore accounts, the Justice Department said Wednesday.
All of those companies provided investment brokerage and trust management services to...
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DOJ finally getting tough on foreign bribes by U.S. companies
According to a report by Trace International, over 126 investigations of foreign bribes by US companies have been engaged.The report also noted an increase of U.S. bribery enforcement in the category of manufacturers and service providers. The report also found twice the number of investigations by countries policing their own officials for alleged bribery...
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Medical equipment endoscopy company pays $623.2 million for kickbacks to foreign docs
The United States' largest distributor of endoscopes and related equipment will pay $623.2 million to resolve criminal charges and civil claims relating to a scheme to pay kickbacks to doctors and hospitals, U.S. Attorney Paul J. Fishman of the District of New Jersey and Principal Deputy Assistant Attorney General Benjamin C. Mizer of the...
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