The Department of Justice and the Securities and Exchange Commission began using corporate monitors in 2008 as an enforcement tool and a way to enhance corporate compliance and good corporate governance. Companies may be able to avoid prosecution or reduce penalties if they agree to a corporate monitorship. A corporate monitor is an independent third-party used to verify a company’s compliance with a formal agreement with the government, typically a Deferred Prosecution Agreement or a Non-Prosecution Agreement. The monitor is not retained to re-investigate the matter, nor provide legal advice to the company, but is there to observe, test and report. The monitor prepares quarterly reports for the government detailing the progress of the monitorship and the company’s satisfaction of any agreement with the government. The monitored company is permitted to comment on the quarterly reports after they are submitted to the government.
The monitor is selected by the target of a government investigation and approved by the prosecuting agency. Clark Hill is part of a small group of firms with experience serving as a corporate monitor. Choosing a monitor with this unique and proven experience is not only important to the company, but is also a litmus test for the government.
Facilitated and ensured City cooperation with federal investigations, including for U.S. v. Sorich and U.S. v. Sanchez Shakman/patronage cases and Operation Crooked Code bribery cases
Oversaw major employee qualification audit arising out of municipal patronage hiring.
Represented a Mexican national in a FCPA investigation.
Represented a Chinese corporation in a parallel criminal and civil investigation by Department of Justice and Department of Commerce concerning alleged violations of the International Emergency Economic Powers Act (IEEPA) and Export Administration Regulations.
Represented an individual in SEC v. Concorde America, et al., (SD Fla.), as well as in a parallel grand jury investigation being conducted in the Western District of North Carolina. Negotiated settlement with SEC and plea agreement with U.S. Attorney.
Wedtech Corruption Investigation, Public corruption investigation of the Wedtech Corporation that resulted in the convictions of more than 30 individuals. Member of the prosecution trial team in the trial of United States v. Biaggi, et al., (S.D.N.Y.). The trial resulted in the conviction of Congressman Mario Biaggi, Bronx Borough President Stanley Simon, SBA Regional Administrator Peter J. Neglia, National Guard General Bernard Erlich, and Richard Biaggi, for RICO, RICO conspiracy, extortion, mail fraud, tax evasion, and perjury.
United States v. Pirollo, et al., investigation and prosecution of 23 defendants for narcotics trafficking, participating in a continuing criminal enterprise and related charges in a large-scale methamphetamine manufacturing and distribution organization.
United States v. Hvide Marine and United States v. William Coleman, both were investigations and prosecutions of illegal payments to a union official in violation of the Taft-Hartley Act.
United States v. DeFries, et al., the first successful criminal RICO prosecution of the governing body of a labor organization, which resulted in the conviction of 18 officials of the Marine Engineers Beneficial Association (MEBA), for RICO, RICO conspiracy, embezzlement, extortion, and mail fraud.
Represented a high-ranking official of an International Union in a grand jury investigation concerning alleged union corruption and related criminal statutes.
Represented a top claims management services corporation in a federal grand jury investigation of alleged public corruption.
Represented a top four U.S. insurance company in a federal grand jury public corruption investigation.
Represented the President and officers of an Investment Company in parallel grand jury and SEC civil investigations.
Represented former WorldCom director and Chairman of the Compensation Committee throughout investigations by the DOJ and SEC, as well as in internal investigations.
Served as counsel to board of directors of regional financial institution and conducted an internal investigation concerning mortgage valuations.
Served as counsel to the Audit Committee of a publicly-traded insurance company and conducted several investigations on behalf of the Audit Committee.
Conducted internal investigation for management of major regional financial institution regarding allegations relating to mortgage broker payments and related issues.
State of New York v. Miguel Diaz, Conducted grand jury corruption investigation of Community School Boards in Bronx County resulting in Mr. Diaz’s conviction for bribery and attempted larceny for demanding payments from individuals seeking promotions. In addition to Mr. Diaz, three other school board members were convicted of larceny, bribery, and defrauding the government.
SEC v. Bluestone, et al., Civil enforcement action brought against five partners of a Detroit, Michigan law firm for insider trading. The defendants sold shares in Zenith Laboratories, Inc., based on non-public information obtained from one of their law partners who was a member of the Zenith Board of Directors.
United States v. Rennert, et al., investigation of a complex market manipulation scheme between a stock rental firm and numerous off-shore reinsurance companies that had booked manipulated stock on their financial statements resulting in the conviction of seven defendants for conspiracy, securities, and wire fraud
Provided advice and counsel to the Chairman of the Board of a Pacific Northwest financial institution concerning an investigation by the Federal Home Loan Bank Board.
Represented a large, northwest utility company in multiple FERC investigations concerning allegations of energy price manipulation relating to Enron.
Represented a national corporation in grand jury investigation of alleged violations of the Export Control Act.
Represented an accountant and his firm in a grand jury investigation of U.S. Congressman.
Represented two partners and their law firm in investigations by the Department of Justice and Railroad Retirement Board.
United States v. Bessant, et. al., investigation of four individuals concerning the valueless off-shore reinsurance companies used by the defendants in Teale, to assume reinsurance risk in exchange; these individuals received a percentage of the premiums earned knowing that the off-shore companies would not have the financial resources to pay claims. Among the individuals convicted were Dallas Bessant (RICO Conspiracy), Jerry Tidmore (RICO Conspiracy), Robert Campbell (RICO Conspiracy), and Matthew Bonar (wire fraud).
Represented a national corporation and certain officers in a criminal export control Act investigation.
United States v. Teale, et al., RICO investigation and prosecution of two defendants for operating an international fraudulent network of reinsurance companies and related insurance service companies. Defendants diverted millions in reinsurance premiums through sham contracts concealing the diversion by obtaining falsely inflated securities that were used as collateral for reinsurance contracts.
Represented an international corporation in a U.S. Customs and Border Protection investigation and enforcement proceeding concerning classification and valuation of imported products, and a U.S. Customs and Border Protection investigation concerning NAFTA compliance issues.
Counseled the Audit Committee of an international energy company regarding Sarbanes-Oxley compliance issues
Assisted several individuals seeking presidential pardons.
Represented a not-for-profit corporation that provides auditing and accreditation to media ratings services in matters relating to ongoing Congressional inquiries relating to rating services.
Provided advice and counsel to the CFO of a small, publicly-traded company concerning Sarbanes-Oxley issues.
Represented an individual seeking a Rule 35 sentence reduction.
Represented an international corporation in a matter relating illegal payments to union officials, including conducting an internal investigation for the client, and self-reporting to the Department of Justice.
Represented an investment advisor to a $1.3 billion investment fund specializing in Russian investments in potential civil RICO action against a multinational energy company and several Russian enterprises. The claim was ultimately settled before filing of the complaint.
Represented a regional financial institution, its board of directors and certain officers and employees in an ongoing federal grand jury money laundering and BSA investigation and related regulatory matters. None of the individuals were criminally charged.
Served as counsel for the management of a public Midwestern financial institution in connection with investigations by a federal grand jury, several regulatory agencies and audit committee investigations.
Represented a multi-billion bank in a grand jury investigation concerning allegations of fraud relating to a Department of Agriculture loan guarantee program.
Counseled management of a multi-billion bank on handling severe bank regulatory issues, potential criminal investigation and a special committee investigation.
Represented a digital currency issuer and related entities in a civil forfeiture proceeding.
Represented a third-party processor in a DOJ civil investigation and an FTC investigation concerning misleading sales practices.
Represented an investment adviser in an SEC investigation concerning alleged violations under registration requirements of the Investment Advisers Act.
Represented a third party processor in a grand jury investigation concerning alleged violations of the money laundering and money transmitting business statutes.
White Collar Criminal Defense/Internal Investigations - Conducted corporate internal investigations on behalf of audit committees of boards of directors of publicly-traded corporations and insurance companies.