The Biden Administration recently announced its dedication and commitment to combatting international corruption. Corruption not only has a huge financial impact on governments worldwide, but also affects human capital and social services. Over the past several years, the global cost of corruption was estimated to range anywhere from 2% to 5% or more of global gross domestic product—or as high as $3.6 trillion per year. While some countries are affected by corruption more than others, the effects trickle through the global economy and at some point, touch the lives of everyday Americans.
In his June 3, 2021, Memorandum on Establishing the Fight Against Corruption as a Core United States National Security Interest, President Biden outlined the steps his administration seeks to implement to counteract corruption. In addition to efforts to promote good governance, President Biden highlighted the importance of bringing transparency to financial systems in the United States and globally to combat formation of anonymous shell companies, opaque financial systems, and restricting the movement and laundering of illicit wealth.
A 2017 study from Transparency International showed that 25% of worldwide respondents had to pay a bribe to access public services in the prior 12 months. The good news from the Transparency survey, however, was more than half of the respondents felt empowered to make a difference.
Whistleblowing is one of the most effective ways to detect and prevent corruption and other malpractice. For instance, the Foreign Corrupt Practices Act (FCPA) prohibits individuals or companies from paying bribes to foreign officials for assistance in obtaining or retaining business. The Act also specifies certain accounting provisions that mandate businesses maintain accurate records of transactions and implement a system of internal accounting controls. Many FCPA violations also result in the violation of securities laws—opening the door for whistleblowers to submit a tip to the Securities and Exchange Commission (SEC). If the information provided by the whistleblower results in a successful enforcement action in which the SEC collects monetary sanctions over $1 million, the whistleblower may receive between 10% and 30% of the monetary sanctions.
With more than 30 years of experience, the attorneys on Baron & Budd’s whistleblower representation team have represented dozens of clients in government fraud cases returning over $5.4 billion to federal and state agencies, with whistleblower recovery shares as high as 49%. They are ready to help if you have evidence of FCPA violations or other unlawful corruption.
Please call (866) 401-5971 or complete our contact form if you would like more information. For more information, see What You Need to Know About Becoming a Whistleblower. Please understand that contacting us does not mean that you have established an attorney-client relationship with Baron & Budd, P.C.