In foreign countries like America have two classifications of law one are codified law and the other is uncodified law. These two laws prescribe the formation of the federal government in America. The federal pre-emption is the limited scope because the federal government is only for the American people and not for universal. Other than this in America, the law is classified into five sources namely constitution, treaties, and administrative. These are the five classifications of common laws.
Will the FCPA is getting better in America? (Mach Investigations )
This act is the hottest 42-year-old topic out there and there also seems to be keeping it relevant. Companies are asking of will the momentum change or will it shift. But the reality is the UK came out with a similar act and the foreign governments have started to crack down on corruption themselves there have been presidential and regime changes in different countries. We all know about their campaign mission was to eradicate corruption so something that always keeps this at the forefront. The environment is a challenge for companies of operating multinational and the regulators have been strong. So what we have is international governments sharing information like never before. Going after cases and jointly prosecuting them about themselves create quite a bit of challenge and you should have a strong focus on individuals. So no only companies but is there a bad actor within the company and should be held accountable and that could be the CEO and they could be the CFO that could be a board member so definitely a very challenging environment and similar to when we talked about the whistle-blowers. The government makes it more beneficial for multi-national companies. Not only for MNC companies also for some small companies to come forward. This is to talk about the issues that voluntarily disclose them corporate so if we put together a challenging environment with a way to get out and talk about this it makes it more interesting for the companies.
There are two sides of the company that have been through a crisis so they had an international challenge or they may have a risk or compliance issue pop for them they tend to get it. They also tend to focus on the issue or they tend to invest the issue. Or they tend to how about how to impact the business.
The challenge would describe operating globally May they have or had a crisis in their past.
Every businessman should not wait for the crisis to happen. Always be prepared. And think about in terms of getting a compliance program stood up. There are varieties of tools available in the middle of the digital evolution and also revolution there is a lot of information available. And the management should always be innovative about how to access risk and how to pull things together globally and how to look at third-party relationships. These are challenges that we should be ready to face it. Before starting business know completely about the state and local law.