Insights | Kobre & Kim — Disputes and Investigations

The new U.S. administration will likely continue to embrace economic sanctions as a tool for pressuring political adversaries abroad.
Recent moves include pressure on historically aligned nations such as Canada, Mexico, and Colombia and sanctions on the International Criminal Court (ICC).
Should relations between the U.S. and other governments or organizations shift from the status quo, at-risk entities and individuals may take proactive steps to mitigate potential risks.

The U.S. Department of Justice (DOJ) continues to expand its aggressive enforcement efforts of non-U.S. individuals in money laundering investigations.
Recent amendments to the statute of limitations for these violations have extended the prosecution timeframe from 5 to 7 years.
At-risk individuals should take proactive steps to ensure they are protected.

New rules proposed by the U.S. Financial Crimes Enforcement Network (FinCEN) would extend U.S. anti-money laundering program requirements to investment advisors.
This could become the latest move by U.S. authorities to scrutinize the assets and transactions of ultra-high-net-worth individuals, including those outside the U.S.
At-risk individuals and their advisors should take proactive steps to protect their legitimate interests.

The U.S. Department of Justice is continuing to extend its long arm jurisdiction into aggressively scrutinizing individuals in Latin America.
Many targets may become embroiled in what can be overstated allegations, threatening their assets, liberty and reputation.
Targets need to work with cross-border counsel knowledgeable in the DOJ’s tactics to push back as early as possible.

In recent history, investments originating from China have accounted for nearly a quarter of CFIUS reviews, with investments from the UK, Japan, Hong Kong, Israel and South Korea also among the most reviewed.
The U.S. has indicated it intends to more aggressively review and regulate foreign investment in industries that may implicate national security via the Committee on Foreign Investment in the United States (CFIUS), an interagency committee headed by the U.S. Department of Treasury.
While CFIUS is largely a voluntary regime, it is important for foreign investors to consider the potential implications of an investment in, or the purchase of, a U.S. company.

The U.S. Department of Justice (DOJ) and Commodity Futures Trading Commission (CFTC) are aggressively directing their enforcement resources to combat against digital currency traders in the UK and greater EMEA.
Counsel located in the UK and greater EMEA region needs to be aware of the risks involved with this new-found aggression and how to prepare for any U.S.-driven regulatory inquiries or subpoenas.
Firms representing European entities and individuals involved in cryptocurrency should be more comprehensive in their preparation.