Sam Wolff and Wynn Segall Comment on SEC Crackdown of Sanctions Violations
Sam Wolff and Wynn Segall, partners in Akin Gump’s corporate and international trade practices, respectively, are quoted in the Compliance Week article “Are Your Third Parties Violating Sanctions Against Iran, Syria?” which looks at recent moves by regulators to crack down on companies doing business in those countries—even if through third parties.
The article says the Securities and Exchange Commission is among those playing a larger role in tightening restrictions on such activity. Wolff pointed to a recent SEC comment letter for insight into the commission’s expanded role in pursuing violations of country sanctions. In addition to monitoring “outside sources” or the news media, Wolff said the SEC has added “another jurisdictional hook” by indicating that offending companies will be reported to key U.S. sanctions enforcement agencies.
Segall talked about the implications for companies that file disclosure statements, saying that “the potential legal exposure a company could encounter if it is not in compliance with applicable U.S. sanctions laws” is substantial. He pointed out that many companies are working hard to determine whether they need to file those disclosures.
This article follows a posting on the same topic on the AG Deal Diary blog, which can be viewed by clicking here.