Investigating the risk associated with a proposed sale
For a major US law firm, Nardello & Co. conducted an investigation of a senior executive at a government-owned company in the Gulf Region.
The law firm’s client, a multinational conglomerate, had been approached by the executive for payment in return for facilitating its sale of equipment to the government-owned company. Through a series of confidential source inquiries, we determined that the executive had relatives who were situated close to the political center of power. Additionally, a review of Arabic and English language public sources and inquiries with country experts revealed that this country’s government had been clamping down on corruption following a series of local scandals.
Based on our findings and our determination that an exchange for services could be in violation of a number of international laws, including the FCPA, the law firm advised its client to withdraw from the proposed sale and discontinue its dealings with the corrupt senior executive.
