In the 31st issue of the Market News Bulletin, which we prepared as the Irregularity Prevention, Investigation, Commercial Dispute and Compliance Consultancy team, we compiled the developments in the field of ethics and compliance last January and February from publicly available sources. We wish you pleasant reading.
Highlights from our newsletter:
Ethics & Compliance & AML & ABC Agenda
News from World
It was determined that Coinbase, the only public cryptocurrency exchange, allowed its customers to open accounts without sufficient background checks. In its settlement with the New York State Department of Financial Services (NYDFS), in addition to the $50 million fine, Coinbase agreed to invest $50 million to improve its compliance process.
In 2018, the identity verification practices of the cryptocurrency exchange Binance were found insufficient by the US authorities, and an investigation was launched upon suspicion that transactions related to money laundering may have been carried out. In the ongoing investigation, some hedge funds were subpoenaed to examine the relationship between Binance and hedge funds.
Fraud News
News from World
The European Parliament (EP) agreed to take stricter measures to combat corruption following the bribery scandal originating from Qatar and Morocco, in which some MPs were implicated. This new 14-article regulation will prevent those whose parliamentary duties have ended from engaging in lobbying activities on behalf of businesses or governments.
Of the $2.2 billion in False Claim Act settlements and verdicts reported by the U.S. Department of Justice (DOJ) last fiscal year, more than $1.7 billion in total involved healthcare matters such as pharmaceutical and medical device manufacturers and durable medical equipment. announced. It was stated that the US government was a party to a total of 351 settlements and resolutions in a single fiscal year, the general topics of which were corruption related to the health sector and illegal kickbacks.
News from Turkey
Energy Markets Regulatory Authority (EPDK) decided to open an administrative investigation against 40 companies and pay back 10 billion 208 million 222 thousand 680 TL due to false notifications made to Energy Markets Management Inc. (EPİAŞ) accidentally or intentionally. gave. It was stated that this amount, which exceeds 11 billion TL with interest, will be reflected directly on the consumers’ invoices as a cost reduction.
Istanbul Police Department’s Financial Crimes Fighting Branch Directorate teams started an investigation against the suspects who caused damage to the public through fictitious exports, forgery of official documents and bribery. 11 suspects were detained in operations carried out in 6 provinces centered in Istanbul.
Arbitration
Arbitration in the World
The Swiss Arbitration Center recently announced the new “Swiss Supplementary Rules for Corporate Law Disputes” and a model statutory arbitration clause. These rules came into force on January 1, together with the new Article 697n of the Swiss Code of Obligations (CO).
Azerbaijan stated that it initiated an arbitration process against Armenia within the scope of the Council of Europe’s (EC) “Convention for the Protection of Wildlife and Habitats” (Bern Convention) due to the large-scale damage it caused to the environment and biodiversity in Azerbaijani territory during the 30-year occupation period.
Protection of Personal Data
News from World
European data regulators announced that a total of 2.92 billion euros in fines were imposed in 2022. According to international law firm DLA Piper’s General Data Protection Regulation (GDPR) and Data Breach Investigation, which covers 27 European Union (EU) member states, as well as the United Kingdom, Norway, Iceland and Liechtenstein, fines in 2022 will increase compared to the previous year. increased by 168 percent compared to
News from Turkey
Administrative fines for those who violate the confidentiality of personal information have been updated. While the penalty for failure to fulfill the disclosure obligation increased by 122 percent to 29 thousand 852 TL this year, the penalty imposed in case of violation of data security responsibility was updated to 89 thousand 571 TL.
Competition Agenda
News from World
The Romanian Competition Authority, which found that Aon Romania, Assigurazioni Generali S.p.A., Generali Romania and Omniasig Vienna Insurance Group companies made an agreement targeting large customers to determine prices in the aviation insurance market, fined the companies a total of 3 million euros.
News from Turkey
Following the allegations that private school fees were increased higher than the determined rate, a preliminary investigation was carried out within the framework of the Competition Law’s article “prohibiting agreements between undertakings that will directly or indirectly lead to obstruction of competition”. Based on the findings of this preliminary investigation, the Competition Authority launched an investigation into many private schools.