More Securities Fraud Cases Now Involve Foreign Regulators

There has been much focus on the amount of cooperation between the U.S. Department of Justice and foreign law enforcement in the prosecution of white collar crime. Obviously Foreign Corrupt Practices Act investigations invoke international cooperation by their very nature, but whether it be subprime mortgage fraud or the massive London interbank offered rate investigations, it is clear that the DOJ is aggressively pursuing white collar crime wherever it occurs in the world.

Regulators, too, have been just as busy forging international coalitions amongst themselves, and it has shown in recent insider trading cases. The U.S. Securities and Exchange Commission in particular has heralded this effort and signed bilateral cooperative arrangements with a host of foreign governments and regulators.¹