Aggressive federal and state regulators are pushing the limits of governmental regulatory authority.  Government enforcement actions increasingly reach beyond the confines of administrative enforcement actions and include widespread criminalization of regulatory offenses. The Government Enforcement Practice at Ropes & Gray can help avoid, resolve, and mitigate the impact of government enforcement actions.

How We Help Our Clients

• We successfully represented a major financial institution in a grand jury investigation involving transactions with public officials.
• We represented a major pharmaceutical manufacturer in a lengthy grand jury investigation involving alleged violations of the anti-kickback statutes, and our client avoided indictment or other sanctions.
• We have successfully represented numerous clients, including issuers, investment advisors, and funds in SEC and other investigations and proceedings involving alleged violations of the federal securities laws, including insider trading prohibitions.
• We represented a major defense contractor in a lengthy federal criminal investigation involving alleged falsification of quality documentation, with the result being that no charges were brought against the corporation or any of its employees, a number of whom had previously been identified as targets of the government’s investigation. 
• We are currently representing a prominent national computer services provider in connection with alleged multimillion-dollar fraud and potential criminal export violations. 
• We represented an international portfolio manager in an SEC investigation and simultaneous state and federal grand jury investigations into the possible payment of improper compensation that resulted in an outcome favorable to our client.
• We are currently representing a Wall Street financial institution in connection with an intensive government regulatory investigation into alleged securities law violations.
• We represented a New England teaching hospital in a federal investigation into billing practices that was successfully concluded with no sanction or payback obligation being imposed on our client. 
• We are currently representing a group of prestigious teaching hospitals from three states in a nationwide investigation into allegations of improper billing for certain items and services.
• We represented a major financial institution in a multi-year criminal investigation involving allegations of conspiracy, bank fraud, and false statements on federal loan documents, and successfully persuaded the government to conclude its investigation without the return of any charges against our client, which had previously been identified as a target of the government’s investigation.
• We successfully defended a disease management company in a federal criminal investigation and parallel whistle-blower lawsuits brought under the Federal Civil False Claims Act in three federal districts.
• We successfully defended five academic medical centers in a nationwide investigation based in Seattle, Washington, that focused on billings to the Medicare program for the use of experimental and investigational cardiac devices.
• We successfully defended a prominent pharmaceutical manufacturer in a two-year grand jury investigation that focused on the company’s marketing practices and possible violations of the Massachusetts Healthcare Anti-Kickback statute.
• We successfully defended six university-based physician groups from around the country in a nationwide investigation by the Office of Inspector General for the Department of Health and Human Services known as the "Physicians at Teaching Hospitals" or "PATH" initiative.
• We defended a Midwest fabricator of culvert pipe in a joint civil/criminal False Claims Act investigation in the Middle District of Louisiana, and negotiated a purely civil resolution.
• We represented a corporation in criminal trial involving allegations of violation of federal campaign contribution laws, and currently are defending a national casino company in one enforcement action by the Federal Election Commission.
• We provided representation in numerous federal bank fraud cases including, grand juries, criminal trials and appeals arising out of the savings and loan crisis.
• We represented the CFO of a software company in an SEC enforcement and parallel class action litigation arising from procedures for handling revenue recognition.

Practice Focus Areas

Avoiding the Problem – Compliance Programs

The implementation of effective compliance programs can correct problems before they grow large.  We have crafted client- and industry-specific compliance programs to meet individualized needs.  Our compliance efforts begin with the particular needs of our clients; we incorporate industry standards, regulatory guidance, and the standards set by the Federal Sentencing Commission.  Our knowledge of emerging areas of regulatory concern permits us to tailor programs to the changing enforcement landscape.

A Response Appropriate to the Threat

Our greatest success comes when we can confront government regulators and prosecutors, and resolve their concerns before an enforcement action or prosecution starts.  We know that even the disclosure of such an investigation can injure clients, so our top priority is to resolve matters quickly and, if possible, without adverse publicity.

Internal Investigations

Our clients must respond when "whistleblowers" allege misconduct.  Audit and other board committees may also uncover irregularities in corporate practices.  In the post-Enron age, internal investigations must be swift and incisive, yet produce balanced and measured perspectives on the situation.  We can quickly and accurately deal with internal investigations, preserve the attorney-client privilege, and chart a vigorous internal response to allegations of misconduct.

When the Regulator Calls

When our clients face regulatory inquiries, subpoenas or investigative demands, we mobilize quickly to understand the nature of the investigation, organize and interpret potentially responsive documents, interview employees, and open dialogues with regulators and investigators.

Enforcement Actions

Sometimes the only choice is to fight.  We vigorously defend administrative, civil, or other enforcement actions, on both the state and federal level, drawing upon the entire resources of the firm in order to effectively represent our clients in these actions.  We count among our greatest strengths our ability to work with our colleagues who have a depth of knowledge in regulatory matters, including banking and finance, securities regulation, health care, pharmaceutical and life science regulation, import and export, and FDA.

The Criminal Process

Our clients are never in graver risk than when threatened with a criminal prosecution.  As former prosecutors and experienced white collar defense attorneys, we represent our clients vigorously in grand jury proceedings, bring creative approaches to the plea bargaining process, press to dismiss prosecutions and, if necessary, tenaciously pursue trial and appeal of criminal cases.

Our Clients

We represent financial institutions; national and international investment advisors; defense contractors; pharmaceutical manufacturers; hospitals; physician groups; banks; software companies; and other businesses.

Contact

For further information on this area of practice, please contact:

• Samuel J. Buffone 
• Michael K. Fee

---

©2009 Ropes & Gray LLP. All rights reserved.