Skip to main content

Compliance Dictionary

Financial reporting related enforcement actions concerning civil lawsuits brought by the Commission in federal court and notices and orders concerning the institution and/or settlement of administrative proceedings

Commonly referred to as the Stimulus or Recovery Act: An economic stimulus package with the goals of creating new jobs and saving existing ones, spurring economic activity and investment in long-term growth, and to foster unprecedented levels of accountability and transparency in government spending

Prohibits discrimination against people with disabilities in employment, transportation, public accommodation, communications, and governmental activities. 

Laws that encourage or require US firms not to participate in foreign boycotts that the US does not sanction

A set of procedures, laws or regulations designed to stop the practice of generating income through illegal actions.

Prohibits the solicitation, receiving, offering, or paying of any remuneration directly or indirectly in cash or in kind in exchange.

Of or relating to legislation preventing or controlling trusts or other monopolies, with the intention of promoting competition in business

The Asia-Pacific economic forum supports sustainable economic growth and prosperity in the Asia-Pacific region by turning policy goals into concrete results and agreements into tangible benefits.  Current members are Australia, Brunei Darussalam, Canada, Chile, People's Republic of China, Hong Kong China, Indonesia, Japan, Republic Korean, Malaysia, Mexico, New Zealand, Papua New Guinea, Peru, The Philippines, Russia, Singapore, Chinese Taipei, Thailand, The United States, and Vietnam.

US prosecutors who investigate criminal cases and prosecute the suspects.

An official inspection of an individual's or organization's accounts, typically by an independent body. 

Part of the US Department of Commerce responsible for implementing and enforcing the laws that regulate the export and re-export of commercial items

Bloomberg BNA, formerly known as the Bureau of National Affairs, Inc. Wholly-owned subsidiary of Bloomberg LP, and a source of legal, tax, regulatory, and business information for professionals.

Law enacted in 2003 that sets the rules for commercial email, establishes requirements for commercial messages, gives recipients the right to have you stop emailing them, and lists penalties for violations.

The 1996 U.S. civil settlement of Caremark International, Inc. in which an imposed corporate integrity agreement precluded Caremark from providing health care in certain forms for a period of five years. Also suggests that the failure of a corporate director to attempt in good faith to institute a compliance program in certain situations may be a breach of a director’s fiduciary obligation.

Autonomous, nonpartisan, nonprofit public policy advocacy organization dedicated to enhancing investor confidence and public trust in the global capital markets.

Someone with knowledge of relevant regulations and expertise in compliance processes sufficient to assist organizations with their legal obligations, and someone who promotes organizational integrity through the operation of effective compliance programs.

A professional with more than 10 years of knowledge and experience working with relevant regulations and expertise in compliance processes.

Someone with knowledge of relevant regulations and expertise in compliance processes sufficient to assist organizations with their legal obligations, and someone who promotes organizational integrity through the operation of effective compliance programs.

A credential that denotes proven expertise in fraud prevention, detection, and deterrence. 

A certification that denotes proven professional knowledge of the internal audit profession. 

An accountant who has fulfilled the requirements of state law to be a public accountant and the passed uniform CPA examination administered by the American Institute of Certified Public Accountants

The hierarchy of reporting structure within an organization, which assumes all issues, will be presented first to one’s immediate supervisor.

Systematic approach to dealing with change both from the perspective of an organization and the individual.

High-level independent corporate executive with overall responsibility for the internal audit function. 

Corporate official in charge of overseeing and managing compliance issues within an organization, ensuring the company is complying with regulatory requirements and company employees are complying with internal policies and procedures.

Position of the most senior corporate officer or administrator in charge of managing an organization.

Corporate officer primarily responsible for managing the financial risk of an organization. This officer is also responsible for financial planning and record-keeping as well as financial reporting to higher management. 

Corporate executive tasked with assessing and mitigating significant competitive, regulatory, and technological risks across the enterprise. 

Regulations which apply to any claim for an item or service that was not provided as claimed or that was knowingly submitted as false and which provides guidelines for the levying of fines for such offences.

A set of rules outlining the social norms and rules and responsibilities of, or proper practices for, an individual, party or organization.

List of items under the export control jurisdiction of BIS. 

A group of individuals that have been appointed to evaluate and set the pay rate for senior level management.

Also: Corporate Compliance. Adherence to the laws and regulations passed by official regulating bodies as well as general principles of ethical conduct. In the United States, such regulating bodies include the U.S. Congress; federal executive departments and federal agencies and commissions; and corresponding state-level 

An organization that has developed criteria to determine competence in the practice of compliance and ethics across various industries and specialty areas, and recognizes individuals meeting these criteria through its compliance certification programs.

An employee whose responsibilities include ensuring that the company complies with its outside regulatory requirements and internal policies. 

The internal programs and policy decisions made by a company in order to meet the standards set by government regulations and laws. 

Section 1502 of the Dodd-Frank Consumer Protection Act addresses the international trade an use of "conflict minerals." This refers to raw materials, including columbite-tantalite, also known as coltan; cassiterite (tin); gold; wolframite (tungsten); or their derivatives; or any other mineral or its derivatives determined by the Secretary of State to be financing conflict in the Democratic Republic of Congo or an adjoining country. 

FAR 52.203-13. Government contractors must now establish standards and procedures to facilitate timely discovery of impropoer conduct in connection with government contracts, and ensure that corrective measures are promptly instituted and carried out should a problem exist. 

Also: Consent Decrees. A negotiated settlement between a organization and the government in which the provider accepts no liability but must agree to implement a strict plan of government-supervised corrective action.

The continuing commitment by a business to contribute to economic development while improving the quality of life of the workforce and their families, as well as of the community and society at large. 

(of the Treadway Commission): A joint initiative of five private sector organizations dedicated to providing thought leadership through the development of frameworks and guidance on enterprise risk management, internal control and fraud deterrence. 

A concept that relates to the preparedness and response to serious incidents that involve the critical infrastructure of a region or nation. The American Presidential directive PDD-63 (May 1998) set up a national program. 

Part of the U.S. Sentencing Commission guidelines for the Sentencing of Organizations, a system that adds points for aggravating factors and subtracts points for mitigating factors in the determination of fines imposed for fraud or abuse.

The state of being protected against the criminal or unauthorized use of electronic data, or the measures take to achieve this.

An incident in which sensitive, protected, or confidential data has potentially been viewed, stolen, or used in an unauthorized manner. 

Used by the Department of Defense that provides specific acquisition regulations that DoD government officials and those contracted to do business with the DoD, must follow in the procurement process for goods and services.  

A consortium of US defense industry contractors which subscribes to a set of principles for achieving high standards of business ethics and conduct.

Executive branch department responsible for developing policies for effective use of the nation's energy resources; involved in energy conservation, regulating oil pipelines, and encouraging research on new sources of energy.

US principal agency for protecting the health of all Americans and providing essential human services, especially for those who are least able to help themselves. Also responsible for administration of Medicare and Medicaid programs. 

Each state has a separate one established to oversee and regulate all types of insurance sold within the state's borders

Legal power of the commissioner of Internal Revenue to approve any classification of employees that does not discriminate in favor of a prohibited group. Such approval is necessary before a retirement plan can be a qualified pension plan and thus subject to tax benefits. 

Broad-sweeping legislation passed in 2010, to promote the financial stability of the US by improving accountability and transparency in the financial system and to end "too big to fail", to protect the American taxpaer by ending bailouts, and to protect consumers from abusinve financial services practices. 

Reasonable steps taken by a person in order to satisfy a legal requirement, especially in buying and selling. 

Executive branch department headed by the attorney general, which administers the Federal Bureau of Investigation (FBI), prosecutes violations of federal law, and is responsible for enforcing all civil rights legislation.

Federal law that sets standards of protection for individuals in most voluntary, established, private-sector retirement plans. 

Agency of the US federal government whose mission is to protect human and environmental health. 

US law that makes it unlawful for any creditor to discriminate against any applicant with respect to any aspect of a credit transaction, on the basis of race, color, religion, national origin, sex, marital status, or age. 

U.S. agency created in 1964 to end discrimination based on race, religion, sex, or national origin in employment. The commission reviews and investigates charges of discrimination and, if found to be true, attempts remedy through conciliation or legal means

A politico-economic union of 28 member states that are located primarily in Europe. The EU operates through a system of supranational institutions and intergovernmental-negotiated decisions by the member states. 

Numbers used in the Export Administration Regulations to determine control and export license requirements. 

Federal legislation that promotes accuracy, fairness, and privacy for data used by consumer reporting agencies.

US law that sets out various labor regulations regarding interstate commerce employment, including minimum wage, requirements for overtime pay, and limitations on child labor. 

Originally adopted by the U.S. Congress in 1863 during the Civil War to discourage suppliers from overcharging the federal government, legislation that prohibits anyone from knowingly submitting or causing to be submitted a false or fraudulent claim.

Federal legislation that protects the privacy of students' personally identifiable information. The act applies to all educational institutions that receive federal funds. 

Federal law requiring covered employers to provide employees job-protected and unpaid leave for qualified medical and family reasons.

Principal set of rules governing the acquisition process by which the US federal government purchases goods and services. 

The domestic intelligence and security service of the US, which also serves as the US's prime Federal law enforcement organization. 

US government corporation operating as an independent agency. Serves to insure deposits in the US against bank failure.

Federal agency with jurisdiction over interstate electricity sales, wholesale electric rates, hydroelectric licensing, natural gas pricing, and oil pipeline rates.

Guidelines developed by the U.S. Sentencing Commission, an independent agency in the judicial branch of government established by the 1984 Sentencing Reform Act, to govern the sentencing of individual defendants (1987) and organizations (1991).

US government agency tasked to prevent anti-competitive, deceptive, or unfair business practices. 

Law adopted by the U.S. Congress in 1977 that prohibits the bribery of foreign officials to obtain or retain business. The law also requires public corporations to maintain accurate books and records and establish an adequate system of internal accounting controls.

A deception deliberately practiced in order to secure unfair or unlawful gain.

Law that gives American citizens the right to acces information from the federal government. 

The federal agency that manages the federal government’s property and records, including the construction and operation of buildings and procurement and distribution of supplies, among other functions.

Federal legislation that makes it unlawful to discriminate against individuals on the basis of their genetic profiles in regard to health insurance and employment.

Government agency that provides auditing, evaluation, and investigative services for US Congress. It is the supreme audit institution of the federal government. 

Law that requires financial institutions - companies that offer consumers financial products or services like loans, financial or investment advice, or insurance - to explain their information-sharing practices to their customers and to safeguard sensitive data. 

Non-departmental public body of the UK, responsible for the encouragement, regulation and enforcement of workplace health, safety and welfare and for research into occupational risks in England and Wales and Scotland. 

Rule regarding the adoption and meaningful use of health information technology. HITECH addresses privacy concerns associated with the electronic transmission of health information, in part through provisions that strengthen the civil and criminal enforcement of the HIPAA rules. 

Rules enforced by the HHS Office for Civil Rights. HIPAA Privacy Rule protects the privacy of individually identifiable health information; the HIPAA Security Rule sets national standards for the security of electronic protected health information: the HIPAA Breach Notification Rule requires covered entities and business associates to provide notification following a breach of unsecured protected health information; and the confidentiality provisions of the Patient Safety Rule, which protect identifiable information being used to analyze patient safety events.

Amends parts of the Lobbying Disclosure Act of 1995 by strengthening public disclosure requirements concerning lobbying activities and funding, placing more restrictions on gifts for members of Congress and their staff, and providing for mandatory disclosure of earmarks in expenditure bills. 

US Federal law enforcement agency under the Department of Homeland Security, responsible for identifying, investigating, and dismantling vulnerabilities regarding the nation's border, economic, transportation, and infrastructure security. 

An officer of a federal agency whose primary function is to conduct and supervise audits and investigations relating to operations and procedures over which the agency has jurisdiction.

International Financial Reporting Standards (IFRS) are a set of international accounting standards stating how particular types of transactions and other events should be reported in financial statements. IFRS are issued by the International Accounting Standards Board, and they specify exactly how accountants must maintain and report their accounts. IFRS were established in order to have a common accounting language, so business and accounts can be understood from company to company and country to country.

Independent non-governmental membership organization and the world's largest developer of voluntary international standards. Made up of 162 member countries who are the national standards bodies around the world, with a Central Secretariat based in Geneva, Switzerland.

International standard that specifies requirements for a quality management system. Organizations use the standard to demonstrate the ability to consistently provide products and services that meet customer and regulatory requirements. 

Was legislation aimed at bringing a level of accountability to federal lobbying practices in the US. The law was amended substantially by the Honest Leadership and Open Government Act of 2007. 

Enacted by US Congress to protect the rights of employees and employers, to encourage collective bargaining, and to curtail certain private sector labor and management practices, which can harm the general welfare of workers, businesses and the US economy. 

Guidelines issued by the various Inspector General offices for the suggested development of compliance programs. Most notably, the Department of Health and Human Services OIG issues ongoing compliance guidance to assist health care organizations in achieving compliance with the multitude of health-care regulations established by Congress and the Centers for Medicare and Medicaid Services.

Initiative of the World Economic Forum that was launched by CEOs in the engineering, construction, energy, metals, and mining industries in 2004, as a platform for peer exchange on practical experience and handling difficult situations. 

Canadian law relating to data privacy, governing how private sector organizations collect, use, and disclose personal information in the course of commercial business.

The process of identifying variables that have the potential to negatively impact an organization's ability to conduct business. 

The forecasting and identification of potential risks in advance, analyzing them, and taking precautionary steps to reduce/curb the risk. 

An act passed to protect investors from the possibility of fraudulent accounting activities of corporations. The act mandated strict reforms to improve financial disclosures and transparency from corporations to prevent accounting fraud. 

US government entity protects investors, maintains fair, orderly, and efficient market, and facilitates capital formation.

Independent UK government department that investigates and prosecutes serious or complex fraud and corruption. Jurisdiction: England, Wales, Northern Ireland.

Non-governmental organization that monitors and publicizes corporate and political corruption in international development. 

Law adopted by UK Parliament that prohibits the bribery of foreign officials to gain business. Unlike the FCPA, this act imposes strict liability upon companies for failure to prevent bribes being given. The only defense is that the company had adequate internal procedures designed to prevent bribery. 

US government agency primarily responsible for administering civilian foreign aid. 

Agency responsible for the establishment of sentencing policies and procedures for the federal court system. Developed the US Sentencing Guidelines. 

Rules that set out a uniform sentencing policy for individuals and organizations convicted of felonies and Class A misdemeanors. Commonly known as the basis for enacting corporate compliance and ethics programs. 

Anti-terrorism law enacted in the US in October 2001. The law gave new powers to the U.S. Department of Justice, the National Security Agency and other federal agencies on domestic and international surveillance of electronic communications; it also removed legal barriers that had blocked law enforcement, intelligence and defense agencies from sharing information about potential terrorist threats and coordinating efforts to respond to them.

A person who informs on a person or organization engaged in illicit activity. 

DOJ memo released in September 2015 titled "Individual Accountability for Corporate Wrongdoing".  The memo prioritizes the manner in which government civil and criminal law enforcement investigations are conducted, widely seen as calling for a substantially increased focus on individual accountability for corporate wrongdoing. The Yates Memo outlines 3 key areas of focus: Individuals, limited release of individuals when resolving corporate cases, and relevance of individual ability to pay.