Voluntary Corporate Disclosures on the Rise

In a recent development, the Department of Justice (DOJ) has reported an increase in the number of companies voluntarily disclosing potential criminal misconduct. This follows the DOJ’s announcement of an expanded self-disclosure policy earlier this year. Under this policy, companies that disclose wrongdoing, fully cooperate, and rectify underlying issues may be eligible for discounts on financial penalties or even a promise that prosecutors won’t bring a case altogether. Assistant Attorney General Kenneth Polite Jr. shared these insights at a white-collar crime conference hosted by the New York City Bar Association. 1

Crypto Hacks Fall by 70% in Q1 2023

The first quarter of 2023 has seen a significant decrease in crypto hacks, with a reported fall of 70%. Ari Redbord of TRM Labs discussed this new research on CNBC’s Crypto World, attributing the decline to improved security measures within the crypto industry. 2

DOJ Penalizes Sciens Diversified Managers for Compliance Failure

The Securities and Exchange Commission (SEC) has penalized Sciens Diversified Managers for not having a proper policy for valuing fund assets. This failure, according to the SEC, can lead firms to overcharge investors for fund management fees. As part of the settlement, Sciens has agreed to pay a $275,000 penalty and hire a consultant to review its policies for valuing assets and calculating fees. 3

OFAC Sanctions Crypto Wallets Tied to North Korea

In a move to curb illicit activities, the Office of Foreign Assets Control (OFAC) has sanctioned crypto wallets linked to North Korea. This news comes amidst a significant drop in Bitcoin and Ether prices, as discussed by Leo Mizuhara of Hashnote on CNBC’s Crypto World. 4


1.         WSJ – DOJ Says More Companies Are Voluntarily Disclosing Possible Wrongdoing

2.         CNBC – Do Kwon’s bail revoked in Montenegro, and study finds crypto hacks fell 70% in Q1

3.         WSJ – SEC Penalizes Private-Fund Manager Sciens for Compliance Failure

4.         CNBC – Bitcoin sinks to $26,000, and OFAC sanctions crypto wallets tied to North Korea