Navigating the Evolving Landscape of Export Controls: Trends, Challenges, and Strategies

In March, U.S. Department of Commerce Secretary Howard Lutnick stated that the Bureau of Industry and Security (BIS) stands at the “intellectual frontline” of global security issues and warned of a “dramatic” increase in enforcement under the new administration. As export controls increasingly align alongside sanctions as a critical tool for addressing global security threats, leading risk managers at multinational corporations and financial institutions are developing capabilities and programs to address increasing regulatory requirements and expectations.

Watch industry leaders discuss the latest trends in export controls program developments and for insights on what to expect going forward. Panelists review recent enforcement trends, including where sanctions and export controls intersect. Discussion specifically addresses new administration priorities to include export controls relating to China’s military-civil fusion strategy and the return of maximum pressure on Iran. The session also features a real-world case study on best practices for detecting exposure to Russia evasion, explained by a senior risk manager from Bank of America, where open-source intelligence was used in past transactions to inform investigations, in line with OFAC and BIS guidance.

Speakers:

Matthew Axelrod, Partner, Gibson Dunn

Former Assistant Secretary for Export Enforcement
Bureau of Industry and Security (BIS)

Matthew is a nationally recognized white collar defense lawyer with deep criminal, national security, and export enforcement experience. Matthew’s practice focuses on internal investigations, crisis management, and white collar criminal defense for U.S. and multinational companies. Matthew co-chairs the firm’s Sanctions and Export Enforcement practice, where he works closely with clients to conduct internal investigations, evaluate compliance programs, advise on voluntary self-disclosures, and defend against government-facing investigations.

Immediately before joining Gibson Dunn, Matthew served as the Senate-confirmed Assistant Secretary for Export Enforcement at BIS, where he led the team responsible for enforcing the country’s export control laws. Matthew also spent over thirteen years at the Department of Justice, including serving twice as Principal Associate Deputy Attorney General. Alongside the Deputy Attorney General, Matthew oversaw DOJ’s entire workforce, including the prosecutors and agents in the U.S. Attorney’s Offices, the Criminal Division, the National Security Division, and the FBI. Matthew also provided oversight of all significant corporate enforcement resolutions, managed countless crises, and engaged with Congress and the White House on DOJ’s behalf.

Matthew initially joined DOJ in 2003 as an Assistant United States Attorney in the Southern District of Florida, where he conducted nineteen felony jury trials and prosecuted some of the office’s most high-profile cases. Matthew also served as Special Counsel in the White House Counsel’s Office, where he advised on national security and domestic issues.

Howard Mendelsohn, President of Global Business Development and Engagement, Kharon

Howard works closely with business, compliance, and legal professionals to strengthen programs and controls for managing risks at the intersection of global security and commerce. Howard has over two decades of experience in combating illicit financial activity in both the government and the private sector. Howard served at the U.S. Treasury Department from 2001 to 2011, including as Deputy Assistant Secretary and Assistant Secretary (Acting) for Treasury’s Office of Intelligence and Analysis. Howard led the Treasury’s intelligence functions, including oversight of analytical production, risk assessment, security, and strategic planning. Following his service at Treasury, Howard held leadership positions in Enterprise Compliance at PNC Financial Services Group. He is a recognized thought leader on global security and risk matters and speaks regularly at conferences.

Frank Calestino, Senior Vice President, Bank of America

Frank P. Calestino is an internationally recognized subject matter expert on healthcare fraud, terror financing, the global hawala system, international financial sanctions, and counter-threat finance intelligence and law enforcement operations. He currently leads the Behavioral Analytics Team for Global Financial Crimes at Bank of America. Mr. Calestino joined Bank of America in January 2016. Prior to this, he served over a decade with the U.S. Federal Government, spending most of his career overseas establishing and leading counter-threat finance cells for the U.S. Department of the Treasury.