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Administration Seeks Delay in Extending Government Procurement Ban on Certain Chinese Telecommunications Equipment to Federal Contractors and Grant Recipients

Client Alert | 1 min read | 06.12.19

Section 889 of the NDAA for FY 2019 prohibits executive agencies from (1) procuring certain technologies from Huawei and other identified Chinese technology companies; (2) doing business with contractors that use those companies’ products as a substantial component of their systems; and (3) using grant and loan funds to procure technology from those same sources. By letter dated June 4, 2019, the Office of Management and Budget’s (OMB) Acting Director submitted proposed legislation to Congress to delay the bans described at (2) and (3) above, to modify the ban in (3) to apply to any federal grant or loan recipient’s use of the specified Chinese technology, and to specify an extended rulemaking process – including public meetings – to solicit input and potential mitigation solutions from affected parties. The first such public meeting has been scheduled for July 19, 2019. In a written explanation accompanying the proposed legislation, OMB acknowledges the practical challenges posed by the current schedule and the potential risk of a “dramatic reduction in the available industrial base,” either due to the cost of the regulatory burdens or because entities will decide that the commercial relationships are more valuable than complying with the Government’s ban applicable to government contractors. In the interim, Huawei has sought expedited handling of its lawsuit (Huawei Technologies USA, Inc. v, United States, E.D.Tx 4:19-cv-0159) challenging this targeted procurement ban.

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Client Alert | 3 min read | 04.23.24

DOJ Promises NPAs to Certain Individuals Through New Voluntary Self-Disclosure Pilot Program

On April 15, 2024, the Acting Assistant Attorney General for the Criminal Division of the Department of Justice (“DOJ”) Nicole Argentieri announced a new Pilot Program on Voluntary Self-Disclosure for Individuals (“Pilot Program” or “Program”). The Pilot Program offers a clear path for voluntary self-disclosure by certain corporate executives and other individuals who are themselves involved in misconduct by corporations, in exchange for a Non-Prosecution Agreement (“NPA”). The Pilot Program specifically targets individuals who disclose to the Criminal Division at DOJ in Washington, D.C. information about certain corporate criminal conduct. By carving out a clear path to non-prosecution for those who qualify, DOJ has created another tool to uncover complex crimes that might not otherwise be reported to the Department. ...