All Eyes on the Northern Triangle: A Call to Action for Companies Operating in the Region
In this article, co-authors Alejandra Montenegro Almonte and Maria Lapetina discussed recent policy announcements and newly launched initiatives by the Biden administration, including the establishment of a tip line to facilitate reporting corruption in Central America to U.S. authorities and the creation of two separate task forces focused on combatting corruption in El Salvador, Guatemala, and Honduras (collectively known as the Northern Triangle). "Since June 2021, the Biden administration has demonstrated a sustained interest in combatting corruption, particularly in El Salvador, Guatemala and Honduras (collectively known as the Northern Triangle), in part to address certain of the root causes of migration from the region," the authors wrote.
The authors also discussed steps that companies who operate in the region should take to identify and address potential corruption risks. These steps include, for example, initiating interview reviews or investigations to identify potential red flags, addressing and remediating areas of weakness, assessing the effectiveness of the compliance program and other internal controls, and considering disclosure of potential misconduct to relevant authorities.