Eric Stupp

Bär & Karrer AG

Zurich www.baerkarrer.ch

eric.stupp@baerkarrer.ch Tel: +41 58 261 53 90

Biography

Eric Stupp heads Bär & Karrer’s financial services department and co-heads the internal investigation and cross-border proceedings team. His practice focuses on advising banks, insurance companies, asset managers and other financial intermediaries on regulatory matters, enforcement proceedings and on M&A transactions. In recent years, he has regularly advised financial institutions and regulatory bodies in connection with internal investigations on cross-border issues. In particular, he has assisted clients in numerous proceedings initiated by the US Department of Justice, the New York Department of Financial Services and other US or European authorities.

How does your extensive experience in banking regulations enhance your investigatory practice?

Approximately 100 Swiss financial institutions have been exposed to investigative inquiries of US and other authorities. A good grasp of how the financial system works is very helpful to organise an internal investigation in a targeted manner and to be able to assess the information gathered. Even for investigations outside the financial sector, for example, in case of alleged bribery allegations, it is very helpful to understand how money flows and what kind of information can be found.

What recent trends have you noticed in investigations and how have they impacted your practice?

Technology and the increased use of electronic communication makes it easier to skim large volumes of data and to get to a sub-set of data that might be relevant for an investigation at hand. But from there on, it is still of crucial importance to have lawyers with an open mind and an ability to connect the dots.

What challenges are posed by conducting investigations across multiple jurisdictions?

Multi-jurisdictional investigations create their own set of issues. One has to respect different laws, which make it harder to have a consistent approach with regard to an investigation at hand. In a number of countries, including Switzerland, there exist blocking statutes, which restrict investigative measures taken for the benefit of foreign authorities. GDPR and privacy laws add even more red tape limiting the freedom to share information across borders. Furthermore, there exist cultural differences. For example, you have to organise and interpret an interview differently depending on which part of the world you are in. The human language is not like a math task, it requires interpretation and a good understanding of context and cultural code of interaction.

To what extent do you see a need to reform current laws and regulations for them to be in pace with the growing sophistication of cybercrime?

Cybercrime is a real threat to companies and society at large. I do not think that new laws are required. But criminal and other authorities need to improve their abilities to understand those threats and their ability to bring cases to justice.

To what extent has machine learning and artificial intelligence impacted how you approach investigations?

There exists some confusion about AI and machine learning. Many forensic tools are not really embracing AI as this technology is still in its early days of development. It may play a more prominent role in the future, but presently, the ability of humans to assess information is by far more important for a successful investigation than some fancy IT tools.

How do you establish a detailed understanding of a client’s business to advise them effectively?

Our firm covers various industries. There is nearly always a partner in the firm who is able to explain what the rules of the road are for a specific industry. Furthermore, we usually start an investigation by interviewing representatives of the management and reading through annual reports, reports of financial analysts and other sources of information in order to get a basic sense of how a company operates in its respective industry.

How would you like to develop your practice in 2022–2023?

The practice is still on a growth path. Since January 1st, two associates became partner, which will allow us to broaden the practice. In addition, we have a number of new associates who will start in the coming months.

What underrated skills and traits would you encourage the up-and-coming generation of lawyers to develop?

Financial literacy, management and organisational skills are clearly factors that are of relevance for a career in this area of the legal profession.

Peers and clients say: “Eric is an attorney with profound experience” “His clients can be assured that they are in very good hands with him” “He has vast experience in financial investigations and banking, and is well recognised in the market”