IBD Hosts Second Annual Mody Colloquium on Illicit Finance and Corruption

On March 13, 2025, the Landegger Program in International  Business Diplomacy hosted the Second Annual Mody Colloquium on Illicit Finance and Corruption, made possible by generous funding from Sanjay Mody (SFS ‘95). This year’s event focused on the “Future of Economic Statecraft” and was hosted in Copley Formal Lounge.

Professor Justyna Gudzowska moderated a discussion with a distinguished expert panel, which featured Himamauli Das, Senior Managing Director and Counsel at K2 Integrity; Abraham Newman, Director of the BMW Center for European Studies and Professor at Georgetown; and Alex Zerden, Founder and Principal at Capitol Peak Strategies.

The event kicked off with an introduction by Professor Gudzowksa, explaining how economic tools such as sanctions, tariffs, and export controls are used to prevent adversaries from accessing U.S. assets. Professor Newman followed up by outlining the historical context of U.S. economic influence, highlighting the increasing weaponization of interdependence. He emphasized the idea that as global networks expand, certain choke points allow states to monitor and restrict actors’ access, making economic leverage a critical tool.

The discussion also covered export controls, a mechanism that has gained significance in contemporary geopolitics. Mr. Das highlighted that while these measures are often dismissed as technical policy tools, their deployment carries strategic implications and is closely linked to national security concerns. The evolving complexity of sanctions was underscored by an examination of the 2001 sanctions regime, which was not only rapid in implementation but also highly targeted.

Beyond restrictive measures, the panel explored the positive applications of economic statecraft. The U.S. has long leveraged economic incentives to project influence, support allies, and improve global livelihoods. A key theme of the discussion was how economic policies shape supply chain security and drive technological advancements. While the panel agreed that it is hard to manage the complex interactions between public policy and the global economy, the tools of economic statecraft could ultimately be used to advance U.S. foreign policy goals in a positive light.

The panel also addressed challenges in maintaining effective economic statecraft. Experts noted that bureaucratic efficiency is essential to ensuring that economic tools function as intended. The panel also reflected on the Trump administration’s approach, which has deviated from traditional statecraft by applying economic coercion in different ways. The panel also debated the legal framework surrounding sanctions, particularly the extent to which overuse of these tools risks eroding their effectiveness.

The event concluded with an audience Q&A and reception during which the panelists and audience got the chance to meet and discuss the topic further.