The Due Diligence Step Most First-Time SPAC Sponsors Get Wrong — James Tunkey

Most first-time SPAC sponsors underestimate what a background check actually uncovers — and what it costs them when something surfaces after the S-1 is filed.James Tunkey is a background check and fraud investigation specialist with deep experience in international due diligence for SPAC IPOs and capital markets transactions. His firm handles approximately 25% of Nasdaq issuances and 40% of Hong Kong Stock Exchange listings annually. In this episode, James joins Michael Blankenship to break down what a rigorous director and officer vetting process looks like — from regulatory sanction screening and negative media searches to cross-border verification challenges and the role AI is beginning to play. Essential listening for sponsors, underwriters, and counsel navigating the SPAC IPO process.🎯 What We Cover:Why identity verification is the critical first layer of any D&O background checkFINRA and SEC sanction screening — what gets flagged and what it meansHow civil and criminal litigation history is sourced and evaluatedEducation and employment verification: when phone calls still matterInternational due diligence: name localization, foreign databases, and privacy law gapsTurnaround timelines — what to expect in the US vs. cross-border engagementsReal examples: Ponzi schemes caught before listing, directors quietly replacedHow AI is accelerating negative media screening without replacing human investigatorsWho typically engages the background check firm — issuer, underwriter, or counselWhat the final report looks like and how risk ratings are assigned🤝 Connect with James Tunkey: 🌐 https://www.ionasia.com.hk/team/james-tunkey/ 💼 https://www.linkedin.com/in/jamestunkey/📩 Connect with Michael Blankenship: 💼 https://www.linkedin.com/in/mikeblankenship/ 🌐 https://www.thespacpodcast.com/📩 Connect with Joshua Wilson: 💼 https://www.linkedin.com/in/joshuabrucewilson/ 🌐 https://www.thespacpodcast.com/🎙️ Follow The SPAC Podcast: 🌐 https://www.thespacpodcast.com/ ▶️ https://www.youtube.com/@thespacpodcastDisclaimer: Michael J. Blankenship is a licensed attorney and partner at Winston & Strawn LLP. Joshua Wilson is a licensed Florida real estate broker and holds FINRA Series 79 and Series 63 licensure. The content of this podcast is for informational and educational purposes only and should not be considered legal, financial, or compliance advice. All views and opinions expressed by the hosts and guests are their own and do not necessarily reflect the policies or positions of any regulatory agency, law firm, organization, or employer. Listeners should consult their own legal counsel, compliance teams, or financial advisors to ensure adherence to applicable regulations, including SEC, FINRA, and other industry-specific requirements. This podcast does not constitute a solicitation or recommendation for any financial products or services. Let's Connect on LinkedIn: https://www.linkedin.com/in/mikeblankenship/ https://www.linkedin.com/in/joshuabrucewilson/ To Contact Us, Please Visit: https://www.TheSPACPodcast.com/contact/