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DOJ Announces Incentive Program for Whistleblowers
Following in the steps of the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), the U.S. Department of Justice (DOJ) announced plans to pay whistleblowers.
Deputy Attorney General Lisa Monaco outlined the plan at the American Bar Association’s National Institute on White Collar Crime last week. Details of the program are being formulated by the DOJ with a projected start date of sometime this summer. What we do know is whistleblowers could receive a percentage of any forfeiture resulting from reported misconduct and they cannot be involved in the criminal activity. Some examples of the types of violations being sought include:
- “Criminal abuses of the U.S. financial system;
- Foreign corruption cases outside the jurisdiction of the SEC, including FCPA violations by non-issuers and violations of the recently enacted Foreign Extortion Prevention Act; and
- Domestic corruption cases, especially involving illegal corporate payments to government officials.”
While Ms. Monaco’s remarks indicate whistleblowers could report on their clients, it is important to note that nearly all information provided to legal counsel is considered privileged and therefore not to be provided to government officials. Violating this ethical tenant could result in the loss of an attorney’s license to practice law.
Now is an opportune time to review your compliance programs. Should you have any questions about your programs or uncover any issues, please contact one of our White Collar Crime and Investigations attorneys. They have experience in defending companies and individuals in these types of matters as well as recommending ways to stay in compliance with existing laws and regulations.