On April 5, 2016 the Department of Justice (DOJ) Criminal Division announced a new one-year pilot program within the Fraud Section's FCPA Unit. The pilot program provides guidance to DOJ prosecutors for resolutions in FCPA cases. The program was designed to assist companies with their decision making process as to whether they should voluntarily self-disclose FCPA violations, cooperate with the Fraud Section, and when appropriate, correct gaps in their controls and compliance programs.
The program describes what is meant by "voluntary self-disclosure", "full cooperation", and "timely and appropriate remediation". The guidance states that when a company cooperates, remediates, and voluntarily self-discloses violations, it will be eligible for the full range of mitigation credit. In the event a criminal resolution is warranted, a company may be granted a reduction of up to 50 percent below the low end of the applicable U.S. Sentencing Guidelines range. In addition the company would generally not require the appointment of a monitor.
What are the reader's thoughts on the value of this pilot program?
- "Individual Accountability for Corporate Wrongdoing", by Deputy Attorney General Sally Yates, on September 9, 2015
- "The Fraud Section's Foreign Corrupt Practices Act Enforcement Plan and Guidance" on April 5, 2016