Manatt Investigations, Compliance and White-Collar Defense Partner Jacqueline Wolff was quoted in an Anti-Corruption Report article on the U.S. Department of Justice’s (DOJ) new whistleblower program aimed at uncovering violations in both domestic and foreign companies operating in the U.S.
While the DOJ’s new program will significantly improve whistleblower provisions for Foreign Corrupt Practices Act (FCPA) cases, the program goes well beyond the Act’s current scope, Wolff emphasized. “The DOJ is seeking to encourage whistleblowers to come in regarding any crime that is subject to the forfeiture laws,” she said, but noted that not all crimes are covered by the forfeiture laws.
With whistleblowers able to shop their tips around to the highest bidder, Wolff explained, foreign companies can fall under the purview of the Securities and Exchange Commission (SEC)—which may have bigger reward payouts—because they may have depositary receipts that trade on U.S. exchanges. “A whistleblower may have the option there of either reporting to the SEC or the DOJ. They won’t be able to do both,” Wolff said.
The Criminal Division’s Money Laundering and Asset Recovery Section, which Wolff said has been involved in dividing money obtained by forfeiture proceedings for years, will lead the development of the program.
Anti-Corruption Report subscribers can read Part I of the article here.
Read Part II here.