DOJ Launches New Pilot Program for Whistleblowers
The Department of Justice (DOJ) launched a new pilot program on April 15, 2024. This program will allow individuals who report certain criminal conduct (such as money laundering, fraud, or fraudulent noncompliance) to federal authorities to avoid prosecution under certain circumstances.
The program incentivizes individual actors to disclose to federal authorities "actionable, original information about criminal conduct that might otherwise go undetected or be impossible to prove." Those that do report must provide full cooperation, including payment of applicable victim compensation, restitution, forfeiture, or disgorgement (legal requirement to return gains from illegal or unethical activities).
The pilot program has certain criteria for a "whistleblower" to be considered:
- Original Information—The reporting individual’s disclosure must pertain to new, nonpublic information not already known by the DOJ or federal law enforcement.
- Voluntary—The disclosure must be made “before any request, inquiry, or demand,” when there is no “preexisting obligation” to report, and while there is no government investigation.
- Truthful and Complete—The disclosure must include all information known by the individual making the report.
- Full Cooperation—“The reporting individual must agree to fully cooperate with and be willing and able to provide substantial assistance.” (Emphasis in the original.)
- Forfeiture—“The reporting individual must agree to forfeit or disgorge any profit from the criminal wrongdoing and pay restitution or victim compensation.”
Source(s): JD Supra, reported on May 6, 2024; www.justice.gov, accessed on May 20, 2024.