The Department of Justice (DOJ) announced the launch of a whistleblower rewards program aimed at addressing gaps in existing federal whistleblower initiatives. The program seeks to encourage self-reporting by companies and aims to combat the decline in DOJ prosecutions of white-collar crime over the past decade. Before officially launching the program later this year, the DOJ will undertake a 90-day “policy sprint” to develop and pilot the whistleblower initiative. Corporate attorneys view this program as a significant tool to combat corporate fraud, similar to successful initiatives like the U.S. Securities and Exchange Commission’s whistleblower program.
The DOJ’s program is expected to provide strong incentives for whistleblowers to report misconduct, particularly in areas such as money laundering and sanctions evasion. However, limitations exist, including eligibility criteria and protections for whistleblowers. Companies are advised to review compliance practices and consider the implications of potential misconduct going unreported. Ultimately, the DOJ aims to increase self-reporting among companies, emphasizing the importance of proactive disclosure.
An employer’s fraudulent or illegal actions can put you, the employee, at risk of jeopardizing your hard-earned career and facing legal consequences. Laws have been created to shield you from wrongful discharge and other retaliation for doing the right thing. These laws not only provide state and federal law protection for employees, but possible financial incentive.
Krevolin & Horst represents clients in whistleblower cases (also known as qui tam or False Claims Act cases) and protects them against retaliation for investigating and bringing these actions.
The False Claims Act allows persons to bring lawsuits against companies and individuals who are defrauding the federal government, including Medicare and Medicaid, the Department of Defense, the SEC, the IRS, and other government agencies.
Key Takeaway:
The introduction of this program presents whistleblowers with a significant financial opportunity to disclose corporate misconduct and ethical breaches to the DOJ. With increased incentives for potential whistleblowers, corporate entities and their legal representatives should review their compliance frameworks to effectively detect and resolve any reported misconduct. Learn more about the DOJ’s whistleblower rewards program here.
We protect and support whistleblowers who are brave enough to expose corruption. Learn more about our whistleblower practice here or call attorney Zahra Karinshak at 404-888-0922.
