Appendix 15 A Proposal For A United States Department Of Justice Foreign Corrupt Practices Act Leniency Policy, (Robert W. Tarun And Peter P. Tomczak), Excerpted From A Law Review Article First Published In 47 Am. Crim. L. Rev 153 (2010)

• Author: Robert W. Tarun
• Profession: Former Executive Assistant U.S. Attorney in Chicago
• Pages: 1015-1021

APPENDIX 15

A Proposal for a United

States Department of Justice

Foreign Corrupt Practices Act

Leniency Policy1

Robert W. Tarun and Peter P. Tomczak

Excerpted from a law review article first published in 47

AM. CRIM. L. REV

153

(2010)

1. LENIENCY BEFORE AN INVESTIGATION

HAS BEGUN—PART A

Leniency (i.e., non-prosecution) shall be granted to a corporation and its affiliates, and

certain corporate employees and agents, reporting improper payment(s) to a foreign

official before an investigation has begun, if the following eight conditions are met:

(a) At the time the corporation comes forward and reports the improper

payment activity, the Fraud Section has not received credible informa-

tion from any other source about the improper payment activity being

reporting by the corporation;

(b) The corporation elects within sixty (60) days after receiving and

promptly verifying preliminary allegations of improper payments to

conduct a thorough internal investigation, to disclose fully all mate-

rial underlying facts and the results of the investigation to the DOJ

and/or SEC, and to fully cooperate with the agency(ies);

(c) The corporation, upon its discovery of the improper payment activity

being reported, takes steps to reasonably investigate and, thereafter,

take prompt and effective action to terminate the activity;

(d) In reporting improper payment activity, the corporation with can-

dor and completeness discloses all material underlying facts and pro-

vides full, continuing and complete cooperation to the Fraud Section

throughout the investigation;

(e) The confession of improper payment activity is truly a corporate act, as

opposed to isolated confessions of individual executives or employees;

(f) If possible, the corporation makes restitution to injured parties—

depending on whether the corporation was active or passive and

whether the host or foreign country prosecutes the officials who par-

ticipated in the acts of bribery;

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