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In August, the Department of Justice’s Criminal Division announced the launch of a Corporate Whistleblower Awards Pilot Program, building off an earlier pilot program started in the Southern District of New York to encourage employees to provide the government with information regarding corporate criminal conduct. The DOJ’s new Whistleblower Awards Program signals an increased focus on criminal prosecution of corporate criminal conduct in four areas:

1. certain crimes involving financial institutions, from traditional banks to cryptocurrency businesses, with a particular focus on conduct constituting obstruction or defrauding of financial regulators;
2. foreign corruption involving misconduct by companies;
3. domestic corruption involving misconduct by companies; or
4. health care fraud schemes involving private insurance plans.

The DOJ program provides two key incentives to corporate whistleblowers. First, individuals who played no more than a “minimal role” in the criminal conduct they report may receive a percentage of assets forfeited as a result of any successful prosecution. Second, whistleblowers may also receive immunity from prosecution in the form of a non-prosecution agreement. The combination of financial incentives and possibility of avoiding prosecution provide a strong inducement to corporate employees to report potential wrongdoing directly to DOJ.

Now, only one month after DOJ announced its new program, several of the largest U.S. Attorney’s Offices...

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