This is the first time that the DOJ will reward whistleblowers using money forfeited in criminal actions.
On March 7, 2024, at the American Bar Association’s 39th National Institute on White Collar Crime, the U.S. Deputy Attorney General (“DAG”), Lisa Monaco, announced the development of a new pilot program (“Program”) for the Department of Justice (“DOJ”).
The Program incentivizes individuals to report corporate misconduct by rewarding whistleblowers with payouts from civil or criminal forfeitures.
While the DOJ welcomes whistleblower reports on any violation of federal law, their primary focus would be on three key areas: (1) criminal abuses of the U.S. financial system; (2) instances of foreign corruption that fall outside the jurisdiction of the Securities and Exchange Commission; and (3) cases of domestic corruption, particularly those involving corporate payments to government officials.
The DAG’s announcement outlined the following criteria for issuing rewards:
- Whistleblowers must provide information that is truthful and not previously known to the government;
- eligibility for rewards is limited to whistleblowers who have not participated in the criminal activities they report; and
- rewards are offered in cases where no other financial disclosure incentives exist, such as qui tam awards or rewards from other federal whistleblower programs.