What are metrics for a Board around compliance? Former Assistant Attorney General Leslie Caldwell laid out some that the Justice Department would consider in a review of compliance programs. These metrics are:
¥ Does the institution ensure that its directors and senior managers provide strong, explicit and visible support for its corporate compliance policies?
¥ Does the Board maintain a material See more +
What are metrics for a Board around compliance? Former Assistant Attorney General Leslie Caldwell laid out some that the Justice Department would consider in a review of compliance programs. These metrics are:
¥ Does the institution ensure that its directors and senior managers provide strong, explicit and visible support for its corporate compliance policies?
¥ Does the Board maintain a material role in overseeing a company’s overall compliance framework?
These requirements move beyond simply having the correct ‘Tone at the Top’ which every Board should articulate. They charge the Board with a substantive role in the actual doing of compliance going forward. One of my concerns is this metric sets up Board members and senior management for prosecution under the Foreign Corrupt Practices Act (FCPA) in the new era of the Yates Memo where companies are required to investigate and turn over individuals to the DOJ for prosecution if they want to receive any credit for cooperation. Of course, the Yates Memo also articulated the DOJ’s stated intention to more aggressively prosecute individuals as well.
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