Deputy Attorney General Rod Rosenstein Announces Pursuing Individuals Will be a "Top Priority" for Corporate Enforcement Actions
On November 29, 2018, Deputy Attorney General Rod J. Rosenstein announced further revisions to the Department of Justice (DOJ) Justice Manual (f/k/a the United States Attorneys' Manual) concerning the DOJ's focus on the prosecution of individual wrongdoers in the investigation of corporate conduct. In a speech delivered to the 35th International Conference on the Foreign Corrupt Practices Act in Washington, D.C., Rosenstein remarked that "[u]nder [the] revised policy, pursuing individuals responsible for wrongdoing will be a top priority in every corporate investigation." Pursuant to this directive, Rosenstein remarked that the Justice Manual had been revised to make clear that: (i) "absent extraordinary circumstances, a corporate resolution should not protect individuals from criminal liability"; (ii) "any company seeking cooperation credit in criminal cases must identify every individual who was substantially involved in or responsible for the criminal conduct"; and (iii) clarifies that "investigations should not be delayed merely to collect information about individuals whose involvement was not substantial, and who are not likely to be prosecuted." Rosenstein remarked that the revisions encourage "any company seeking credit in criminal cases" to have a "full and frank" conversation with prosecutors and that they must "identify every individual who was substantially involved in or responsible for the criminal conduct."
The revisions to the Justice Manual largely reflect the focus announced within the 2015 Yates Memorandum, previously covered by Red Notice in September 2015. Specifically, Section 928.700 adds the following emphasized wording: "In order for a company to receive any consideration for cooperation under this section, the company must identify all individuals substantially involved in or responsible for the misconduct at issue, regardless of their position, status or seniority, and provide to the Department all relevant facts relating to that misconduct." And removed from the section is the following language: "If a company meets the threshold requirement of providing all relevant facts with respect to individuals, it will be eligible for consideration for cooperation credit." Additionally, Section 928.210 has been revised to add language providing that: "absent extraordinary circumstances...no corporate resolution should provide protection from criminal liability for any individuals."
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