The Department of Justice (DOJ) recently announced new rules and priorities for investigating and prosecuting white-collar crime.
DOJ’s New Strategy on White-collar Crime
- Focus: Focus on the most serious and harmful types of white-collar crime, such as healthcare fraud, government contract fraud, customs and trade fraud, and crimes that threaten national security or target vulnerable people.
- Fairness: Encourage companies to cooperate, self-report problems, and fix issues themselves. Prosecutors are told to consider alternatives to criminal charges, especially if a company is honest and takes steps to correct wrongdoing.
- Efficiency: Speed up investigations to avoid dragging them out for years, which can be costly and damaging to companies.
Monitorships (External Oversight):
The DOJ will now only require companies to hire outside monitors (who check whether companies are following the rules) in rare cases, mainly when a company can’t be trusted to fix problems on its own.
Rewards for Cooperation:
Companies that quickly report their own misconduct, cooperate fully, and take real steps to fix problems may avoid prosecution or get lighter penalties. The DOJ has made the path to these outcomes more transparent and predictable.
Less Burden on Business:
The DOJ wants to avoid being too harsh or overreaching, which could hurt legitimate businesses or discourage innovation. The new approach aims to balance strong enforcement with minimizing unnecessary burdens on companies.
What does it mean for Employers?
The DOJ’s new white-collar enforcement rules now specifically include violations of federal immigration law, which directly impacts I-9 compliance for employers. Under the expanded DOJ whistleblower program, employees can report companies for I-9 violations, such as failing to properly verify work authorization or employing unauthorized workers. DOJ will prioritize these tips, potentially leading to investigations, fines, or criminal charges. This means that, just like with other forms of corporate misconduct, companies must have strong compliance programs, encourage internal reporting, and act quickly to address I-9 issues to reduce their risk of enforcement action. In short, the DOJ’s new approach makes I-9 compliance more critical than ever, as immigration-related violations are now treated as a top enforcement priority alongside other serious white-collar crimes.
Businesses are encouraged to have strong compliance programs, promote internal reporting, and respond swiftly to issues. Companies that self-report, cooperate, and take corrective action are more likely to receive favorable treatment from the DOJ. The new rules target the most significant threats, reward responsible corporate behavior, and avoid unnecessary penalties for businesses that do the right thing.
