The application of discipline is a key aspect of any best-in-class compliance program, enshrined in the ten hallmarks of an effective compliance program found in the FCPA Guide. Department of Justice officials too in public remarks almost always mention discipline as a key component of remediation. It was also articulated in the guidance to the FCPA Pilot Program.
Yet, many companies have never disciplined any employees for ethical violations. One of the easiest questions for a Justice Department or SEC lawyer to ask is whether there is any evidence that any employee have ever been fired for a Code of Conduct violation or other compliance or ethical violation.
