News

Banks are reconsidering their compliance policies in light of federal guidance issued this month clarifying how U.S. prosecutors should build white collar crime cases against corporations and their employees, according to sources. In a Sept. 9 memorandum, Deputy Attorney General Sally Quillian Yates instructed government prosecutors to more frequently hold corporate employees liable for criminal violations and regulatory misconduct, including by pressuring companies to disclose evidence of malfeasance by their senior managers. Federal investigators should require corporations to turn over the names of culpable employees along with details of their alleged violations in order to receive "any" credit for cooperation...