New federal pilot program in Brooklyn offers whistleblowers immunity for disclosing crimes

September 18, 2024 Robert Abruzzese, Courthouse Editor

U.S. Attorney Breon Peace announces a new Whistleblower Non-Prosecution Pilot Program aimed at encouraging the voluntary disclosure of criminal conduct. Photo: Stefan Jeremiah/AP

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The U.S. Attorney’s Office for the Eastern District of New York, led by U.S. Attorney Breon Peace, has introduced a new Whistleblower Non-Prosecution Pilot Program designed to encourage the disclosure of criminal conduct previously unknown to authorities.

This initiative aims to help investigate and prosecute wrongdoers more effectively while motivating companies to establish and enforce stronger compliance programs.

The Whistleblower Pilot Program, now in effect, offers a pathway for individuals who voluntarily report information about crimes involving public or private entities to become eligible for a Non-Prosecution Agreement (NPA). The program covers various criminal activities, including fraud, intellectual property theft, market integrity violations, bribery, obstruction of justice, health care fraud and money laundering.

An NPA is a legal agreement between a prosecutor and an individual or company. Under this agreement, the prosecutor agrees not to pursue criminal charges against the individual or entity, typically in exchange for cooperation, such as providing information, assisting in investigations or adhering to certain conditions. This agreement often requires the cooperating party to admit wrongdoing, comply with specific terms and possibly pay fines or restitution. The NPA provides an incentive for individuals to come forward with information about criminal conduct without the risk of prosecution.

To qualify for an NPA, individuals must meet specific conditions. The misconduct in question must not be known to the Department of Justice and must be voluntarily disclosed without any government prompting or imminent threat of investigation.

Whistleblowers are required to provide substantial assistance in prosecuting others involved, which includes testifying when necessary. The information provided must be comprehensive and truthful, covering all known criminal conduct.

Certain people, such as federal officials or the highest-ranking person in the organization where the misconduct occurred, do not qualify. Individuals involved in leading the criminal activity, using violence, or having prior felony convictions related to violence, terrorism or dishonesty are not eligible.

If a whistleblower provides information but does not meet all the outlined requirements, the office may still consider granting an NPA, taking into account various factors. This includes whether the information pertains to entities outside the U.S. or involves senior officials.

Recipients of an NPA under the program will be required to forfeit any proceeds from their involvement in criminal activities and pay restitution to victims. Further details of the program, along with a form for voluntary self-disclosure, are available on the U.S. Attorney’s Office’s website.