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Editors

Harry Cassin Publisher and Editor

Andy Spalding Senior Editor

Jessica Tillipman Senior Editor

Richard L. Cassin Editor at Large

Elizabeth K. Spahn Editor Emeritus 

Cody Worthington Contributing Editor

Julie DiMauro Contributing Editor

Thomas Fox Contributing Editor

Marc Alain Bohn Contributing Editor

Bill Waite Contributing Editor

Shruti J. Shah Contributing Editor

Russell A. Stamets Contributing Editor

Richard Bistrong Contributing Editor 

Eric Carlson Contributing Editor

Bill Steinman Contributing Editor

Aarti Maharaj Contributing Editor


FCPA Blog Daily News

« Prosecutors Appeal Dismissal of FCPA Charges Related to Azerbaijan | Main | An Effective FCPA Compliance Program Might Save the Company (A Great Defense Team Might Not) »
Sunday
Aug192007

FCPA Compliance For Small Companies

"Small Organizations.—In meeting the requirements [for an effective compliance program under the U.S. Sentencing Guidelines], small organizations shall demonstrate the same degree of commitment to ethical conduct and compliance with the law as large organizations. However, a small organization may meet the requirements . . . with less formality and fewer resources than would be expected of large organizations. In appropriate circumstances, reliance on existing resources and simple systems can demonstrate a degree of commitment that, for a large organization, would only be demonstrated through more formally planned and implemented systems.

"Examples of the informality and use of fewer resources with which a small organization may meet the requirements . . . include the following: (I) the governing authority’s discharge of its responsibility for oversight of the compliance and ethics program by directly managing the organization’s compliance and ethics efforts; (II) training employees through informal staff meetings, and monitoring through regular 'walk-arounds' or continuous observation while managing the organization; (III) using available personnel, rather than employing separate staff, to carry out the compliance and ethics program; and (IV) modeling its own compliance and ethics program on existing, well-regarded compliance and ethics programs and best practices of other similar organizations."

(emphasis added)

Quoted from the 2005 U.S. Federal Sentencing Guidelines, Chapter 8, Part B, §8B2.1., Effective Compliance and Ethics Program, Commentary Application Note 2 (c) (iii).


View Chapter 8, Part B of the U.S. Federal Sentencing Guidelines Here.

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