Deferred Prosecution Agreements and culture change

• In Event: Euroc - Detecting and reacting to Corporate Crime

Abstract

Non-trial resolutions (NTRs), such as Deferred Prosecution Agreements (DPAs), increasingly are a central part of public enforcement actions against corporate crime. DPAs allow prosecutors to negotiate and enter into agreements with corporations to defer or suspend criminal proceedings, and are seen as quicker, cheaper and more predictable than the conventional criminal trial process.

Along with these benefits, proponents of DPAs see them as enabling culture change within organizations and thereby preventing further wrongdoing, or at least having the potential to do so. While corporate culture is an amorphous and contested concept, DPAS are seen as impacting on this positively, through the appointment of corporate monitors, and by incentivizing the creation and maintenance of compliance programs; prompting cooperation with investigations, and enabling proactive reporting culture.

This paper looks at the experiences in England & Wales, Singapore, and Jersey in respect of the creation and enforcement of DPAs and other NTRs to examine how and if they can impact positively on corporate culture, drawing on case studies like Siemens, Rolls-Royce and Airbus. It reflects on the political consideration of DPAs in other jurisdictions like Australia, NZ and Ireland through the lens of corporate culture also.

Author

• Liz Campbell, Monash University