New Brazil bill seeks to add NPAs and whistleblower rewards

Earlier this month, the Brazilian Minister of Justice Sergio Moro presented a bill proposing an “anticrime package,” establishing “measures against corruption, organized crime and crimes committed with serious violence.”

The bill proposes modifications in fourteen laws, ensuring the enforcement of the conviction after an appellate court judgment, increasing the effectiveness of the jury, guaranteeing the serving of the sentences, increasing the penalties for crimes related to firearms, reforming the crime of “resistance,” and criminalizing slush funds.

Among all the measures, the introduction of two new legal practices should be highlighted — negotiated solutions and whistleblower incentives.

The bill proposes to introduce two articles in the Code of Criminal Procedure (Decree-Law No. 3,689/1941), regulating conditions and rules for non-prosecution agreements between the Brazilian Public Prosecution Service and offenders, and one article in the Administrative Improbity Act (Law No. 8,429/1992), allowing settlements, agreements and conciliations (with rules similar to the Leniency Agreements and Plea Bargaining) for the offenses provided in that act, which are forbidden today.

Regarding whistleblowing, the bill proposes amendments to the Law No. 13.608/2018, obliging all public entities to establish reporting channels for crimes and administrative misconduct. It also establishes rules for protecting whistleblowers against retaliation and ensuring their anonymity and proposes an award of up to 5 percent of the amount recovered by the public administration.

It also changes the rules on motions for rehearing (embargos infringentes), on self-defense, on the form of confiscation of proceeds of the crime (authorizing them to be used), on videoconference interrogations, on the legal concept of criminal organizations, on the legal regime of federal prisons, and other measures that seek to avoid the statute of limitation, to facilitate the prosecution of complex crimes with electoral reflexes, to hinder the release of habitual criminals, and to improve investigations.

The FCPA Blog | February 15, 2019