The first steps of the whistleblower program within the Brazilian antitrust law

May 22, 2019


The whistleblower program aims to provide guarantees and benefits to the whistleblowers that report violations to public authorities. The program runs as follows: the individual that reports a violation, and has not taken any participation in this reported misconduct, has its identity preserved for a limited period of time and, in certain cases, can be financially rewarded. This policy already exists in some foreign jurisdictions, but, in Brazil, a project for its implementation is beginning to gather strength.

 

This issue has been discussed more often in competition / antitrust law, since Law No. 13.608 / 2018 introduced the first notions of whistleblower in Brazilian legal system. In this sense, the Brazilian Antitrust Authority (CADE) published, this month, the Ordinance No. 292 / 2019 that establishes the investigative procedures for individuals to report offenses against the economic order and the protection of the complainant’s identity for up to 100 years. This regulation bolsters the already well-established leniency and settlement programs, by CADE, now affording the protection to whistleblowers that did not participate in the misconduct.

 

The whistleblower program is still incipient, but has received full support from the Ministry of Justice Sérgio Moro. The ‘Anticrime Bill’ presented by the Ministry contains proposals that alter the abovementioned Law No. 13.608 / 2018 to set the reward of up to 5% of the recovered amount, to be given directly to the complainant, and also the double compensation for damages perceived by the whistleblower. The Bill is expected to be submitted to the Congress until July.

By: Lívia Melo e Karen Ruback