Although a criminal accusation is basically set against an individual person, investigations may however, when directed against company managers or employees, who have direct or indirect substantial adverse effects on the day to day running of the business; take for example, cases of search procedures of the company premises, questioning of the staff as witnesses, seizing and confiscation of documents, electronic data and IT Systems. This regularly impacts confidential business operations and trade secrets.

A company can ultimately also become affected through an investigation procedure, in as much (as a consequence of criminally relevant actions of company managers or employees) the particular reliability can be called into question by the regulatory authority or threatened with  a damaging entry in the trade register, especially entry in the corruption register, and additionally the imposition of fines, as well as the deduction of unlawfully received advantages.

Integral to a complete competent company defense schröder|racky kanzlei für wirtschaftsstrafrecht views not only the safeguarding of the interests of the company and their managers and employees in the investigative proceedings, but also support during the searches and investigation interviews. Furthermore, comprehensive consultation with the company about possible far reaching consequences and to develop individual practicable solutions is part and parcel of the overall defense strategy.

The so called “Criminal Compliance” becomes more and more important in the day to day running of the company. This term describes succinctly the legal obligation of the management board of the company have to conduct themselves in conformity to the law, to establish a company structure that prevents and makes it difficult to behave illegally and to establish control mechanisms accordingly. The company managers meet this obligation by setting comprehensive procedures in accordance with their supervisory obligation which, if breached, can be sanctioned as a criminal offence or a misdemeanor.

Kathie Schröder and Eva Racky have extensive experience regarding preventative consultation for small, medium sized and large, international operating companies and therefore competently support companies to identify risks, implement internal investigations, as well as provide assistance with the development and fine tuning of a compliance structure.

It is important for companies to establish a neutral communication channel not only for business partners, customers and external third parties, but also for employees, which allows them to report internal issues (e.g. mobbing, harassment) or specific indications of violations of laws and internal policies in a protected environment. The object of the activity of a person of trust (Ombudsman) is also to mediate impartially between the reporting persons and the company in order to avoid escalations or legal disputes as early as possible. In this respect, the establishment of an Ombudsman is an essential component of a robust compliance management system.
 

The Whistleblower Protection Act, which was passed in the summer of 2023, even obliges companies with 50 or more employees and public bodies to set up an internal or external whistleblowing unit. Law firms can also be involved as external whistleblowing unit, which offers clear advantages over electronic systems for both, the reporters and the company: There is a personal contact person, which on the one hand helps to build trust and guarantees confidentiality, and on the other hand the information can be transmitted with an initial assessment and a recommendation for action. Especially for smaller and medium-sized companies, commissioning an external unit is often a much more cost-effective alternative to relieve the burden on their own organisation and to meet the legal requirements.
 

Kathie Schröder and Eva Racky will advise you with regard to the individual needs of your organisation and will also be happy to take on the function of a person of trust (ombudsperson).