Internal Corporate Investigations

Safeguarding your business

In the increasingly complex landscape of modern business, allegations of misconduct, fraud, or regulatory violations can arise unexpectedly, putting a company’s reputation, finances, and legal standing at risk.

When such circumstances arise, it is crucial for companies to engage experienced solicitors, such as Simon Caltagirone, Head of White Collar Crime and Corporate Disputes at Twelve Tabulae, who specialise in internal corporate investigations to ensure a thorough and legally sound resolution.

What is an Internal Corporate Investigation?

An internal corporate investigation is a comprehensive examination conducted within a company or corporate entity to probe allegations of wrongdoing, misconduct, or any activity that may contravene laws or regulations. Such investigations serve multiple purposes, including:

• Uncovering the Truth: The primary objective of an internal investigation is to uncover the facts surrounding the allegations, enabling the company to understand what transpired.
• Protecting Shareholders: Internal investigations are crucial in safeguarding the interests of shareholders, ensuring transparency, and maintaining corporate governance.
• Complying with Regulatory Requirements: In many cases, regulatory authorities such as the Financial Conduct Authority (FCA) or the Serious Fraud Office (SFO) may require companies to conduct internal investigations in response to suspected misconduct.
• Mitigating Legal Risks: By identifying and addressing potential legal issues early on, companies can reduce their exposure to legal liabilities and regulatory penalties.
• Preserving Reputation: Swift and thorough internal investigations can help companies protect their reputation in the eyes of stakeholders, clients, and the public.

When should you initiate an internal investigation?

Investigations are expensive and disruptive. While the necessity for an investigation is evident in certain cases, there are situations where the decision to initiate an investigation, as well as the approach to conducting it, require careful judgement. Several factors should be taken into consideration when determining whether to investigate:

• The gravity of the allegations, including whether they involve potential violations of criminal law or company policies.
• Whether the alleged misconduct implicates senior management or members of the board of directors.
• The potential financial exposure the company may face if the allegations are substantiated.
• The possibility of ongoing or future violations related to the allegations.
• Whether the alleged misconduct poses any health and safety risks to employees or other stakeholders.
• Whether the alleged misconduct raises concerns about prior internal controls or financial certifications by executive officers, potentially impacting future certifications.
• The anticipated response of the company’s auditors to the alleged misconduct.
• The existence of, or likelihood of, a concurrent government investigation.
• Whether the company’s audit committee charter, code of conduct, or policies mandate or recommend an investigation, or if reporting to regulatory authorities is required.
• The extent to which the company may receive favourable consideration from enforcement agencies for conducting an internal investigation.
• The potential implications of the allegations on ongoing or potential civil litigation.

These considerations play a pivotal role in determining the appropriate course of action in response to allegations of misconduct within a company.

What Are the Steps of an Internal Investigation?

Internal corporate investigations are intricate processes that require careful planning, execution, and legal expertise. Twelve Tabulae possesses the necessary skills and experience to guide you through these steps effectively:

• Initiation: The investigation begins with the receipt of allegations or suspicions regarding corporate misconduct. These concerns may come from director disputes or other internal sources, tax investigations, external agencies, or whistleblowers.
• Planning: Twelve Tabulae’s solicitors in London will work with your company to develop a comprehensive investigation plan, outlining objectives, scope, and timelines. This stage includes identifying key personnel, preserving evidence, and determining the best approach.
• Data Collection: Gathering relevant evidence is a crucial aspect of any internal investigation. This may involve interviewing employees, reviewing financial records, analysing electronic data, and consulting forensic accountants or other experts as needed.
• Interviews and Statements: Experienced solicitors from Twelve Tabulae will conduct interviews with relevant employees, witnesses, and other individuals involved in the matter. Statements will be obtained and documented to ensure accuracy and legality.
• Analysis: The collected evidence is meticulously analysed to determine the facts and circumstances surrounding the allegations. Legal advice is sought to assess the potential legal implications and consequences.
• Reporting: A comprehensive report is prepared, summarising the findings of the investigation. This report includes recommendations for action, legal considerations, and guidance for next steps.
• Legal Counsel: Twelve Tabulae provides expert legal counsel throughout the investigation process. This includes advising on potential liabilities, regulatory compliance, and necessary legal actions.
• Disclosure: If required, findings from the investigation may be disclosed to relevant authorities, such as the FCA, SFO, or the National Crime Agency (NCA), in accordance with legal requirements.
• Resolution: Following the investigation, Twelve Tabulae will assist your company in taking appropriate actions to address the issues identified, which may include disciplinary actions, changes in corporate policies, or legal proceedings.
• Monitoring and Review: Continuous monitoring and periodic reviews are essential to ensure that the recommended actions are implemented effectively and that the company remains in compliance with all relevant regulations.

Why Choose Twelve Tabulae for Internal Corporate Investigations?

Twelve Tabulae solicitors London boasts a team of highly skilled solicitors with extensive experience in handling internal corporate investigations. Their deep knowledge of corporate law and regulations enables them to provide tailored legal advic

Experienced in Collaboration with Forensic Accountants and External Agencies

In cases involving financial misconduct, Twelve Tabulae law firm collaborates with forensic accountants who are experts in uncovering financial irregularities and providing crucial evidence.

When necessary, Twelve Tabulae has a proven track record of collaborating effectively with external agencies such as the FCA, SFO, and NCA, ensuring a smooth and legally compliant process.

London-Based Firm with Global Reach

With a strong understanding of the UK legal landscape, Twelve Tabulae is well-equipped to handle internal investigations from a UK perspective, but also have experience from an international perspective too, ensuring compliance with local regulations.

Ethical Approach to Investigations and Reputation Protection

Twelve Tabulae is committed to conducting investigations with the utmost professionalism, ethics, and attention to detail, ensuring that all findings are accurate and legally sound.

By choosing Twelve Tabulae, your company can protect the interests of shareholders and safeguard its reputation, even in the face of serious allegations.

Ready to Initiate an Investigation?

In today’s corporate environment, internal corporate investigations are a necessary tool for addressing allegations of misconduct and ensuring legal compliance. Choosing the right solicitors to guide you through these investigations is paramount to their success.

Simon Caltagirone, with his expertise, global recognition, and commitment to ethical and thorough investigations, stands out as the ideal choice for companies seeking to protect their interests and navigate complex legal issues.

By entrusting Simon Caltagirone, Head of White Collar Crime and Corporate Disputes, with your internal corporate investigation, you can rest assured that your company will receive the expert legal guidance it deserves. Contact us today.

Simon Caltagirone
CEO and Senior Solicitor