Corporate internal investigations

A well-managed internal investigation can be critical to maintaining a healthy organisational culture, helping companies identify potential problems and ensure that the correct procedures are always followed. The following six steps are key to conducting an effective internal investigation.

Act promptly and impartially: As soon as an issue is brought to your attention, act promptly to start the investigation and ensure an impartial team is appointed.

Collect and preserve evidence: Secure all relevant documents, emails, and any physical evidence related to the case.

Maintain confidentiality: Internal investigations must be conducted with the utmost confidentiality. Only disclose information on a need-to-know basis to protect the integrity of the inquiry and the privacy of those involved.

Comply with applicable laws and regulations: Familiarise yourself with relevant laws and regulations that govern internal investigations in your industry and region.

Interview witnesses and parties involved: Interview all relevant witnesses and individuals involved in the matter.

Document everything: Maintain comprehensive records of the investigation process, including interviews, findings, evidence, and decisions made.

There are multiple benefits to investigating misconduct beyond the obvious need to establish what has occurred, take the necessary actions and put systems in place to keep to prevent recurrence.

Conducting an effective internal investigation is increasingly regarded as critical to maintaining a healthy organisational culture. Not only does a well-managed investigation help identify and mitigate any potential problems but it can also help an organisation uphold its code of conduct and ensure compliance with regulatory and legislative obligations. Effective investigations can prevent reputational damage and help mitigate possible legal consequences.

They can also help foster trust amongst stakeholders who see that wrong-doing is not tolerated and ensure that the all the factors that contributed to the misconduct are understood. This helps organisations identify the level of remediation needed to prevent similar events occurring and ensure that the relevant policies and procedures are amended to support this.

For more information, read our blog on The Importance of effective internal investigations.

When investigating misconduct or other matters of a sensitive nature it is critical to avoid any appearance of conflict of interest, whether potential or actual. As such, appointing an independent third party, not connected with the organisation, can help ensure that the optics are not tainted by any hint of conflict. Choosing an external investigator who has no personal stake in the organisation and who possesses the necessary skills and training to conduct an unbiased investigation adds credibility and fairness to the process.

How to prepare a defence case to support a corporate misconduct investigation

Responding to an external investigation into corporate misconduct is a highly stressful time for any organisation. And while every case is unique, there are certain steps that can be followed to ensure that appropriate actions are taken and the right evidence gathered to cooperate fully with the enquiry.

Appoint a crisis team - the crisis team is often led by the general counsel but will usually include external lawyers and/or human resources team and a specialist communications team. Often external investigators such as GoodCorporation are also appointed to work with the crisis team to help establish the facts.

Gather evidence - Establishing the facts and gathering all relevant evidence is essential using both eDiscovery and face-to-face interviews. The ability to search high volumes of data to identify anomalies and all available documents related to the allegations is an integral part of any investigation, but particularly relevant when building a defence case.  GoodCorporation uses Logikul to provide cost-effective evidence gathering alongside the legal team. Our team is also trained in the sensitivity required to conduct in-person interviews and has vast experience interviewing management, employees and stakeholders.

Test systems - understanding how the misconduct occurred and testing the effectiveness of the systems and processes in place to prevent misconduct is an important part of building a defence. GoodCorporation has expertise at testing and benchmarking the adequacy of procedures, identifying any improvements necessary and helping to implement a remediation programme that can demonstrate a Board's commitment to improvement.

Corporate renewal - Demonstrating seriousness of intent and transparency is an important part of building an effective defence case. This means showing what has been done to remove or severely sanction those responsible for any misconduct while also reviewing and refreshing the code of conduct and other relevant policies, systems and processes.

To find out more about how we help companies building a defence case, listen to our podcast on "Supporting companies facing a debarment" https://www.spreaker.com/episode/supporting-companies-facing-debarment--47638829