Corporate Internal

Investigation
Welcome to this comprehensive guide on conducting successful corporate
internal investigations. Learn about the process, challenges, and strategies

JG by JOÃO GALARANI
Understanding Corporate Internal
Investigation
Corporate internal investigation is a process used to uncover any violation of company policies or legal
policies or legal regulations. It involves a systematic examination of evidence to find out what happened
happened and how it happened.

Purposes of Corporate Internal The Need for Corporations to

Investigation Investigate Themselves

To uncover wrongdoing and prevent future This is essential to minimize risk, protect the
misconduct, identify weaknesses in the company's company's reputation, and comply with legal
company's systems, and create an audit trail for requirements
trail for regulatory compliance.
Steps Involved in Conducting an Internal
Investigation

1 Assess the Allegations

Determine the scope of the investigation, identify and prioritize the issues, and evaluate
the potential legal, financial, and reputational impact of the investigation.

2 Plan and Organize the Investigation

Formulate investigation strategies, assemble an investigation team, determine the access

the access to relevant documents and materials, create a timeline for the investigation,
investigation, and assign responsibilities and tasks.

3 Conduct an Investigation

Gather and preserve evidence, interview witnesses, review relevant documents and
and records, and document the findings and conclusions of the investigation.

4 Communicate and Report the Investigation Results

Prepare a report of the investigation's findings, communicate the results to relevant

relevant stakeholders, and recommend corrective actions and preventive measures if
measures if necessary.
Common Legal Issues to Consider During
an Internal Investigation

Privilege and Confidentiality Compliance with Laws and

Preserve attorney-client privilege and the
the confidentiality of the investigation
documents and communications.
Regulations
Comply with relevant legal and regulatory
requirements, including data privacy,
employment law, securities regulations, and so
on.

Whistleblower Protections

Ensure that whistleblowers are protected from retaliation and are treated fairly and impartially in the
impartially in the investigation process.
Challenges Faced During an
Internal Investigation
1 Lack of Resources or
Expertise
Insufficient resources,
inadequate training, and lack of
technical expertise can hinder
the effectiveness of an
investigation.
2 Employee Cooperation
Cooperation and
Credibility
Employees may be
uncooperative, dishonest, or
fearful of retaliation, resulting in
resulting in incomplete or
inaccurate information.

3 Time Constraints

Internal investigations often require a quick and decisive response to mitigate

to mitigate potential legal and reputational damages.
Strategies for Conducting a Successful
Internal Investigation
Assemble the Right Team
Choose investigators with relevant skills,
expertise, and cultural awareness, and ensure that
ensure that everyone has a clear understanding of
understanding of their roles and responsibilities.
responsibilities.
Document Everything
Create a Plan and Follow It
Develop a clear and concise plan to guide the
investigation, identify risks and challenges,
establish timelines and milestones, and monitor
progress to ensure compliance.
Gather Feedback and Learn from the
Case Studies of Successful and
Unsuccessful Internal Investigations

Case Study: Wells Fargo

Unsuccessful internal investigation that failed to detect

widespread allegations of misconduct, resulting in a massive
massive scandal, loss of reputation, and financial penalties.
penalties.

1 2

Case Study: Volkswagen

Successful internal investigation that uncovered the company's

systematic emissions fraud, resulting in the resignation of senior
executives and a financial settlement with the US government.
Conclusion and Key Takeaways
Takeaways
Corporate internal investigation is an essential process for maintaining ethical
ethical and legal standards in business. It involves a strategic, systematic, and
systematic, and thorough approach to uncover any violations and risks, prevent
risks, prevent future misconduct, and protect the company's reputation and
reputation and stakeholders. By following the right procedures and strategies,
strategies, companies can conduct successful and effective internal
investigations that achieve their goals and ensure compliance with laws and
laws and regulations.