What is the Corporate Fraud Accountability Act?

The Corporate Fraud Accountability Act is a law in Pennsylvania that provides increased protections for whistleblowers and establishes a False Claims Hotline. It was passed in 2018, and ensures that employers do not retaliate against employees who report fraud or unethical activities. The Hotline provides an anonymous way for whistleblowers to alert the state to such occurrences. The Act strengthens protections for those who speak out, as it allows whistleblowers to file a report before their employer can take any action against them. It also requires companies to have an internal reporting system for fraud and unethical activities, and to provide clear information to employees about their rights and how to report misconduct. The Act also allows for civil actions to be taken against those who are found guilty of fraud. Any person or organization that retaliates against, harasses, or terminates a whistleblower can face fines of up to $10,000 and/or up to a year in prison. In addition, the Act requires companies to maintain records for any investigations they undertake related to fraud or unethical activities. Any information related to those investigations must be provided to the Pennsylvania Attorney General if requested. The Act also requires companies to provide annual training to employees about the act, whistleblower protections, and how to report fraud or unethical behavior.

Related FAQs

How does whistleblower law protect employees from discrimination?
What is the National Whistleblower Protection Act?
What is the difference between whistleblowing and whistleblowing protection?
Who can be a whistleblower?
Can a whistleblower anonymously submit evidence of wrongdoing?
How is a whistleblower protected from employer retaliation?
When should a whistleblower contact the authorities?
What is a whistleblower reward?
How do I become a whistleblower?
Can a whistleblowers sue if they are retaliated against?

What is the Corporate Fraud Accountability Act?

Related FAQs

Related Blog Posts