[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5086 Introduced in House (IH)]







110th CONGRESS
  2d Session
                                H. R. 5086

To require the Attorney General to issue guidelines delineating when to 
    enter into deferred prosecution agreements, to require judicial 
sanction of deferred prosecution agreements, and to provide for Federal 
          monitors to oversee deferred prosecution agreements.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 22, 2008

 Mr. Pallone introduced the following bill; which was referred to the 
                       Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
To require the Attorney General to issue guidelines delineating when to 
    enter into deferred prosecution agreements, to require judicial 
sanction of deferred prosecution agreements, and to provide for Federal 
          monitors to oversee deferred prosecution agreements.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. DEFERRED PROSECUTION AGREEMENT GUIDELINES.

    (a) In General.--The Attorney General shall issue guidelines 
delineating when United States attorneys should enter into deferred 
prosecution agreements, including appropriate factors for United States 
attorneys to consider in determining whether to enter such agreements 
as described in subsection (b).
    (b) Appropriate Factors for Consideration.--Appropriate factors for 
consideration in the determination of whether to enter into a deferred 
prosecution agreement include--
            (1) the potential harm of entering into a deferred 
        prosecution agreement to employees, shareholders, and other 
        stakeholders of the corporation that is to enter into the 
        deferred prosecution agreement who are not potential parties to 
        litigation relative to the corporate wrongdoing;
            (2) the degree of cooperation by a corporation that is to 
        enter into a deferred prosecution agreement with investigators 
        including the corporation's willingness to provide documents 
        and make available for questioning employees, officers, and 
        directors of the corporation;
            (3) remedial action taken by the corporation that is to 
        enter into a deferred prosecution agreement in response to 
        wrongdoing such as internal investigation, dismissal of 
        employees, acknowledgment of wrongdoing, payment of 
        restitution, and other structural, management, and policy 
        changes;
            (4) availability of criminal charges against specific 
        employees who may have engaged in illegal acts relative to the 
        corporate wrongdoing; and
            (5) availability of sufficient alternative punishments or 
        remedial actions pursuant to a deferred prosecution agreement.

SEC. 2. JUDICIAL APPROVAL OF DEFERRED PROSECUTION AGREEMENTS.

    (a) In General.--A deferred prosecution agreement shall be approved 
by a United States district court judge or a United States magistrate 
judge in the United States district court where criminal charges would 
be prosecuted by a United States attorney.
    (b) Submission of Deferred Prosecution Agreement.--A deferred 
prosecution agreement shall be submitted to the appropriate United 
States district court where criminal charges would be prosecuted by a 
United States attorney to receive judicial sanction.
    (c) Judicial Review and Sanction.--A United States district court 
judge or a United States magistrate judge shall review the terms of a 
deferred prosecution agreement to ensure that the agreement comports 
with public interest and all applicable laws and legal precedent before 
authorizing the deferred prosecution agreement to be entered into by 
the parties.

SEC. 3. FEDERAL MONITORS.

    (a) In General.--A Federal monitor shall oversee a deferred 
prosecution agreement.
    (b) Appointment of Federal Monitors.--A Federal monitor shall be 
appointed by an independent third party (a United States district court 
judge or a United States magistrate judge) from a pool of pre-qualified 
firms or individuals (or both).
    (c) Qualifications of Federal Monitors.--A Federal monitor shall 
have experience in criminal and civil litigation.
    (d) Payment of Federal Monitors.--A Federal monitor shall be paid 
according to a pre-determined fee schedule set by the United States 
district court.
    (e) Report Requirement in Deferred Prosecution Agreement.--
            (1) A deferred prosecution agreement shall include a 
        requirement that a Federal monitor submit reports to the United 
        States attorney and to the United States district court.
            (2) A deferred prosecution agreement shall include the 
        number and frequency of reports required by a Federal monitor.

SEC. 4. BREACH OF DEFERRED PROSECUTION AGREEMENTS.

    Upon request from a United States attorney, the presiding judge in 
the district court where a deferred prosecution agreement was approved 
shall determine if the deferred prosecution agreement has been 
breached.
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