This year’s forum explored the theme of ‘Enhancing Practical Responses to Mitigating Corporate Crime’. Kate joined a panel talking through a mock scenario, exploring the legal and communications challenges for a fictional listed UK plc following international media coverage of a data leak, which linked the company to several anti-bribery and corruption (ABC) and modern slavery offences committed by an overseas criminal network.

The panel was chaired by Simon Osborn-King, Partner at Willkie Farr & Gallagher LLP’s Litigation and Investigations & Enforcement Practice Groups in London. Ken Gazzaway, Global Head of Governance and Compliance at Corio Generation, provided the invaluable perspective of in-house counsel, with Kate sharing insights into the communications aspects.

Managing reputational risk from day one

The panel began tackling the first day of the crisis, including the following key considerations:

• Establishment of a crisis management team, governance and reporting structures and protocols
• Importance of internal messaging
• Engagement of outside counsel and communications support given the severity of the issues and the need to ensure objectivity
• Effective budgeting and managing cost expectations with the Board
• How to approach initial and longer-term investigations – including the importance of not inadvertently tipping off or trampling the evidence, particularly if there is a likelihood of an external prosecutor or regulator being involved
• Document preservation
• Privilege
• Managing connected litigation risk
• Reporting and UK MAR considerations
• Monitoring and communications protocols
• Context of the media reports
• Holding statements and media management
• Effective stakeholder engagement
• Forward scenario planning

Handling a dawn raid

The situation progressed with three of the company’s offices being subject to a coordinated dawn raid by police and enforcement agencies, generating significant press interest. This sudden escalation brought new challenges necessitating close coordination across several levels of the company, from front-of-house to legal, communications and operations.

Key points considered by the panel included:

• The benefit of advanced preparation – dawn raid protocol and training
• Being clear what can and can’t be done or taken and by whom, and the importance of keeping records
• Responding to SFO requests for interviews
• Market updates
• Coordinated internal and external messaging to key audiences
• Challenge of balancing the need to manage the investigation and maintain confidentiality with addressing the very real anxiety of employees
• Adjusting indicative budgets and managing Board expectations effectively

Operating while under an SFO investigation

The panel then addressed a range of potential developments and challenges unfolding as the SFO investigation progressed, with new information emerging based on the leaked material including allegations against senior employees. Issues considered included:

• Managing an internal investigation when an external investigation is also underway
• How to handle document reviews, searches and interviews
• Allegations against senior individuals including employment law considerations, operational consequences and the need for independent legal (and possibly communications) advice
• Strategies for effective engagement with the SFO
• Importance of maintaining a tight and controlled communications approach, accepting the restrictions imposed by the ongoing SFO investigation
• Maintaining a dynamic approach to communications as developments unfold
• Supporting business as usual and effective reputation management for the extended period of an SFO inquiry, with a particular eye to employee and client management and retention – importance of regaining and building trust
• Managing an expanding budget
• Lessons learned – even if you think your controls are sufficient, this is the time to gold plate them and ensure that any issues are remediated before the SFO arrives at its conclusions

Overall, the panel illustrated that the crisis management process in such situations is a delicate balancing act, addressing legal risks, reputational threats, human impact, and business continuity considerations. Throughout every point of the scenario, the panellists stressed the importance of coordinated planning, calm leadership, and clear consistent communications while also driving home the need for thorough crisis response mechanisms within the firm to ensure it is best placed to navigate even the most challenging of events.