Proposed guidelines hold boards accountable for compliance

Governing boards will be required to take an active role in the content and operation of their organization's compliance initiatives if the U.S. Sentencing Commission's proposed standards for compliance and ethics programs are accepted by Congress.

On April 30, the U.S. Sentencing Commission submitted a proposal to Congress to amend the federal organizational sentencing guidelines. These guidelines provide a framework for effective compliance and ethics programs and specify that boards of directors and executives must assume these responsiblities.

Congress is expected to accept the changes, making the guidelines effective on November 1, 2004.