Federal prosecutors have outlined specific questions regarding the evaluation of companies' AI-risk mitigating procedures during criminal settlement negotiations.

The U.S. Department of Justice (DOJ) has released updated guidance for corporate compliance programs that incorporate artificial intelligence (AI), emphasizing the need for companies to assess the potential harms of AI.

Particular attention will be given to vulnerabilities that AI may introduce, such as fraudulent approvals and documentation.

While AI can enhance compliance through automated risk detection and real-time monitoring, the DOJ stresses the importance of oversight and human review of AI-influenced decisions.

AI systems must be trustworthy and aligned with legal and internal governance standards, necessitating transparency in their operations.

Deputy Attorney General Lisa Monaco highlighted the need for stricter penalties against criminals exploiting generative AI for misconduct.

Nicole Argentieri, a senior official at the DOJ, announced these updates to the Evaluation of Corporate Compliance Programs (ECCP), which aim to enhance federal assessments of corporate compliance.

The DOJ expects continuous review and updates of compliance programs to address emerging risks associated with new technologies, particularly AI.

The updated guidance also includes provisions for whistleblower protections, encouraging employees to report illegal activities without fear of retaliation.

This guidance aims to establish higher accountability standards for companies, ensuring their AI systems are ethical, effective, and capable of mitigating risks.

Prosecutors will evaluate whether companies have adequate controls in place to manage risks associated with AI technologies, including measures to identify and mitigate potential criminal schemes.

New guidelines mandate compliance officers to critically assess AI's impact on legal compliance and the mitigation of potential risks.