Peru internal investigation
When a corporation or institution operating in Peru faces allegations of internal misconduct—whether financial fraud, corruption, or regulatory non-compliance—the stakes can extend far beyond Peruvian borders. U.S. companies with subsidiaries in Peru, Peruvian companies listed on U.S. exchanges, and executives who are U.S. citizens or green-card holders may find themselves subject to the extraterritorial reach of the Foreign Corrupt Practices Act (FCPA) and related U.S. securities law. An internal investigation, conducted under privilege and executed with an understanding of both Peruvian and U.S. legal obligations, is often the first critical step to contain exposure, preserve evidence, and make informed decisions about self-disclosure, remediation, and defense. Law Offices of SRIS, P.C. is a U.S. law firm that advises clients on cross-border compliance and works with independent Peruvian-licensed counsel when the investigation must navigate Peruvian law. For immediate guidance, call (888) 437-7747.
What a Peru internal investigation involves
An internal investigation in the Peruvian cross-border context is a fact-finding exercise designed to uncover potential violations of law or corporate policy while protecting the attorney-client privilege and work-product doctrine to the greatest extent possible. The investigation typically begins with a triggering event—an internal whistleblower complaint, an audit finding, due-diligence red flags from a third-party agent, or a subpoena from the U.S. Department of Justice (DOJ) or the Securities and Exchange Commission (SEC). From a U.S. law standpoint, the primary concern is often whether the conduct implicates the FCPA’s anti-bribery provisions (15 U.S.C. § 78dd-1 for issuers, § 78dd-2 for domestic concerns, and § 78dd-3 for certain foreign persons acting in U.S. territory) or the books-and-records and internal-controls requirements of 15 U.S.C. § 78m. At the same time, Peruvian law—including Law No. 30424 (Ley que regula la responsabilidad administrativa de las personas jurídicas) and the Peruvian Criminal Code’s bribery articles—may impose its own liability on the entity and its officers. A properly structured investigation must account for both legal frameworks.
The process typically moves through several phases: (i) scoping and preservation notices that are calibrated to Peruvian and U.S. data-privacy rules; (ii) collection and review of documents, emails, and financial records, often involving forensic accountants familiar with Peruvian accounting standards and SUNAT tax filings; (iii) interviews of current and former employees, third-party agents, and, where appropriate, government officials, conducted with sensitivity to Peruvian labor law and the right to legal counsel; (iv) analysis of the evidence against the elements of the applicable statutes; and (v) reporting to the audit committee or special committee, with recommendations for remediation and, if warranted, voluntary disclosure to the DOJ, SEC, or Peruvian authorities such as the Procuraduría Pública Especializada en Delitos de Corrupción. Throughout, the investigation team must maintain a clear record of privilege claims and, where Peruvian-licensed counsel are engaged, navigate the differences between the U.S. common-law privilege and the Peruvian concept of secreto profesional.
How Mr. Sris and the Of Counsel network approach Peru investigations
Law Offices of SRIS, P.C., under the leadership of Mr. Sris, provides the U.S.-side legal strategy for cross-border internal investigations involving Peru, while collaborating with independent Peruvian-licensed attorneys who handle matters of Peruvian law. Mr. Sris, a former prosecutor admitted to practice in Virginia, Maryland, the District of Columbia, New Jersey, and New York, directs the investigation’s compliance with U.S. federal law—ensuring that any evidence-gathering, privilege claims, and interactions with U.S. regulators meet DOJ and SEC expectations. When the investigation requires expertise on Peruvian criminal procedure, data-privacy obligations under the Ley de Protección de Datos Personales, or local employment-law constraints on employee interviews, the firm works with Of Counsel attorney Martín Mayandía. Mr. Mayandía is admitted to practice law in Peru; he is not admitted to practice law in the United States. His role is limited to Peruvian-law matters and to serving as a liaison between the firm’s U.S.-licensed attorneys and Peruvian witnesses or authorities.
This dual-counsel model allows the firm to advise on the U.S. legal consequences of a Peruvian investigation without practicing Peruvian law. Mr. Sris, together with the firm’s forensic accounting partners, typically leads the document review and witness interviews that are likely to be produced to U.S. regulators, while Mr. Mayandía advises on local evidentiary rules and any interaction with Peruvian prosecutors or the Superintendencia del Mercado de Valores (SMV). Because Law Offices of SRIS, P.C. does not currently maintain a location in Peru, all Peruvian-law work is performed by Mr. Mayandía in his capacity as an independent Of Counsel. Clients receive a clear engagement letter delineating which services are provided by the U.S. firm and which are provided by Peruvian counsel, preserving privilege and ensuring compliance with both U.S. and Peruvian unauthorized-practice-of-law rules.
About Mr. Sris and the sriscounsel Of Counsel network
Mr. Sris, Owner and Managing Attorney of Law Offices of SRIS, P.C., founded the firm in 1997 and leads its cross-border compliance and investigations practice. He is a former prosecutor with extensive experience in criminal and regulatory matters, and he has been admitted in Virginia, Maryland, the District of Columbia, New Jersey, and New York for more than 25 years. Under his direction, the firm has built an Of Counsel network that includes attorneys licensed in strategic foreign jurisdictions, enabling the firm to serve international clients without holding itself out as a foreign law firm. For Peru-related investigations, the network includes Martín Mayandía, who has been licensed by the Colegio de Abogados de Lima since 2009. Mr. Mayandía is admitted to practice law in Peru; he is not admitted to practice law in the United States. All U.S.-substantive legal analysis on sriscounsel.com is provided by U.S.-licensed attorneys; references to Peruvian law are informational and do not constitute Peruvian legal advice unless they are provided by a Peruvian-licensed attorney in the context of an retained engagement.
Mr. Sris and his Of Counsel bring extensive combined legal experience across multiple practice areas and jurisdictions. The firm’s U.S. locations are in Virginia, Maryland, the District of Columbia, New Jersey, and New York; its international collaboration hub is in Pereira, Colombia. There is no firm location in Peru. Clients with matters that may implicate Peruvian law are encouraged to contact the firm for a discussion of the appropriate role for Peruvian-licensed counsel.
Frequently asked questions
What triggers an internal investigation for a U.S. company doing business in Peru?
An internal investigation is typically triggered by a whistleblower complaint, an audit discrepancy, a suspicious payment flagged by the company’s accounting system, or a subpoena or information request from the U.S. Department of Justice or the Securities and Exchange Commission. Because the FCPA prohibits bribery of foreign officials, any allegation that a company’s employees or agents made improper payments to Peruvian officials—such as customs officers, tax inspectors, or procurement authorities—may require a prompt, privileged investigation to determine the facts before a regulator acts. Peruvian law also requires companies to report certain crimes, adding a local-law dimension that must be coordinated with U.S.-side obligations.
How does the FCPA apply to a Peruvian subsidiary of a U.S. public company?
Under the FCPA’s issuer and domestic-concern provisions, a U.S. parent company can be liable for the corrupt acts of its Peruvian subsidiary if the subsidiary’s actions were directed, authorized, or controlled by the parent, or if the parent aided and abetted the misconduct. Additionally, the FCPA’s books-and-records and internal-controls provisions require issuers to maintain accurate accounts and a system of internal controls over their consolidated entities, including foreign subsidiaries. If a Peruvian subsidiary records bribes as “consulting fees” and the parent consolidates those financials into its SEC filings, the parent may face books-and-records liability even if it did not know about the bribery. An internal investigation must therefore evaluate the parent’s supervision and the adequacy of its compliance program.
What are the key Peruvian anti-corruption laws that affect an internal investigation?
Peru’s anti-corruption framework centers on the Peruvian Criminal Code (Código Penal), which criminalizes active and passive bribery of public officials, influence peddling, and illicit enrichment, and Law No. 30424 (as amended), which establishes administrative liability for legal entities that benefit from corruption committed by their representatives. Law 30424 allows a company to mitigate penalties by implementing an effective compliance program and self-reporting violations. During an investigation, understanding how Peruvian authorities define a “public official”—which can include employees of state-owned enterprises—is critical, because conduct that does not violate the FCPA might still trigger Peruvian criminal exposure, and vice versa. A Peruvian-licensed attorney reviews the local-law dimensions of every investigative step.
Can a U.S. law firm interview Peruvian employees without violating local labor law?
Yes, but only if the interviews are conducted in a manner that respects Peruvian labor protections and data-privacy requirements. Peruvian law grants employees the right to legal representation during proceedings that could affect their employment. An internal investigation that may lead to termination or criminal referral therefore requires careful planning. Typically, a Peruvian-licensed attorney advises on the procedural safeguards, including the timing and contents of any notice to the employee, the employee’s right to be accompanied by counsel, and restrictions on recording interviews. The U.S. firm, working with Peruvian counsel, structures the investigative protocol to preserve the U.S. privilege while complying with local law.
When should a company engage both U.S. and Peruvian counsel for an internal investigation?
A company should engage both U.S. and Peruvian counsel whenever the suspected misconduct involves potential violations of U.S. law and the investigation requires access to Peru-based evidence, witnesses, or interactions with Peruvian regulators. Early involvement of Peruvian counsel helps ensure that document preservation, data collection, and employee interviews do not inadvertently breach Peruvian privacy or labor statutes, which could taint evidence or expose the company to separate local claims. Engaging Peruvian counsel also signals to Peruvian authorities that the company takes local law seriously, a factor that can influence prosecutorial discretion. Law Offices of SRIS, P.C. routinely coordinates with Martín Mayandía for precisely this purpose.
How do I start a Peru-focused internal investigation with Mr. Sris’ team?
Begin with a confidential telephone consultation to discuss the scope of the potential issue and the jurisdictions involved. During that call, Mr. Sris will help you assess whether the matter warrants a full investigation, which legal frameworks are relevant, and whether Peruvian-licensed counsel should be retained. Because each investigation is fact-specific, no two engagements are identical. To schedule an appointment, call Law Offices of SRIS, P.C. at (888) 437-7747 or email peru@sriscounsel.com.