California Corporate Crime Reporting Obligations Initiative (2008)

Not on Ballot
This measure was not put on an election ballot

The Corporate Crime Reporting Obligations Initiative (07-0051) did not appear on the November 4, 2008 statewide ballot in California as an initiated state statute. Supporters were required to submit a minimum of 433,971 valid signatures by March 14, 2008 in order to make the November ballot. The California Secretary of State announced in April that the measure had failed or was withdrawn.

The objective of the initiative was to require that executives and managers of corporations or limited liability companies report, in writing, any violation by company involving financial fraud, consumer protection, health and safety, environmental protection or labor.

Specifically, it would have:

• Established criminal penalties (jail up to one year and/or fine up to $100,000) for failure to report within 15 days after actual knowledge of violation acquired.
• Defined manager as having both management authority and significant responsibility for an aspect of business.
• Defined actual knowledge as information that would convince a reasonable person in same situation that violation exists.

Proponents

James C. Harrison
Margaret R. Prinzing
Remcho, Johansen & Purcell, LLP

Estimated fiscal impact of the measure

Fiscal impact estimate as provided by California's Legislative Analyst office:

Probably minor local and state enforcement and prosecution costs, partly offset by increased fine revenue.

External links

• Ballot Summary (dead link)