Bylaws of National Federation for Catholic Youth Ministry, Inc.

Article 11
Whistle-Blower Policy

Section 11.1. Purpose.
As required by the federal Sarbanes-Oxley Act ("SOX"), the purpose of this whistle-blower policy is to encourage exposure of serious criminal fraud activity and other illegal conduct relating to accounting and financial matters at the Federation and to provide specific instructions regarding appropriate action to report suspected violations. The type of illegal conduct that it is the object of this policy to expose includes but is not limited to:
(a) Theft or misappropriation of Federation assets by any person;
(b) Misstatements and other irregularities in the corporate financial records, including but not limited to the intentional misstatement of results of operations;
(c) Forgery or alteration of financial documentation by any person; and/or
(d) Unlawful acts pertaining to financial matters.

Any Federation employee, officer, or director who has reason to believe this type of conduct has occurred is expected to report it.

Section 11.2. Procedures.
Employees, officers and directors making reports under this policy are to direct them to the treasurer, or in the case of the treasurer, to the chairperson. The whistle-blower must be acting in good faith when reporting a violation and must provide all details within his or her knowledge about the conduct being reported. The whistle-blower also must make the report to the treasurer (or if it involves the treasurer, then to the chairperson). Special care must be taken not to alert the individual suspected of the violation. The full board will then be responsible for follow up and investigation of the incident. Neither the existence nor the results of investigations will be disclosed or discussed with anyone other than those persons who have a legitimate need to know. Since the board as a matter of law is responsible for the management of all of the Federation's business and affairs, the board always has a legitimate need to know. The incident and any subsequent findings of the investigation will be considered by the board, excluding the perpetrator from any vote, and further action in response to the violation, including disciplinary action, will be determined. A record of all complaints and investigations into potential violations will be kept in the corporate minute book. No employee, director, or officer who in good faith reports a violation shall suffer harassment, retaliation or adverse employment or other consequences. An employee, director or officer who retaliates against a whistle-blower is subject to discipline up to and including termination of employment or removal from the board. Likewise, anyone making allegations that prove not to be substantiated and which prove to have been made maliciously or knowingly to be false will be subject to disciplinary action.