- Joined
- Jan 6, 2012
- Messages
- 1,598
- Points
- 48
The Bribery Act 2010 will come into force on 1 July 2011. It amends and reforms the UK criminal law and provides a modern legal framework to combat bribery in the UK and internationally.
Regulation in practice: mode and scope
The Bribery Act creates the following offences:
Active bribery: promising or giving a financial or other advantage.
Passive bribery: agreeing to receive or accepting a financial or other advantage.
Bribery of foreign public officials.
The failure of commercial organisations to prevent bribery by an associated person (corporate offence).
Penalty
Under the current law imprisonment for up to seven years with unlimited fine will increase under the Bribery Act to a maximum of 10 years imprisonment.
Jurisdiction
The scope of the law is extra-territorial. Under the Bribery Act, a relevant person or company can be prosecuted for the above crimes if the crimes are committed abroad.
Application
The Bribery Act applies to UK citizens, residents and companies established under UK law. In addition, non-UK companies can be held liable for a failure to prevent bribery if they do business in the UK.
Liability
Companies can be liable for bribery committed for their benefit by their employees or other associated persons.
Culpability
A company or corporate entity is culpable for board-level complicity in bribery, including bribery through intermediaries. There is also personal liability for senior company officers that turn a blind eye to such board-level bribery.
In addition, a company or corporate entity is culpable for bribes given to a third party with the intention of obtaining or retaining business for the organisation or obtaining or retaining an advantage useful to the conduct of the business by their employees and associated persons, even if they had no knowledge of those actions. The company can invoke in its defence that it ‘had in place adequate procedures designed to prevent persons associated [with the company] from undertaking such conduct’.
Issues to consider
If your company is planning to do business in DRC make use of the Ministry of Justice guidance and consider the tools available on the Business Anti-Corruption Portal before you go.
Opportunities
Bribery has no place in British business, at home or abroad. This new robust law reflects the UK’s role in the fight against bribery and paves the way for competitive but fair practice. Over time it will have a positive impact on the prospects of UK businesses through enhanced reputation for ethical standards, reduced costs and an international level-playing field.
http://www.fco.gov.uk/en/global-issues/conflict-minerals/legally-binding-process/uk-bribery-act
The most infamous Al Yamamah: http://en.wikipedia.org/wiki/Al-Yamamah_arms_deal
http://www.guardian.co.uk/world/2010/feb/05/bae-saudi-yamamah-deal-background
And the commissions for these transactions are staggering for all involved.
Regulation in practice: mode and scope
The Bribery Act creates the following offences:
Active bribery: promising or giving a financial or other advantage.
Passive bribery: agreeing to receive or accepting a financial or other advantage.
Bribery of foreign public officials.
The failure of commercial organisations to prevent bribery by an associated person (corporate offence).
Penalty
Under the current law imprisonment for up to seven years with unlimited fine will increase under the Bribery Act to a maximum of 10 years imprisonment.
Jurisdiction
The scope of the law is extra-territorial. Under the Bribery Act, a relevant person or company can be prosecuted for the above crimes if the crimes are committed abroad.
Application
The Bribery Act applies to UK citizens, residents and companies established under UK law. In addition, non-UK companies can be held liable for a failure to prevent bribery if they do business in the UK.
Liability
Companies can be liable for bribery committed for their benefit by their employees or other associated persons.
Culpability
A company or corporate entity is culpable for board-level complicity in bribery, including bribery through intermediaries. There is also personal liability for senior company officers that turn a blind eye to such board-level bribery.
In addition, a company or corporate entity is culpable for bribes given to a third party with the intention of obtaining or retaining business for the organisation or obtaining or retaining an advantage useful to the conduct of the business by their employees and associated persons, even if they had no knowledge of those actions. The company can invoke in its defence that it ‘had in place adequate procedures designed to prevent persons associated [with the company] from undertaking such conduct’.
Issues to consider
If your company is planning to do business in DRC make use of the Ministry of Justice guidance and consider the tools available on the Business Anti-Corruption Portal before you go.
Opportunities
Bribery has no place in British business, at home or abroad. This new robust law reflects the UK’s role in the fight against bribery and paves the way for competitive but fair practice. Over time it will have a positive impact on the prospects of UK businesses through enhanced reputation for ethical standards, reduced costs and an international level-playing field.
http://www.fco.gov.uk/en/global-issues/conflict-minerals/legally-binding-process/uk-bribery-act
The most infamous Al Yamamah: http://en.wikipedia.org/wiki/Al-Yamamah_arms_deal
http://www.guardian.co.uk/world/2010/feb/05/bae-saudi-yamamah-deal-background
And the commissions for these transactions are staggering for all involved.
