Facilitation payment definition

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Bribery prevention—overseas partners—checklist

Bribery prevention—overseas partners—checklist This is a Checklist for overseas partners on how to prevent bribery. Policies and procedures • Has the company got a clear, robust and pragmatic code of ethics which explicitly refers to a zero tolerance of bribery and corruption? • Is this code of ethics supported by proportionate policies? Is there top level commitment to these policies from the Board and does an appropriately experienced senior officer of the company oversee the anti-bribery policy? ◦ Are the anti-bribery policies and procedures a regular Board meeting agenda item for consideration? ◦ Are the details of the Board's discussions of the anti-bribery policies and procedures fully minuted? ◦ Is there a Board sub-committee with responsibility for overseeing the amendment and enforcement of the anti-bribery policies and procedures? ◦ Does the company’s General Counsel, and the legal/compliance department as a whole (where present), have specific expertise of the anti-bribery legislation and practice? If not, then (a) the company should retain external lawyers with the requisite knowledge; and (b) should consider...

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Facilitation payments under the Bribery Act 2010

Facilitating the performance of a duty by public officialsFacilitation payments, also known as facilitating or grease payments, are generally small amounts of money paid to public officials or others as a means of ensuring that they perform their duty, whether more promptly or at all. It can also include the giving of ‘gifts’, such as cigarettes or alcohol. In some jurisdictions such payments are customary and legal (eg they are permitted in certain circumstances by the US Foreign Corrupt Practices Act 1977 (FCPA 1977), see Practice Note: The US Foreign Corrupt Practices Act 1977 (FCPA 1977) and Bribery Act 2010 (BA 2010) comparison table).Are facilitation payments illegal under BA 2010?Facilitation payments constitute the offering, promising or giving of a financial advantage and amount to bribery, as they are not exempted under Bribery Act 2010 (BA 2010).Active bribery offencesActive bribery is explicitly prohibited by the BA 2010. A facilitation payment made directly or indirectly to a public official, an employee of any organisation or business, anyone in or connected with a...

The Bribery Act 2010—an introductory guide

The Bribery Act 2010 (BA 2010) was passed to ensure the UK’s compliance with the Organisation for Economic Co-operation and Development's (OECD) Convention on Combating Bribery of Foreign Public Officials in International Business Transactions and came into force on 1 July 2011. It was designed to provide an effective legal framework to tackle corruption in both the public and private sectors, modernising the UK’s anti-corruption legislation and replacing the Prevention of Corruption Acts 1889–1916. For detailed guidance on historic anti-corruption law, see Practice Notes: Corruption and common law bribery—pre-Bribery Act 2010 [Archived], Pre BA 2010 bribery and corruption—Practicalities [Archived] and Pre-Bribery Act 2010 corruption—sentence tracker [Archived].BA 2010 has major implications for any business that is incorporated or trades in the UK. It applies to bribery committed by it, or on its behalf, anywhere in the world.Offences under the Bribery Act 2010BA 2010 criminalises four distinct types of conduct (offences):•bribing another person•soliciting or accepting a bribe•bribing a foreign public official, and•(for a business only) failing to prevent briberyCommon to each of...

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Policy—anti-bribery and corruption

Policy—anti-bribery and corruption 1 Introduction 1.1 Bribery and corruption remain a major issue in world trade, despite the many dedicated efforts to prevent them. Our legal obligations are primarily governed by the Bribery Act 2010. That Act affects us, as a UK company, if bribery occurs anywhere in our business[es]. 1.2 Corruption and bribery are very damaging to the societies in which they occur. They divert money and other resources from those who need them most and hinder economic and social development. They damage business, not least by increasing the cost of goods and services. 1.3 The Company runs its business[es] with integrity and in an honest and ethical manner. All of us must work together to ensure that our [business remains OR businesses remain] untainted by bribery or corruption. This policy is a crucial element of that effort. This policy is the personal responsibility of [enter position, eg the CEO], it has the full support of the Company’s board, and it is [enter position, eg the...

Financial crime prevention—overseas agent/intermediary due diligence form

Financial crime prevention—overseas agent/intermediary due diligence form To be completed by [insert name of organisation appointing the agent/intermediary]. 1 Geographical factors Consider where the agent or intermediary is based. Country in which the agent or intermediary is based [Insert country] Country’s Transparency International Corruption Perceptions Index score [Insert score] Is there any substantial basis to believe that business in the country is frequently obtained by bribing officials and/or that such payments are common?If yes, provide details, including how you were made aware of such information, such as from other multinational organisations doing business in the country, local contacts, periodicals or news articles. ☐ Yes—[Insert details requested]☐ No Have enquiries been made as to the relevant civil/criminal law of the particular country to identify any significant differences to UK law (eg legality of facilitation payments)? ☐ Yes☐ No—[Insert details] Is that country known or reasonably suspected to:—operate high-levels of secrecy;—be used as a tax shelter;—not subscribe to Common Reporting Standards;—have a low OECD tax transparency rating. ☐ Yes—[Insert...