If you are creating or updating your corporate ethics program, Tom Fox surveys global anti-bribery and corruption laws.
Video 3: What is the Intersection Between FCPA Anti-Corruption and Corporate Ethics?
If you are creating or updating your corporate ethics program, Tom Fox surveys global anti-bribery and corruption laws. He discusses the Ten Hallmarks of an Effective Compliance Program, the 13 Good Practices on Internal Controls, Ethics, and Compliance and explains the critical role that a meaningful and robust corporate ethics program plays in guaranteeing a company’s anti-bribery and anti-corruption (ABC) success.
What are ABC laws?
Many countries such as the United States have laws on their books which make illegal the corruption of foreign government officials. This is the basis for the Foreign Corrupt Practices Act. In the US there are a myriad of state and federal laws which make illegal the corruption of domestic government officials. Other countries, such as the United Kingdom, have synthesized their anti-corruption legislation into one law which makes illegal the corruption of both foreign and domestic government officials. This is the basis of the UK Bribery Act.
What is ABC Compliance?
Programs to comply with ABC laws are generally referred to as anti-corruption compliance or anti-bribery compliance. In the US, it is called FCPA compliance. Each piece of ABC legislation has its own specific number of compliance steps. The UK Bribery Act has Six Principles of an Adequate Procedures Compliance Program. The FCPA has Ten Hallmarks of an Effective Compliance Program. The Organization of Economic Cooperation and Development has its 13 Good Practices on Internal Controls, Ethics, and Compliance.
What is the role of Corporate Ethics?
The role of corporate ethics in any ABC compliance program is absolutely critical for its success. The US Department of Justice has made clear that A successful compliance program must be built on a solid foundation of ethics that are fully and openly endorsed by senior management; otherwise the program may amount to little more than a hollow set of internal rules and regulations. There should be an unambiguous, visible, and active commitment to compliance. But even more than support or the right tone, compliance standards require that companies must have high-ranking chief compliance officers who have the authority and resources to manage the program on a day-to-day basis.