Businesses warned to brush up on bribery or risk a hefty fine
Giving or receiving lavish corporate gifts could land businesses in hot water under new legislation, a team of Shropshire solicitors warned today.
County based solicitors firm Hatchers today urged businesses to brush up on the Bribery Act 2010 or risk landing a hefty fine and criminal record in return for entertaining a customer or client.
The act is expected to be introduced this summer and will have implications for many businesses, particularly those which do business overseas or deal with foreign public officials.
Hatchers, which has branches in Shrewsbury and Whitchurch, today urged businesses to get their houses in order and not be caught out by the new legislation, in particular the new offence of failing to prevent bribery.
Ann Fisher, of Hatchers, said today: “The new legislation means that if someone bribes another person for the benefit of a business or organisation, there could be serious implications, even if they knew nothing about it.
“In fact if someone suspects bribery but fails to act, there may also be a case against them.
“The strict liability part of the offence, means that there is no need for the courts to prove negligence or the involvement and guilt of the 'directing mind and will' of the organisation, which will probably lead to more corporate prosecutions and convictions.”
Ms Fisher urged all businesses to carry out a comprehensive review of their anti-corruption procedures to make sure they have the right measures in place to reduce the risk of committing an offence under the Act.
Criminal penalties for anyone found guilty of bribery are likely to be substantial. Individuals can be jailed for up to 10 years and/or receive an unlimited fine. A director convicted of a bribery offence is also likely to be disqualified from holding a director position for up to 15 years.
Ms Fisher said the key thing was to implement adequate procedures to prevent and detect bribery.
She concluded: “Both large and small businesses need to be able to demonstrate that they have proper record-keeping systems in place and clear guidelines for staff over expense claims, corporate gifts and hospitality.”
