No bribes, please. We’re British

Britain’s

new Bribery Act comes into force tomorrow, 1 July. From tomorrow, British

nationals and British companies are subject to new rules which tighten

and extend legislation governing their activities overseas.

The

Bribery Act makes it illegal to give or receive a bribe anywhere in the

world. It also requires companies to take steps to prevent their

employees and agents acting on their behalf from indulging in bribery. A

company might claim that it had no knowledge of what its employee was

doing, but unless it can prove that it had the policies and procedures

in place to prevent bribes from being given or taken, it will still be

liable to prosecution.

What

does this mean for companies operating in Romania? Firstly, it means that if a British national or a British company is

involved in bribery in Romania it will be breaking the law in the UK and

not just in Romania, and is liable to prosecution by the British

authorities.

Secondly,

it means that British companies planning to do business in Romania will

need to assess the risks of corruption and take measures to protect

themselves against that risk. The company will need to be assured that

all of its employees and anyone acting on its behalf are aware of their

responsibilities under the Bribery Act and that it has procedures in

place to ensure that the law is being fully observed.

A

clear policy of zero tolerance for bribery might mean that some

business is lost. British companies might lose out to other companies

that are less scrupulous. But no good business will be lost. In the long

term British companies will do best and Romania will benefit most from a

business climate which is transparent and clean. Romanian companies and

institutions can contract with British companies with the assurance

that those companies are legally bound in their home jurisdiction to do

business cleanly and honestly in Romania.  That can only enhance

Britain’s reputation as a quality investor. And in this way British

companies will be doing their bit to assist Romania with its efforts to

stamp out corruption, to clean up the business environment, and to put

an end to the culture of giving and receiving bribes.