0
Bribery Act       7 April 2011       Philip Somarakis            Partnerphilip.somarakis@bllaw.co.uk
How corrupt is UK PLC? Transparency International Corruption Perception Index 180 Countries Ranked – low score is good UK ...
Main features of the Bribery Act 2010General offences - bribing or receiving a bribePaying or offering to pay a bribeReque...
Main features of the Bribery Act 2010                  examplesBribing a planning officer to grant you planningpermissionP...
Main features of the Bribery Act 2010    Bribing of Foreign Public Officials (FPO)Cannot bribe overseas officialsLocal wri...
Main features of the Bribery Act 2010            Territorial jurisdictionRules relating to the two general offences and br...
Main features of the Bribery Act 2010Corporate offence of failing to prevent briberyA relevant commercial organisation (C)...
Main features of the Bribery Act 2010 Corporate offence of failing to prevent briberyA relevant commercial organisation (C...
Main features of the Bribery Act 2010Corporate offence – adequate procedures defence C has a defence that it had in place ...
Main features of the Bribery Act 2010     Guidance on adequate proceduresSix principles which underpin Bribery Prevention:...
Six principles      First – undertake a risk assessmentYou must regularly and comprehensively assess thenature and extent ...
Six principles             Top level commitmentThe Board of Directors are committed to preventingbriberyPublish statements...
Six principles                     Due diligenceYou have due diligence policies and procedures inplace which cover:–   all...
Six principles           Proportionate proceduresRevised Guidance much more conciliatoryProcedures and therefore resources...
Six principles          Communication and trainingAnti-bribery policies and procedures are embeddedand understood througho...
Six principles            Monitoring and reviewMonitoring and review mechanisms to ensurecomplianceInternal monitoringTran...
Miscellaneous mattersThe likelihood of a prosecution–   Resources–   Evidential Test–   Public Interest Test–   Must have ...
Legal Services, UK & IrelandCBI PresentationSteven FinkSouthampton, Thursday 7 April 2011
Contents     1. Corporate Structure of DP DHL     2. Compliance within DP DHL     3. Bribery Act      •      What have we ...
Corporate structure: One company with two strong pillars                        The postal service           The logistics...
Corporate structure                                                   Corporate Center                                    ...
Corporate division EXPRESS (I)                                   DHL Express• Express courier services using ground and ai...
Corporate division EXPRESS (II)                                   DHL Express• 120,000 destinations in more than 220 count...
Corporate division GLOBAL FORWARDING, FREIGHT (I)                                   DHL Global Forwarding• World’s No.1 in...
Corporate division GLOBAL FORWARDING, FREIGHT (II)                                   DHL Freight• No. 2 in European road f...
Corporate division SUPPLY CHAIN (I)                                   DHL Supply Chain• World’s No.1 in contract logistics...
Corporate division SUPPLY CHAIN (II)                                   Corporate Information Solutions• Leading global pro...
Compliance within DP DHL       • Global Compliance Office           – Based in Bonn HQ           – Functional move to Glob...
Bribery Act – what have we done?       •Compliance training       –       10 sessions held October 2010 – March 2011.     ...
Bribery Act – particular concerns and implications       • Corporate Entertainment          – Perceived as part of ‘day to...
Bribery Act – particular concerns and implications       • Scope           – Wide-reaching outside UK           – Effect o...
Bribery Act – next steps in DP DHL       •Review of particular risk areas       •Procedure for vetting corporate hospitali...
Thank you for your attention.Steven Fink/ Southampton/ Thursday 7 April 2011   Page 33
Upcoming SlideShare
Loading in...5
×

The Bribery Act seminar with the CBI

1,251

Published on

Blake Lapthorn and the CBI host a seminar on The Bribery Act at Blake Lapthorn's offices in Chandler's Ford on Thursday 7 April 2011.

Published in: Education
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
1,251
On Slideshare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
33
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Transcript of "The Bribery Act seminar with the CBI"

  1. 1. Bribery Act 7 April 2011 Philip Somarakis Partnerphilip.somarakis@bllaw.co.uk
  2. 2. How corrupt is UK PLC? Transparency International Corruption Perception Index 180 Countries Ranked – low score is good UK ranked 11th 2005 (better) UK ranked 20th 2010 (worse)
  3. 3. Main features of the Bribery Act 2010General offences - bribing or receiving a bribePaying or offering to pay a bribeRequesting or receiving a bribe
  4. 4. Main features of the Bribery Act 2010 examplesBribing a planning officer to grant you planningpermissionPlanning officer asking you for a reward for grantingpermissionSometimes making the offer itself is enoughCorporate hospitality is ok provided it is reasonableand proportionate
  5. 5. Main features of the Bribery Act 2010 Bribing of Foreign Public Officials (FPO)Cannot bribe overseas officialsLocal written laws that permit investment in the localeconomy or paying for training is acceptableFacilitation payments are prohibited unless permittedby local lawSFO will prosecute if payments are routinely made
  6. 6. Main features of the Bribery Act 2010 Territorial jurisdictionRules relating to the two general offences and bribinga Foreign Public OfficialOffence committed if any act or omission takes placein the UKOffence committed if the person has a “closeconnection” with the UKDefined as a UK citizen, resident, company orScottish Partnership
  7. 7. Main features of the Bribery Act 2010Corporate offence of failing to prevent briberyA relevant commercial organisation (C) is guilty of anoffence if a person (A) associated with C bribesanother person intending to obtain or retain:business for Can advantage in the conduct of business for CRelevant commercial organisation :UK company or partnership doing business here orelsewhereOverseas company/partnership carrying on businessor part of business here
  8. 8. Main features of the Bribery Act 2010 Corporate offence of failing to prevent briberyA relevant commercial organisation (C) is guilty of anoffence if a person (A) associated with C bribesanother person….A person is associated with C (disregarding anybribe under consideration) if A performs servicesfor or on behalf of CCan be an agent, subsidiary or parent company butwill depend on all the relevant circumstancesAn employee of C is presumed to be providingservices for C
  9. 9. Main features of the Bribery Act 2010Corporate offence – adequate procedures defence C has a defence that it had in place adequate procedures designed to prevent persons associated with C from undertaking such conduct Adequate procedures not defined in the Act but Guidance now published to assist companies Objective is to support businesses in determining the sorts of bribery measures they can put in place CBI has lobbied hard to get better clarification from Government on the Act
  10. 10. Main features of the Bribery Act 2010 Guidance on adequate proceduresSix principles which underpin Bribery Prevention:Risk Assessment is first thenTop Level Commitment )Due Diligence )Proportionate Procedures ) Risk MitigationCommunication and training )Monitoring and Review )
  11. 11. Six principles First – undertake a risk assessmentYou must regularly and comprehensively assess thenature and extent of risks relating to bribery whichyou are exposedNo “one size fits all”Skills of persons performing risk assessmentInternal risks - unawareness of staff of risksExternal risks – Country, Transaction, Partner, Sector
  12. 12. Six principles Top level commitmentThe Board of Directors are committed to preventingbriberyPublish statements of commitment to counter briberyfor internal and external communicationAppoint a senior person to oversee implementation ofanti bribery programme
  13. 13. Six principles Due diligenceYou have due diligence policies and procedures inplace which cover:– all parties to a business relationship– agents and intermediaries– all forms of joint ventures– all markets in which you operate
  14. 14. Six principles Proportionate proceduresRevised Guidance much more conciliatoryProcedures and therefore resources expended needto be proportionate to risks you faceProcedures should ensure that there is a practicaland realistic means of achieving your anti-briberypolicyDHL example to follow
  15. 15. Six principles Communication and trainingAnti-bribery policies and procedures are embeddedand understood throughout the organisationAppoint someone senior to oversee theimplementation– Internal and external communication– Method and timescale of trainingVarious methods of trainingArrangements for MonitoringPenalties for breaching policy
  16. 16. Six principles Monitoring and reviewMonitoring and review mechanisms to ensurecomplianceInternal monitoringTransparency is importantExternal auditors
  17. 17. Miscellaneous mattersThe likelihood of a prosecution– Resources– Evidential Test– Public Interest Test– Must have regard to GuidanceSentence– 10 years imprisonment for an individual convicted of an offence (NB senior officer liability where corporate offence committed)– Unlimited fine for company
  18. 18. Legal Services, UK & IrelandCBI PresentationSteven FinkSouthampton, Thursday 7 April 2011
  19. 19. Contents 1. Corporate Structure of DP DHL 2. Compliance within DP DHL 3. Bribery Act • What have we done? • Particular concerns/ implications • Next stepsSteven Fink/ Southampton/ Thursday 7 April 2011 Page 19
  20. 20. Corporate structure: One company with two strong pillars The postal service The logistics company for Germany for the world Steven Fink/ Southampton/ Thursday 7 April 2011 Page
  21. 21. Corporate structure Corporate Center Corporate Functions GLOBAL FOR- SUPPLY MAIL EXPRESS GBS WARDING, CHAIN FREIGHT Steven Fink/ Southampton/ Thursday 7 April 2011 Page
  22. 22. Corporate division EXPRESS (I) DHL Express• Express courier services using ground and air transport for companies and private customers alike• Widest reach in the industry, with own network covering more than 220 countries and territories in Europe, Americas, Asia/Pacific and emerging markets; and with a choice of transit times in each market• Core business comprises Time Definite and Day Definite international transportation of conveyable shipments, door to door• Progressively more focused on industry-specific solutions, among others for Technology, Life Sciences, Consumer goods and Automotive sectorsSteven Fink/ Southampton/ Thursday 7 April 2011 Page
  23. 23. Corporate division EXPRESS (II) DHL Express• 120,000 destinations in more than 220 countries and territories• Approx. 100,000 employees worldwide• Over 8 million customers• 6 main regional DHL Air Hubs: Bahrain, Cincinnati, Hong Kong, Lagos, Leipzig, Miami• Approx. 4,500 facilities worldwide• Approx. 62,000 vehicles• Global QCC: A Global Quality Control Center located at DHL Express’ Head Office in Bonn – Key functions: Real Time Shipment Management and Crisis Command CenterSteven Fink/ Southampton/ Thursday 7 April 2011 Page
  24. 24. Corporate division GLOBAL FORWARDING, FREIGHT (I) DHL Global Forwarding• World’s No.1 in air freight and ocean freight• Presence in 150 countries and territories• Approx. 30,000 employees worldwide• 810 terminals, warehouses and offices• Air freight volume: approx. 3,700,000 t• Ocean freight volume in TEU: approx. 2,600,0001)• Business units and products: – Air freight – Ocean freight – Industrial projects – International Supply Chain ManagementSteven Fink/ Southampton/ Thursday 7 April 2011 Page
  25. 25. Corporate division GLOBAL FORWARDING, FREIGHT (II) DHL Freight• No. 2 in European road freight• Presence in 53 countries and territories• Approx. 10,000 employees worldwide• More than 160 terminals• 2 million full truck load movements p.a.• More than 40 million tons transported p.a.• Business units and products: – Full truck load – Less than truck load – Customs brokerage – Intermodal transports – Trade Fairs and Event LogisticsSteven Fink/ Southampton/ Thursday 7 April 2011 Page
  26. 26. Corporate division SUPPLY CHAIN (I) DHL Supply Chain• World’s No.1 in contract logistics• Presence in more than 60 countries and territories• Approx. 120,000 employees worldwide• 2,400 logistic centers, warehouses, terminals• Approx. 23 million sqm storage capacities worldwide• Expertise in key sectors including fashion and retail, consumer goods, technology, health care, automotive, chemical & industrial• Business units and products: – Warehousing – Distribution – Managed Transport services – Value-added services (e.g. packaging, technical services, procurement) – Business process outsourcing – Supply chain management & consulting – Lead Logistics ProviderSteven Fink/ Southampton/ Thursday 7 April 2011 Page
  27. 27. Corporate division SUPPLY CHAIN (II) Corporate Information Solutions• Leading global provider of Corporate Information Solutions• Business Process Outsourcing solutions for the largest organizations and companies with international presence• Transformation of business processes of information and communication management in a strategic and holistic way• Global presence: Approx. 9,000 employees in Europe, North America and Asia/Pacific.Steven Fink/ Southampton/ Thursday 7 April 2011 Page
  28. 28. Compliance within DP DHL • Global Compliance Office – Based in Bonn HQ – Functional move to Global Legal Services July 2010 • Regional Compliance Officers • Online ‘elearning’ modules. – Mandatory for Corporate Executives • Full suite of Policies and Procedures • Local bespoke updatesSteven Fink/ Southampton/ Thursday 7 April 2011 Page
  29. 29. Bribery Act – what have we done? •Compliance training – 10 sessions held October 2010 – March 2011. – Attended by over 300 people across all DHL business units. – Senior level sponsorship. – Small groups of 20 – 30 people. – Mix of internal and external presenters. – Raised awareness of implication of new legislation as well as existing policies and procedures. – Also dealt with directors’ duties, health and safety and competition law. – Very interactive, prompting much discussion (some heated). – Often divergent views.Steven Fink/ Southampton/ Thursday 7 April 2011 Page
  30. 30. Bribery Act – particular concerns and implications • Corporate Entertainment – Perceived as part of ‘day to day’ business. – Concern over ability to develop and maintain customer/ supplier relationships. – Existing high profile activities: F1, Man United. – Olympics 2012? • Facilitation Payments – Belief legislation goes too far – Concern at activities in Africa/ Emerging Markets/ Russia – Unfair advantage to FedEx and UPS – Concern over wide-scale application – Watered down in guidance?Steven Fink/ Southampton/ Thursday 7 April 2011 Page
  31. 31. Bribery Act – particular concerns and implications • Scope – Wide-reaching outside UK – Effect on expatriates – Offence under Bribery Act and FCPA? – Control over employees in other jurisdictions.Steven Fink/ Southampton/ Thursday 7 April 2011 Page
  32. 32. Bribery Act – next steps in DP DHL •Review of particular risk areas •Procedure for vetting corporate hospitality requests •Review Policies and Procedures to bring in line with legislation •Re-affirm top level commitment •Continue roll-out of training to increase awareness •Consider impact of Guidance. AIM: Have Adequate Procedures in place.Steven Fink/ Southampton/ Thursday 7 April 2011 Page
  33. 33. Thank you for your attention.Steven Fink/ Southampton/ Thursday 7 April 2011 Page 33
  1. A particular slide catching your eye?

    Clipping is a handy way to collect important slides you want to go back to later.

×