Lower investment into anti-bribery and compliance measures due to lack of cases
Companies are re-examining their level of investment in anti-bribery and compliance measures due to a lack of high-profile prosecutions under the Bribery Act, according to The Ernst & Young Global Fraud Survey.
Staggeringly, only 26% of executives believe the Serious Fraud Office (SFO) to have both the will and the capacity to secure convictions for bribery and corruption.
Jonathan Middup, UK Head of Ernst & Young’s Anti-Bribery Corruption team said: “The delay in seeing prosecutions under the Act has led some businesses to begin quietly questioning the SFO’s appetite for enforcement. After the hiatus of the Act being debated, passed and finally becoming enforceable, a year without a corporate prosecution has left some feeling like it’s a phoney war.
“The Bribery Act has had a far-reaching effect with the act becoming embedded in compliance programmes. It has meant that businesses have paid attention to facilitation payments, third-party relationships and corporate entertainment, and it has seen allegations of bribery and corruption treated far more seriously than in the past.”
However, Middup went on to warn that the lack of cases should not be taken for granted: “Those who point to the lack of prosecutions under the Bribery Act should be cautious. We are most often asked to undertake bribery and corruption investigations for incidents which happened years ago. Businesses not taking the right action now to encourage a culture of integrity are only likely to be storing up difficulties for the future.”
No comments yet