2014 Data Is In and Fines Are Up
If there is one thing we can take away from 2014, in regard to corruption and bribery acts, it is that more and more companies will be scrutinized for the way they do business and that it is clear that fines that are being placed by the Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) are increasing. When looking at the data and comparing year to year, the increase of the amount of fines has risen, which could only lead to the SEC and the DOJ increasing their efforts to look for potential acts of corruption and bribery within any organization. But if we measure data from a year-to-year basis, by DOJ measuring standards, interestingly enough, according to an article by the FCPA Professor, it explains that the “core” actions that were recorded by the DOJ have decreased from year to year.
This can be read in many different ways, but as we can see by the numbers volume, in relation to amount size for these fines, it would be in the best interest of any company to demonstrate a level of compliance. Having a system in place does not always secure you will be free of potential risks of corruption, and does not clear you from further investigation of the SEC or the DOJ, but it will generate a level of awareness and proactivity on preventing corruption within your organization.
As a company that works with many 3rd party business partners and suppliers, measures need to be taken to make sure that ethical practices are put in place that follow those of the immediate global brand. The question remains, how are companies able to track, monitor, and engage with 3rd party business partners and suppliers? The solution is a cloud-based system that links global brands with their vendors, and allows for a network effect, with constant communication and monitoring. Source Intelligence with its global platform, allows you to onboard every supplier you work with, in order to engage fully and oversee any declarations, trainings and manuals these partners are required to be a part of. With 2015 now here, we have prepared key elements that help address the global corruption risk and the solutions needed for an effective anti-corruption compliance program. Click here to view more.
