11 February 2011

Manufacturers ignorant of bribery

Many West Midlands manufacturers are unaware of how the Bribery Act 2010 will affect their business and could be hit by unlimited fines, imprisonment and irreversible reputational damage, says the Manufacturing Advisory Service – West Midlands' Auto unit.

Legislation on the subject, which has been delayed from its original April introduction date, covers four key offences; bribing another person, receiving a bribe, bribing a foreign public official, failing to prevent bribery.

The Act states that the offence could take place anywhere in the world and could be committed by anyone associated with the business – even a third party such as an agent. This will cause major problems as 'facilitation payments' are often a way of life overseas.

MAS is facilitating a workshop aimed at revealing all about the legislation that will undoubtedly influence the way large UK corporates and SMEs trade.

Delivered by legal experts Squire Sanders Hammonds, the interactive workshop takes place next week and will look at the key legal changes set to be introduced by the Act.

It will focus on the practical steps that manufacturers should take to minimise risk, ensure compliance and deal with suspected non-compliance.

MAS Auto's Rachel Eade (pictured) said: "There is a real lack of understanding from industry when it comes to the Bribery Act 2010 and this could end up costing them financially in the long term. It is a very complex subject, which is why we've enlisted the support of Squire Sanders Hammonds to provide companies with an instant guide to what it means, the implications and what they can do to avoid falling foul of legislation."

Amanda Beaton of Squire Sanders Hammonds continued: "Another key area will be the provision of hospitality and gifts which is one of the areas, together with facilitation payments, that has most concerned businesses. Without clear guidance, this is a potential minefield for management. Working with MAS-Auto, we'll aim to unravel the complications of the Bribery Act 2010 for manufacturers and tell them in plain language how it could affect their business and, importantly, the measures they can take to avoid costly fines."

The free-of-charge event takes place at the law firm's Birmingham offices and will ask manufacturers to review their internal procedures, implement or modify anti-bribery policy, critically appraise how they work with contractors, distributors, agents and train their key staff on compliance issues.

There are a few places left for the breakfast seminar, which starts at 8am on February 16th. If you would like to book your place please email reade@mas-wm.org.

Author
Ken Hurst

Supporting Information

Companies
MAS

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