The Bribery Act

Why has the Bribery Act been created?

The current law surrounding bribery in Britain dates back almost one hundred years, and has become out-dated. In 2010, Parliament felt the need to implement tougher laws regarding corruption and passed the Bribery Act.

What has changed?

The new Act makes it illegal to give, promise or accept a bribe. It also brings in a corporate offence, so companies can be liable if members of their staff, or organisations associated with them, are in some way involved in bribery.

Bribery is a criminal office and the penalty can be up to ten years, plus an unlimited fine.

How does this affect UK businesses?

Compliance procedures must be strengthened to prevent corruption. The government has published guidance, formed of six principles, on what will constitute “adequate procedures” for companies to follow:

Proportionate procedures
Top level commitment
Risk assessment
Due diligence
Communication (including training)
Monitoring and review

When will the Bribery Act come into force?

After having been subject to many delays, the Bribery Act is due to come into force in July 2011.

HJA & Garden Court Chambers Bribery Act seminar

On 25th May 2011, Hodge Jones & Allen and Garden Court co-hosted a seminar entitled: “The Bribery Act – what every commercial lawyer needs to know”.

Presented by HJA partner Raj Chada, Owen Davies QC and Marguerite Russell from Garden Court chambers, the seminar provided an overview of the Act, as well as advice on the following points:

The offence of bribery
Why the Act was enacted
The prosecution process
Defences to criminal charges
Extraterritorial jurisdiction
Bribing foreign officials and “facilitation payments”
Comparisons with similar legislation in the US
The offence of failing to prevent bribery
Guidance under section 9 of the Act
Case studies for discussion