Newly tabled provisions to the Malaysian Anti-Corruption Commission (MACC) Act 2009, would mean that companies can be held responsible if employees commit bribery.
The new rules are similar to those under the UK’s Bribery Act 2010, which holds employers responsible for acts of bribery committed by employees and intermediaries. The legal change would see firms facing financial penalties for allowing bribery to take place. Tracking the actions of every employee in a firm is not an easy task and the chances of a bribe being paid without the knowledge of the wider firm and senior management, for example, are high. So, the MACC will contain one defence for firms.
A firm could defend itself against a potential financial penalty if they can prove they have adequate procedures in place to prevent bribery. Financial Crime Asia has not found any specific guidance relating to what those adequate procedures are vis a vis the MACC, however there is a raft of information on the same provision under the UKBA, which can be found by searching this blog or via Transparency International and the UK Ministry of Justice web portals.
If any readers can share links to good sources of information on adequate procedures for preventing and detecting bribery and corruption, please do share in the comments. Thank you.
Source – The Borneo Post