Do you want to know some of the most important international standards in the world of compliance?
Here we present some of them.
International standards in Compliance
FOREIGN CORRUPT PRACTICES ACT
In 1977, after a series of investigations in response to various corruption scandals, the “Foreign Corrupt Practices Act” (FCPA) was enacted. The FCPA applies to all US companies and their affiliates regardless of where they are located.
The Foreign Corrupt Practices Act was enacted with the purpose of making it illegal for certain individuals and entities to make payments to foreign government officials to help obtain or retain business. These provisions prohibit promoting any offer, payment, promise to pay or authorization of the payment of money or anything of value to any person, knowing that all or any part of such money or thing of value will be offered, given or promised, directly or indirectly, to a foreign official to facilitate a business.
FEDERAL SENTENCING GUIDELINES
The Federal Sentencing Guidelines are guidelines issued and published annually by the United States Sentencing Commission with the purpose of establishing practices and policies on the issuance of sentences by the federal criminal system of the United States. They seek to create a uniform jurisprudence relating to natural and legal persons (organizations)
Subsection B.2 of Chapter 8 of this Manual describes how an “Effective Compliance and Ethics Program” should be configured, establishing as bases:
(1) exercise due diligence to prevent and detect criminal conduct; and
(2) otherwise promote an organizational culture that encourages ethical conduct and commitment to compliance with the law.
AUSTRALIAN STANDARD AS 3806-1998
Australian Standards is a reputable independent not-for-profit organisation, recognized by the Australian Government and a member of ISO, which issues local standards.
On February 5, 1998, it published Standard AS 3806-1998.
This standard is a guide only, in which the basic elements for the implementation and management of a compliance program within a corporation are specified and defined.
The #compliance program can be monitored and evaluated, based on three essential foundations:
to. Prevent, and if necessary, identify and respond to non-compliance within the organization.
b. Promote a culture of compliance within the organization.
c. Support the organization to remain or become a good corporate citizen.
This standard has been replaced by the standard AUSTRALIAN STANDARD 3806-2006
SARBANES OXLEY ACT
The Sarbanes Oxley Act was enacted in the United States in 2002 with the purpose of monitoring companies listed on the stock exchange, preventing the valuation of their shares from being altered in a dubious manner, when their value is lower. Its purpose is to avoid fraud and the risk of bankruptcy, protecting the investor. It was issued in response to the financial scandals of large corporations, such as Enron, Tyco International, WorldCom and Peregrine Systems, since these decreased the confidence that public opinion had in accounting systems and, above all, in the audit.
All companies registered on the New York Stock Exchange (NYSE) and NASDAQ, under the supervision of the SEC, are subject to this Law; Consequently, it applies to all organizations, whether national or foreign, that are listed on these stock exchanges, ranging from the parent company to the subsidiaries and affiliates; By virtue of this, its scope of application is extraterritorial.
BASEL AGREEMENTS
The Basel Committee on Banking Supervision (BCBS) was created in 1975 as an international forum for cooperation in banking supervision. It is not a multilateral organization, and its objective is to improve understanding of key supervisory issues and increase the quality of banking supervision worldwide, issuing non-binding standards and recommendations on banking supervision.
Although it has no authority to enforce its recommendations, most countries, members or not, tend to implement the policies dictated by the Committee. It is also in charge of issuing standards and recommendations at an international level to maintain and strengthen the health of banking entities.
In this Committee, the “Basel Agreement” emerges, through which the international standards that regulate banking matters are stipulated. The first Basel Accord, called Basel I (1988), laid the foundations for banking regulation; modified by Basel II (2004), and finally the current Basel III which dates from 2017.
UK BRIBERY ACT
The UK Bribery Act 2010 is another extraterritorial regulation like the FCPA. Introduces strict liability offenses for companies for failing to prevent bribery through effective irregularity detection and control systems, including the establishment of compliance programs.
The UK Bribery Act 2010 came into force on July 1, 2011. This law responds to the need to update anti-bribery legislation that has been in force for more than 80 years in the United Kingdom. , as well as pressure factors such as the relevance that the FCPA was taking on at the international level and the demands of international organizations, in the face of financial scandals of large companies.
The Serious Fraud Office of the United Kingdom has published a guide prepared by the British Ministry of Justice, aimed at companies for the correct establishment of compliance programs and the characteristics that these programs must have for them to work. efficiently, and, consequently, can operate as an exemption from the responsibility established in the Bribery Act. If you want to know in detail the rules that govern this sector, which is constantly booming, and train in #compliance, with the Master in Compliance Management and Data Protection, you can get it to develop professionally in it.
