Mishcon's Culture vs Corruption Diary - June 2011
Welcome to the June edition of Mishcon's Culture vs Corruption Diary. Its aim is to provide businesses and their advisors with a snapshot of what has been happening in the world of corruption in the last month.
We make no judgement whatsoever as to the morality, legality or appropriateness of the conduct which forms the subject matter of this bulletin. We simply aim to bring these matters to the attention of those involved in the prevention, detection and investigation of fraud.
UNITED KINGDOM
Legislation
According to research by Ernst & Young, the UK's new Bribery Act will have the biggest impact on the oil and gas sector as many companies in the sector work in parts of the world and are involved in situations which expose them to extra risks.
Brian Groom
The Financial Times, 9 May 2011
Government
A Transparency International report has said that weak rules governing the British system whereby former government ministers take up lucrative jobs in the private sector put Britain at “high risk of corruption” and undermine “trust in government”.
Jim Pickard
The Financial Times, 17 May 2011
INTERNATIONAL
Sport
Fifa is facing allegations that the bidding process for the 2018 and 2022 World Cups was riddled with corruption after six members of Fifa's executive committee were accused of "improper and unethical behaviour". Two members, Issa Hayatou and Jacques Anouma, were alleged to have received bribes from the Qatar 2022 bid in exchange for their votes. Qatar has denied the allegations.
Paul Kelso
The Daily Telegraph, 11 May 2011
WESTERN EUROPE
Commodities
Glencore has said that one current and one former employee will stand trial this year on charges of corruption after Glencore’s announcement that a grain subsidiary is under criminal investigation in Belgium for obtaining secret information on European export subsidies by corrupt means.
David Robertson
The Times, 5 May 2011
EASTERN EUROPE
Government
Latvia’s President Zatlers has moved to dissolve parliament amid an escalating corruption scandal following reports of corruption, including in parliament, where a majority of deputies blocked an anti-corruption investigation.
Clare MacCarthy
The Financial Times, 29 May 2011
AFRICA
Government
Egypt's former tourism minister, Zuheir Garana, has been convicted of corruption in intentionally damaging public finances by allowing two businessmen to illegally buy state-owned land.
The Daily Telegraph, 11 May 2011
Mishcon de Reya
Mishcon's Culture vs Corruption Diary is published by the Dispute Resolution Department of Mishcon de Reya. Widely recognised as the leader in the field of fraud investigations, the Department has extensive experience in conducting and/or project managing highly sensitive international investigations in respect of bribery and corruption allegations. The Department founded and runs both the Fraud Network, made up of international legal fraud specialists, and the Financial Risk Group, for risk and compliance officers.