Corruptie

Rol van de General Counsel bij Compliance en Fraude/Corruptie

2013 • Nwe opzet: multimediaal (kennen & leren), partners • Doel: hét platform voor kennisdeling en innovatie

• • • •

Jaarcongres, 3 Themabijeenkomsten (round tables) 5 Intervisiegroepen, 2x per jaar (2014 3x per jaar) 8 GCN Nieuwsbrieven & General Counsel Magazine Veel enthousiasme van deelnemers & partners

2014 • Ambitieus door op ingeslagen weg (info volgt) • Verdere groei aantal GCs: behoud persoonlijk contact

Vandaag • Welkom: deelnemers, geïnteresseerden en partners • Atos, praktische info

• Interactief: korte inleidingen, ervaringen delen • Intro, Preventiefase, Detectiefase, Responsfase • Round Tables incl borrel tot ca 18.45u

Panel •

Bart Aten, Benelux Legal & Compliance VP General Counsel bij Atos

•

Sylvie Bleker, Chief Compliance & Risk Officer bij Ballast Nedam en Program Director Post Graduate Compliance & Integrity Management bij de VU Amsterdam

•

Mariëlle van de Weijenberg, Directeur Juridische Zaken en Verzekeringen bij Heijmans

N.V.

•

Joost Wiebenga, Chief Ethics/Compliance Counsel & Deputy General Counsel EMEA bij Tyco

• •

Ep Hannema, Managing Partner bij Norton Rose Fulbright Nederland

•

Kees van de Meent, Managing Partner bij Höcker advocaten

Anne-Aymone Mei, Senior Manager Forensic & Integrity bij KPMG Advisory

Near future • Verslag van vandaag op www.generalcounsel.nl • As dinsdag nieuwe online Nieuwsbrief

• • • •

Eind oktober General Counsel Magazine Oktober en november: Intervisiebijeenkomsten Welkom nieuwe deelnemers en partners 2014 12 december: Legal Project Management bij TNO

General Counsel Netherlands De rol van de General Counsel bij Compliance en Fraude/Corruptie Dr. Sylvie C. Bleker-van Eyk CCRO 19 september 2013

Ballast Nedam Compliance & Risk

[9]

Definitie compliance

Het in de meest algemene zin bevorderen en handhaven van de (Europese/inter)nationale wet- en regelgeving en van de integriteit van de organisatie evenals de integriteit van haar bestuurders en medewerkers met als doel risico’s te beheersen en de daaruit voortvloeiende schade te voorkomen.

Compliance = gedrag!

Compliance ontstaat 99,9% vanuit een incident! Conclusie: samenwerking General Counsel en Compliance Officer Ballast Nedam Compliance & Risk

[10]

Fraude beleid

Fraudebeleid

Preventie • • • • •

Risicoanalyse Gedragscode Screening Training Communicatie

Detectie • Klokkenluiderregeling • Proactieve dataanalyse • Rol internal audit

Respons • • • •

Frauderesponsplan Onderzoek Redresseren Communiceren

Governance

23-9-2013

11 Ballast Nedam Compliance & Risk

[11]

Typen onregelmatigheden

► ► ► ► ► ►

►

Fraude door senior management Door In Ongeautoriseerd handelen het het Omkoping van ambtenaren bedrijf bedrijf Onjuiste boekhouding Kartels ‘Facilitation’ payments Tegen het Onethisch gedrag bedrijf

► ►


► ► ► ►

Diefstal van activa Inkoop ‘commissies’ Samenspanning Diefstal en verkoop van bedrijfsdata

Frauduleuze claims Frauduleuze afschrijvingen

[12]

Speciale onderwerpen

Corruptie (FCPA, OECD Anti-bribery, UKBA) Extraterritorialiteit (VS en UK) Export controls Cloud Computing

Hier kom ik graag nog eens voor terug


[13]


[14]

The role of the GC in the context of antibribery and corruption Ep Hannema and Neil O’May, Partners Norton Rose Fulbright LLP 19 September 2013

Overview • Setting the scene – Ever-changing global outlook on ethics and corruption – Enforcement/consequences

• What / where are the risks • In-house lawyer’s role • Personal situation/functioning

17

Ethics, the wider picture Focus on corruption but also part of a wider governance and corporate social responsibility picture • Trade law compliance: – Export controls – Sanctions

• Anti-trust • Broader human rights concerns: – Supply chain issues – Inappropriate labour – Impact on communities

• Tax evasion (including VAT) (Starbucks/IKEA) • Sustainability

18

Corruption in the 21st Century - background • The world has changed • The UK, the United States and nearly all other 190 countries have adopted laws prohibiting the bribery of government officials and private sector employees • New focus on practices and procedures designed and intended to avoid corrupt practices • “tick box compliance” insufficient (IMTECH f.e.) • Focus on risk assessment tone and training • Differences in legal regimes, but common principles • Objective and purpose of anti-corruption compliance • Key impact on lawyers is focus on “substance” of arrangements not “form”

19

Emerging international norms 

Recent anti-corruption global efforts – Increased prosecution and enforcement strategies – Deferred Prosecution Agreements – Transparency (press, stock markets etc.)



Pressure from NGO's – – – –



OECD "Good Practice Guidance on Internal Controls, Ethics and Compliance“ World Bank Integrity Compliance Guidelines BSI - Draft BS 10500 Specification for an anti-bribery management system Emerging ISO anti-bribery management standard

Heightened awareness and standards among corporates – Corporates are increasingly focusing on the effectiveness of internal policies and procedures to prevent corruption and reduce corporate criminal liability – Pressure from stakeholders



Employee awareness and whistleblowing



Stricter statutory regimes

20

Where are the ethics risks? 

Each business must assess its risks and introduce systems and processes with one apparently effective to manage those risks



From time to time, review these risks and the effectiveness of the processes and procedures intended to manage these risks

21

Risk map

22

Ethics industry Each Industry presents different ethical challenges, What and where are the particular risks in your industry(ies)? 

Are there particular sector risks (e.g. consumer products are low risk, defence is high risk as are other industries dependant on government interaction for licences and permits, e.g. Telecoms and Mining)



Geographical



Manufacturing – Licences, permits – Supply chain



Distribution and sales – Especially import/export controls/customs



Financial services



Interaction with high risk people – – – –

23

Defence (state is directly or indirectly the customer) Local authorities Politicians Prohibited people

Industry risks Corruption Enforcement by Industry, 1977-2011 Extractive Industries

19.4%(68)

Aerospace/Defense/Security

12.3%(43)

Manufacturer/Service Provider

12.0%(42)

Health Care

12.0%(42)

Engineering/Construction

10.5%(37)

Transportation/Communications

8.8%(31)

Financial Services

7.4%(26)

Technology/Software

5.7%(20)

Agriculture/Food

5.1%(18)

Non-Profit/Education/Consulting/Other

3.4%(12)

Property Development

2.3%(8)

Retail

0.6%(2)

Entertainment/Film

0.6%(2)

0

10

20

30

40

50

Number of Cases/Investigations

24

60

70

80

Does ABC compliance harm your business?

25

Risks of non-compliance 

Regulatory – Government investigations – Regulatory penalties and disgorgement of profits (Siemens 1.6 billion US$ – Imposition of external monitors by regulators/loss of control of business functions (worldbank) – Prosecution of individuals directly involved and their managers/directors



Reputational – – – –



Personal reputation of board members/GC’s Adverse press and damage to reputation/brand Loss of shareholder value Loss of talent/impairment of recruiting

Private actions – Shareholder demand for action, including derivative suits – Lawsuits by competitors for lost profits/opportunities – Lawsuits by customers for overpayment



Sentences/fines for individuals – China

26

Risks of non-compliance - continued  Damages

–Costs of investigations (Siemens 1 billion Euro) –Legal costs –Direct damages (overpayment etc.)

27

Key features of national laws • Prohibitions – Bribery of public officials – Commercial bribery – Receipt of bribes

• Mandates – Adequate procedures (USA, UK not the Netherlands but still relevant for size of sactions/fines)!

• Jurisdiction – Extraterritoriality (FCPA, UKBA)

28

The role of the GC/Ethics Officer/Company Secretary • Dual role – GC & Compliance Officer & Company Secretary • Move towards separating the roles due to: – Risk of conflict (see recent article Richard van Staden Brink); and – Problems with reporting and accountability.

• Dillema’s – Employees board member? – Escalation procedures?

29

What is required of in-house lawyers? The role of an in-house lawyer is crucial in achieving ethical practices and in preventing and deterring activity which is non-compliant  Assessing tone at the top  Understand where the risks are in the business  Understand the “red flags” 

– Question and follow through

Understand the ABC processes, know how they work, why they may not function and how you interacts with the processes  Difference in size / exposure / risk profile 

– No “one fit all approach” 

30

Awareness of more complex and increasingly extra-territorial legislation

What should the task of a lawyer working for a corporate be? 1. Effectively implement new policies and procedures (building on existing structures where they work) – Policies should be company specific covering issues which are relevant such as: kickbacks, extortion, protection money, facilitation payments, conflicts of interest, gifts and hospitality, fraud and money laundering and political and charitable contributions – (Code of conduct) (pre-approved) escalation protocols

2. Strengthen internal processes and procedures so that they are fit for purpose – E.g., provide detailed frameworks for risk assessment, training, sanctions, whistleblowing, continuous internal self-review and external reporting

3. Establish a dedicated function to investigate potential corruption incidents (registrations of incidents, (IAD)) 4. Educate and train staff to spot "red flags" and deal with issues appropriately 5. Establish proper reporting lines 31

Personal functioning / issues • Key risk: fail to act (non-reporting) or not acting after having been overruled • (less) failure to prevent • Specific risks: signing in compliance statements (SOX), compliance function in regulated entities etc. • Cases of personal liability of C.O. in Germany/Berlin (not acting) and at present several UK FSA’s cases

32

Personal functioning / measures • Proper job description covering compliance, role and responsibilities • Maintain independence (by avoiding split loyalties, ability to challenge senior executives, etc.) • Sufficient training • Sufficient resources • Sufficient buy in at executive level (“tone at the top”) • Proper independent reporting lines and adequate follow through (USA) • Proper escalation process (board-supervisory board) • Non retaliation policy • Protection (insurance, indemnity) • Legal privileges (lawyer) 33

• Checklist (“Red flags”) • Case studies (examples of day to day situations”)

34

35

Contact details Ep Hannema Partner, Amsterdam Corporate Department [email protected] +31 20 46 29 413

Neil O’May Partner, London Dispute Resolutions Department neil.o’[email protected] +44 20 7444 3499

36

Rol van de GC bij Compliance en Fraude/Corruptie Fase 2: Management van Anti-Bribery & Corruption Anne-Aymone Mei 19 september 2013

Introductie

Anne-Aymone Mei

Leen Groen

Senior Manager KPMG Forensic & Integrity

Director KPMG Forensic & Integrity

Contact:

Contact:

Telefoon: +31 (0)20 656 7551

Telefoon: +31 (0)20 656 7618

[email protected]

[email protected]

© 2013 KPMG Advisory N.V., registered with the trade register in the Netherlands under number 33263682, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Printed in the Netherlands. The KPMG name, logo and ‘cutting through complexity’ are registered trademarks of KPMG International Cooperative.

39

Adequate maatregelen

FCPA: 10 Hallmarks

UKBA: 6 principles

Commitment vanuit het senior management en een duidelijk beleid

Commitment vanuit het senior management

Risicoanalyse

Risicoanalyse

Nederland

Gedragscode en compliance beleid en procedures Toezicht, autonomie en middelen Proportioneel beleid en procedures Incentives en disciplinerende maatregelen Mogelijkheid tot vertrouwelijk melden en intern onderzoek Derde partijen due dilligence en betalingen Due diligence M&A: pre-transactie due dilligence en post-transactie integratie Training en continue advies en sturing

Communicatie en training

Continue verbetering: periodieke testen en reviews

Monitoren en beoordelen


40

KPMG’s ABC compliance framework Commitment van het management & Governance

Risico-analyse

Beleid en procedures

Training en communicatie

Reactie protocollen en onderzoeksprocedures

Due diligence procedures

Monitoring en meldstructuren


41

Top 3 huidige vraagstukken bij bedrijven

• Risk assessment • Due diligence

• Monitoring


42

Drie huidige vraagstukken bij bedrijven: Risico-analyse (hoe pak je dit aan?)

?

Structuur onderneming?

Geografische spreiding?

Likelihood of bribery

High

Sector?

MOD

HIGH Aard transacties?

LOW

MOD Cultuur onderneming?

Low

Significance to entity

Fundamental


43

Drie huidige vraagstukken bij bedrijven: Due Diligence (wie zijn mijn derde partijen eigenlijk?) Voorbeelden uit de praktijk Regulatory Affairs Consultants Purchasing Agents

Lobbyists

Product Registration Agents

Health & Safety Consultants

Freight Forwarders

Joint Venture Partners

Travel and Expense Vendors

Customs Agents

Distributors

Promotional Consultants

Resellers Wholesalers

Shippers Sales Agents

Brokers

Licensees

Nieuw over te nemen partijen!!! © 2013 KPMG Advisory N.V., registered with the trade register in the Netherlands under number 33263682, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Printed in the Netherlands. The KPMG name, logo and ‘cutting through complexity’ are registered trademarks of KPMG International Cooperative.

44

Drie huidige vraagstukken bij bedrijven: Monitoring (wat is een mogelijke red flag?) Inkoopproces

Verkoopproces

Treasury

■ Vage beschrijving van de kosten ■ Consulting fees gerelateerd aan overheidsbesluit ■ Onvolledige of ontbrekende documentatie ■ Buitensporige giften

■ Gebruik van veel tussenpersonen ■ Ontbreken overeenkomst ■ Agent vraagt om verhoogde factuur ■ Gratis goederen / samples

■ Ongebruikelijke contante betalingen ■ Betaling naar offshorerekening ■ Bankrekeningen worden geopend, gesloten en/of verplaatst

HRM Proces

Declaraties

Charitatieve giften

■ Overcompensatie aan buitenlandse managers ■ Zakelijke relaties met buitenlandse ambtenaar ■ Betaling aan derde verhuld als payroll

■ Vervalste declaratiedocumenten ■ Dubbele indiening van kosten ■ Opgave activiteit of aanwezigen bij maaltijd ontbreekt

■ Het bestaan van de beoogde begunstigde is niet vastgesteld ■ Verzoek betreft individu ■ Begunstigde is overheid


45

Effectiviteit van je compliance programma

Hoe realiseer je een effectief compliance programma?


46

Aantal incidenten 

Relatie tussen regels en incidenten

X

Aantal regels  © 2013 KPMG Advisory N.V., registered with the trade register in the Netherlands under number 33263682, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Printed in the Netherlands. The KPMG name, logo and ‘cutting through complexity’ are registered trademarks of KPMG International Cooperative.

47

Wat zegt de FCPA over cultuur? A strong ethical culture directly supports a strong compliance program. By adhering to ethical standards, senior managers will inspire middle managers to reinforce those standards. Compliant middle managers, in turn, will encourage employees to strive to attain those standards throughout the organizational structure.

■ Research has found that “ethical culture is the single biggest factor determining the amount of misconduct that will take place in a business.” ■ Metrics of ethical culture include ethical leadership (tone at the top), supervisor reinforcement of ethical behavior (middle management reinforcement), and peer commitment (supporting one another in doing the right thing). ■ Strong ethical cultures and strong ethics and compliance programs are related, as data show that a well-implemented program helps lead to a strong ethical culture. ■ Understanding the nature of any gap between the desired culture and the actual culture is a critical first step in determining the nature of any ethics-based risks inside the organization. ■ To create an ethical culture, attention must be paid to norms at all levels of an organization, including the “tone at the top,” “mood in the middle,” and “buzz at the bottom”.


48

Het Soft-controls model – kenmerken van een effectieve cultuur

Acht Soft -controls

Helderheid Voorbeeldgedrag

Handhaving

Aanspreekbaarheid

Uitvoerbaarheid

Bespreekbaarheid

Betrokkenheid Transparantie


49

Toelichting op Soft controls in relatie tot ABC

Helderheid

Transparantie

Voorbeeldgedrag

Bespreekbaarheid

Uitvoerbaarheid

Aanspreekbaarheid

Betrokkenheid

Handhaving


50

Correlation between compliance programs and behavior ■ Compliance programs continue to be correlated with: – Reduced prevalence of misconduct in organizations – Lower prevalence of conditions that give rise to misconduct – Increased employee willingness to report misconduct – More positive employee expectations regarding the outcomes of reporting misconduct – More positive employee perceptions of the tone at the top

– More positive team culture and environment – Better guidance and communication of policies around misconduct – Increased level of trust and greater sense of ownership

Bron: KPMG’s Integrity Survey 2013 © 2013 KPMG Advisory N.V., registered with the trade register in the Netherlands under number 33263682, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Printed in the Netherlands. The KPMG name, logo and ‘cutting through complexity’ are registered trademarks of KPMG International Cooperative.

51

Rol en uitdagingen van de General Counsel

• Integrale benadering van risico’s en compliance (ABC is slechts één onderwerp) • Aantonen dat compliance programma effectief is

• Promoten van een sterke cultuur


52

The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. © 2013 KPMG Advisory N.V., registered with the trade register in the Netherlands under number 33263682, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Printed in the Netherlands. The KPMG name, logo and ‘cutting through complexity’ are registered trademarks of KPMG International Cooperative.

Presentatie GCN 19 september 2013

Fase 3: “response”

Inleiding

● Focus:

● Asset recovery ● Internationale context

Algemeen

● Mijn achtergrond en ervaring

● ICC’s FraudNet

Algemeen

● Snel handelen is essentieel: binnen de eerste 48 uur is vaak nog veel mogelijk

● Hoe kom je aan relevante informatie?

Verzamelen van informatie: common law jurisdicties

● Third Party Disclosure Orders: ● Norwich Pharmacal Orders ● Bankers Trust Orders

Third Party Order ●

Third Party Disclosure Order ●





Mareva by Letter

● Zodra duidelijk is dat een bankinstelling, al dan niet vrijwillig, betrokken is bij een fraudezaak zendt de benadeelde partij de betreffende bankinstelling een brief waarin de fraude in detail wordt uiteen gezet ● Gevolgen voor de betreffende bankinstelling

Aaandachtspunten

● Snelheid van handelen – eerste 48 uur

● Verzamelen van relevante informatie

● Schakel deskundigen in!

Höcker Advocaten

● Van Eeghenstraat 98 1071 GL Amsterdam T 020 - 577 77 00 F 020 - 671 97 10 E [email protected] S www.hocker.nl

Corruptie

Recommend Documents