The survey gathers views on corruption, encompassing results
from over 114,000 respondents in 107 countries. Respondents were
asked a series of questions in relation to their experience of
bribery and corruption in the past year across eight different
services. Some interesting findings for Australia, but let's
consider the international context first.
A key and worrying finding from this survey is that it
highlights how widespread bribery is: more than one in four
respondents stated they have paid a bribe in the past 12 months!
This serves as a reminder that the regulatory risk associated with
bribery and corruption is a significant and ongoing issue that
Australian companies have to face when conducting business in the
Given that the
cost of corruption is estimated to amount to more than 5% of
global GDP (US$2.6 trillion) with more than US$1 trillion paid in
bribes each year, it is definitely no small matter that needs to be
addressed. Furthermore, corruption increases the cost of doing
business globally by up to 10% on average. Combining this with the
need to abide by international and Australian anti-corruption
legislation, has your business done enough to combat the risk of
As discussed in a
previous blog post, criticism by the OECD is likely to see
Australian authorities step up their enforcement activities in
relation to bribery of foreign public officials meaning Australian
organisations will risk paying dearly if they participate in
corrupt activities. This makes it crucial for a company to create
and implement a thorough and effective anti-corruption compliance
Finally, let's consider our
own backyard. Even though we are generally perceived as immune
from the existence of day-to-day corruption, 53% of respondents
thought that corruption is a problem in the Australian public
sector! However, only 17% of respondents believed that the
government is taking effective action against corruption. This is
interesting food for thought.
The omnipresent risk of bribery is something all companies face
when conducting business. Organisations that ignore this risk do so
at their own peril. What are you doing to mitigate your corruption
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
ASIC chairman confirmed that ASIC will continue its tough stance against suspected insider trading.
Some comments from our readers… “The articles are extremely timely and highly applicable” “I often find critical information not available elsewhere” “As in-house counsel, Mondaq’s service is of great value”
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).