UK Bribery Act : Implications for India

The Bribery Act 2010 (the Act) represents a significant change to UK laws in the area of business and commerce. It seeks to enhance the UK’s anti-bribery legislation. The Act replaces previous offences with active and passive bribery offences including offence relating to the bribery of foreign public officials and corporate offence of failure to prevent bribery.

On April 8, 2010, the Act was passed into law, and is scheduled to be implemented from April 2011. The jurisdiction of the Act extends to

•  British Citizen working anywhere in the world;
•  Individual ordinarily resident in UK;
•  Anybody corporate incorporated in UK;
•  Any corporate entity carrying on all or part of business in UK

On September 14, 2010 the Ministry of Justice issued a consultation document on “guidance about commercial organizations preventing bribery” and invited suggestions till November 8, 2010. Further guidance on "adequate procedures" is awaited from the Ministry.

It is imperative that companies ‘Act now or pay later’. Companies need to take steps to assess their current anti-bribery policies and procedures, and take remedial measures to rectify any gaps. Ensuring robust and comprehensive procedures are in place and their operation evidenced is a challenge organizations need to take now.

On October 21, 2010 a webinar on the UK Bribery Act: Implications for India was presented by PwC Forensic Services team. The webinar included brief on the Act, its scope, implications and challenges for India and guidance on procedures to prevent bribery. The speakers at the webinar were Vidya Rajarao, Leader, Forensic Services, PwC, India and Will Kenyon, Partner, Forensic Services, PwC UK.