Prevention of corruption – UK legislation and enforcement

Abstract

Purpose

The aim of the paper is to document the controls that presently exist in relation to domestic corruption, the need for reform of the law, in relation to both domestic and international corruption and the challenges that are faced by the UK Government in relation to enforcement of the laws that regulate corruption overseas.

Design/methodology/approach

The paper details the legislation and enforcement of the legislation to date as well as the proposed changes to the legislation. There is an examination of enforcement of the laws controlling corruption overseas are enforced. There is, in particular, a review of the decision to terminate the investigation into the BAE Al Yamamah contract.

Findings

The paper records what appears to be an accepted need for reform of the laws controlling both domestic and international corruption as well as international suspicion that the UK authorities commitment to enforcement in relation to corruption overseas is questionable and, in particular, that the UK authorities may well be taking account the country's economic interest in coming to a decision to terminate the BAE Al Yamamah investigation.

Practical implications

A failure by the UK Government to put into place effective legislation and enforcement, in relation to corruption overseas, could result in the UK Government being in breach of obligations contained within the OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions.

Originality/value

The paper undertakes a review of the present state of law and enforcement in relation to laws controlling corruption in light of the termination of the BAE Al Yamamah investigation which only took place in December 2006.

Citation

Brown, G. (2007), "Prevention of corruption – UK legislation and enforcement", Journal of Financial Regulation and Compliance, Vol. 15 No. 2, pp. 180-185. https://doi.org/10.1108/13581980710744066