Corruption handling in the United States
(US) is basically not much different from Indonesia, expect its legal history,
namely the US Foreign Corrupt Practices (FCPA) which was passed into law in
1977. Since the date it was passed into law until now, FCPA has been amended
for two times, namely 1988 and 1998. The two amendments are related to Foreign
Corrupt Practices Act (1998) and Foreign Corrupt Practices adjusted to the
Development (OECD) convention in 1998. “There are some US companies which
commit a large amount of bribery in Indonesia. There are also individuals who
were committing bribery. Everything can be seen in the website”, Dan forth
Newcomb, corruption expert at Shearman & Sterling LLP, New York, US, told
Business News (9/18)..
FCPA has involved some big cases, for
example judicial review on mufti-jurisdiction anti corruption case against
Nokia filed by Siemens AG. And. There is as a case involving ABB Volvo in the
process of the United States Department of Justice (DOJ) in oil for food
program. The ABB case is involving DOJ’s investigation on Narks Hydro/Statoil
Titan Corporation, Daimler Chrysler AG, Bonny Island in Nigeria, Faro Tech.
Inco, and Oil State International Inc.
US jurisdiction covers extraterritorial
jurisdiction (outside US territory) which is applicable for US corporations and
citizens. This also includes US corporations under non-US holding companies.
But, it also includes US citizens working outside the US in non-US
corporations. While, its territorial jurisdiction (within US territory) is applicable for non-US corporations and US
citizens. This also includes non-US corporations and individuals who commit
actions in the US territory, including non-US citizens working in US or non-US
corporations in the United States. “So, after the amendment, which is more than
20 years, there is a law that prohibits bribery outside the US.”
US corporations are committing bribery not
only in Indonesia, but also in other countries including China. Those
corporations have various kinds of business, such as energy, forestry, etc.
“Our jurisdiction is not only in Indonesia, and there is also investigation and
punishment imposed on the corporations.
While, jurisdiction within the US territory
can not 100% become an experience on how to handle corruption in the US. For
example, a law firm in New York cannot provide legal assistance on corruption
case in State of Vermont. United States is a federal country with stronger
autonomy of the states. This might be different with Indonesia. Indonesia’s and
US ‘geographical conditions are different. Because Indonesia is an archipelagic
country consisting of around 17.000 islands. While, United States is one big
island un separated by seas. “But, the application of corruption eradication
law is not directly related to geographical condition.”
Corruption handling in Indonesia is no
different from the one in the United States, namely transparency, public and
media support, legal system, etc. we should keep politics away from detention
and investigation processes as interference will distort corruption handling.
“We did not have any institution like KPK (Corruption Eradication Commission).
But, corruption handling in our country is under coordination of the DOJ and
the Securities and Exchange Commissions (SEC).”
While criminal provisions on bribery
criminal act in the US is not much different from the one in Indonesia.
Corruption act, as defined in FCPA, is a continuation of the act of giving,
offering, promising, or validating the giving of something of “value” to
“foreign officials” or political parties, political parties’ leaders,
candidates, or anyone whatsoever. While, the affirmative interpretation is: A
reasonable expenditure is promotion, demonstration, product and service
explanation. And, affirmative interpretation also explains about implementation
or execution of contract with government. Payment to foreign government
officials is legal if it permitted by the law of the host country. “While,
regulations on dead sentence do not exist in the United states. FCPA stipulates
provisions on heavy punishment quantitatively and qualitatively. It means that
we catch the corruption committed involving high officials and all related
parties”.
Business News - September 21, 2012
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