Background screening: 10 things you should know

Hiring new employees is an essential part of operating, and growing, a successful business. It also presents an inherent risk to any organisation. According to popular employment site CareerBuilder.com, “58% of hiring managers said they’ve caught a lie on a resume; one-third (33% of these employers have seen an increase in resume embellishments post-recession.” Background screening

Here’s another statistic: according to a survey conducted by CRI™, more than 75% of organisations conduct some sort of background checks. That’s good news. But it also means that nearly a quarter of companies don’t do any pre-employment screening, which is concerning. Screening employees means having a safer, more secure work environment. Here are 10 important things every organisation should know about the hiring process, and the need to conduct thorough pre-employment background screening.

1. Some job candidates will actually fabricate a new identity.

This is especially true if they have something to hide, such as a criminal background. Proper screening can verify names, addresses, phone numbers, national ID numbers and other identifying information to confirm that they are who they claim to be.

2. Credit and financial history should be reviewed.

Fraud statistics have shown financial distress to be a key red flag for fraudulent behaviour. Has the candidate claimed bankruptcy? Have they dissolved prior companies or are they faced with debtor filings? An individual’s financial history should be checked to the degree that is permissible by local laws.

3. Previous employment needs to be confirmed.

Background checks will verify past employers, locations of past employment, dates employed, salary levels, reasons for leaving, position titles, gaps in employment history and pertinent contact information.

4. Stretching employment dates is a major problem.

Speaking of previous employment, CRI Group™’s survey found that the top form of résumé fraud is stretching employment dates. This can cover gaps in employment, or make it seem they have more experience in certain positions than they actually do.

5. Some candidates present fake education credentials.

Verification is needed to confirm school grades, degrees and professional qualifications. Claiming a degree that was never earned is one of the most common fabrications. Certifications, assessments, awards – all of these can be fabricated or fraudulently claimed by a candidate in an effort to make themselves look more qualified for a position than they actually are.

6. International criminal records searches are critically important.

Criminal background checks should include any convictions for the applicant in the requested jurisdictions. Hiding a criminal background is one of the most serious omissions. Depending on their history, your business and employees could be at risk from a bad actor who intentionally hides their criminal past.

7. Checking (and verifying) references is important.

A job seeker might provide an employment reference that gives a shining recommendation – but the contact turns out to be their close friend. This type of deception can hide the true nature and work record of the candidate.

8. Formalise your background screening policy.

What is your company’s current, written policy for hiring new employees? How does it address background checks, due diligence, and other issues? Is the process followed in every case? Having the process detailed in writing will help make it a regular part of your business practice.

9. Make sure someone owns the background screening process.

Ultimately, who has the responsibility of vetting new hires? Is it ownership? Human resources? Individual managers? It might be a collaborative process. All of those who are involved in hiring should also be involved in the implementation of a due diligence solution that includes background checks.

10. Don’t skip post-employment background screening.

Proper due diligence doesn’t just apply to prospective new hires. It should also be used to periodically evaluate your current workforce. Examine the various roles and personnel at your organisation, and consider a policy that addresses risk areas with background checks. For example, CRI Group’s survey found that nearly half of business leaders see financial services, investments and banking positions as “high risk.”

It’s important to have a formal, written policy for background screening. It’s also important to know that comprehensive background checks are best performed by industry experts who understand where to find and confirm employee information. This ranges from criminal, education and employment history records checks to verification of credentials, training and certifications. CRI Group™’s professional background screening services engage international resources in geographic regions not serviced or accessible by typical “out-of-the-box” screening services.

EMPLOYEE BACKGROUND CHECKS

EmploySmart™ is a CRI™ employee background checks service. It is a robust new pre-employment background screening service certified for BS7858,  to avoid negligent hiring liabilities. Ensure a safe work environment for all – EmploySmart™ can be tailored into specific screening packages to meet the requirements of each specific position within your company. We are a leading worldwide provider, specialised in local and international employee background checks, including pre-employment and post-employment background checks.

CRI™ Employee Background Checks are essentially an investigation into a person’s character – inside and outside their professional lives. Some checks you probably already carry out in-house, such as candidate’s qualifications (documents provided), work history (with a reference check), right to work in the country and even a quick social media presence scan. However, we provide a full in-depth background screening service for candidates and employees at all levels – from senior executives through to shop-floor employees:

VIEW EMPLOYSMART™ BROCHURE

GET A FREE QUOTE

CRI™ is duly certified by British Standard Institute BSI for the scope of BS 7858:2019 Screening of individuals working in a secure environment, Code of practice (the only BS 7858 certified background screening services provider in the UAE and across the Middle East); and BS 102000:2018 Code of practice for the provision of investigative services.

Ensure a safe work environment for all in this difficult time – EmploySmart™ can be tailored into specific screening packages to meet the requirements of each specific position within your company.

ABOUT CRI GROUP™

Since 1990, Corporate Research and Investigations Limited (CRI Group™) has been safeguarding businesses from fraud, bribery and corruption. Globally, we are a leading Compliance and Risk Management company licensed and incorporated entity of the Dubai International Financial Center (DIFC) and Qatar Financial Center (QFC). CRI™ protects businesses by establishing the legal compliance, financial viability, and integrity levels of outside partners, suppliers and customers seeking to affiliate with your business. Based in London, United Kingdom, CRI™ is a global company with experts and resources located in key regional marketplaces across the Asia Pacific, South Asia, the Middle East, North Africa, Europe, North and South America. Our global team can support your organisation anywhere in the world.

In 2016, the company launched the Anti-Bribery Anti-Corruption (ABAC™) Center of Excellence – an independent certification body that helps organisations mitigate internal and external risks by providing a complete suite of Anti-Bribery, Compliance and Risk Management programs.

OUR MISSION AND VISION

• CRI™ mission is to safeguard the corporate world by detecting and exposing those elements that can cause irreparable harm to a business
• Stand up against the outside forces that, through corruption, collusion, coercion and fraud, can cause financial, organisational, reputational and legal harm to our global clients
• Stand out as the preeminent provider of specialised investigative services that enable our clients to exhibit the highest standards of business integrity, ethics and behaviour

VIEW SOLUTIONS BROCHURE

LET’S TALK

Filed under: Background Investigation, Employee Background Check, Investigative Solution, Resources by admin
No Comments »

South Asia and CRI Group™ United for Against Bribery and Corruption

We recently launched a FREE publication “South Asia grapples with anti-bribery compliance”, which overviews anti-bribery, anti-corruption and ISO 37001 solutions in Malaysia and entire in South Asia. South Asia has a troubled record when it comes to preventing bribery and corruption, as well as enforcing compliance. Recent cases and statistics show that the problem persists in most countries in the region. Both government officials and private sector business leaders are struggling to adopt policies, control methods and best practices to help reduce bribery and corruption on their watch. High profile cases such as the 1MDB scandal in Malaysia and, more recently, the alleged Meikarta township case in Indonesia underscore this point. The investigations that were triggered by these cases demonstrate, however, that regulators are serious about addressing the threat of bribery and corruption as more than just a legal issue, but as a societal one, as well. In response, organizations that are committed to being in compliance are adopting the ISO 37001 – Anti-Bribery Management Systems standard as a comprehensive approach to mitigating risk.

To raise awareness on these issues, CRI Group™ is proudly supporting and encouraging anti-bribery and anti-corruption activities in Malaysia and worldwide. Last Tuesday, our ABAC™ Center of Excellence participated at a briefing session and discussed ‘The Importance of ISO 37001 ABMS’ at the Malaysia German Chamber of Commerce and Industry. ABAC™ shared insights on how to demonstrate resilience with ISO 37001:2016 ABMS Accredited Certification and its importance for organizations.

On Thursday of the same week, ABAC™ proudly supported at Malaysia Anti-corruption forum, themed ‘Understanding and Addressing the World’s Biggest Problem”, organized by International Strategy Institute (ISI).

As stated by ISI, “Corruption has undoubtedly been one of the most deep-rooted, pervasive problems that have crippled economies around the world. Even in advanced economies, authorities have not been able to quell corruption completely. The Corruption Perception Index (CPI) has last year ranked Malaysia number 61st out of 180 countries. Though this is way above notoriously corrupt countries in the Middle East, Africa, and some of its ASEAN neighbors, recent corruption cases have nonetheless propelled Malaysia into the global spotlight. With the establishment of the Malaysian Anti-Corruption Commission (MACC) and the newly launched National Anti-Corruption Plan (NACP), Malaysia is committed to tackle this problem head on.”

The speakers include International Strategy Institute professionals Fazil Irwan Som (Executive Director), Cheah Chyuan Yong (Chairman), YB Datuk Seri Saifuddin Nasution Ismail (Minister of Domestic Trade and Consumer Affairs Malaysia), and YB Dato’ Seri Anwar bin Ibrahim (President, Parti Keadilan Rakyat). The forum brought together all “concerned Malaysian citizens, government authorities, the media and the private sector to discuss, exchange ideas, and formulate key proposals” to tackle corruption.

Earlier this year, ABAC™ and CRI Group™ CEO Mr. Zafar Anjum spoke at MACC Seminar Benchmark on Governance, Integrity & Anti-Corruption, where he presented “Anti-Bribery Management System (ABMS 37001) Case Study and Implementation – UK Experience.” He provided an overview of ABMS 37001 Accreditation & Certification as an effective and “adequate procedure” for organisations.

During his speech, Anjum mentioned ABAC™ Certification as a tool for organisations of all types and industries to prevent bribery and corruption. ABAC™ serves as a global network of certified ethics, compliance professionals, qualified auditors, financial and corporate investigators, certified fraud examiners, forensic analysts and accountants to educate, equip and support the world’s leading business organisations with the latest best in practice due diligence processes and procedures.

Anti-bribery and anti-corruption efforts are top priorities in Malaysia. That’s why  ABAC™ partnered with MACC, Transparency International Malaysia (TI-M), the Malaysian Anti-Corruption Foundation and the Malaysian Youth Council for “United Against Corruption” on International Anti-Corruption Day last year. The campaign raised awareness throughout Malaysia and beyond about risk factors facing businesses today.

The latest seminars provided a further means to disseminate critical information about ISO 37001 ABMS in Malaysia and the latest best practices for preventing and detecting bribery and corruption worldwide and in Malaysia.

Do you have the right processes and procedures in place to protect your organisation from bribery and corruption? Learn more about ABAC™ Solutions today.

About us…

Based in London, CRI Group™ works with companies across the Americas, Europe, Africa, Middle East and Asia-Pacific as a one-stop international Risk Management, Employee Background Screening, Business Intelligence, Due Diligence, Compliance Solutions and other professional Investigative Research solutions provider. We have the largest proprietary network of background screening analysts and investigators across the Middle East and Asia. Our global presence ensures that no matter how international your operations are, we have the network needed to provide you with all you need, wherever you happen to be. CRI Group™ also holds BS102000:2013 and BS7858:2019 Certifications is an HRO certified provider and partner with Oracle.

In 2016, CRI Group™ launched the Anti-Bribery Anti-Corruption (ABAC™) Center of Excellence – an independent certification body established for ISO 37001:2016 Anti-Bribery Management Systems, ISO 37301 Compliance Management Systems and ISO 31000:2018 Risk Management, providing training and certification. ABAC® operates through its global network of certified ethics and compliance professionals, qualified auditors and other certified professionals. As a result, CRI Group™’s global team of certified fraud examiners work as a discreet white-labelled supplier to some of the world’s largest organizations. Contact ABAC™ for more on ISO Certification and training.

MEET THE CEO

Zafar I. Anjum is Group Chief Executive Officer of CRI Group™ (www.crigroup.com), a global supplier of investigative, forensic accounting, business due to diligence and employee background screening services for some of the world’s leading business organizations. Headquartered in London (with a significant presence throughout the region) and licensed by the Dubai International Financial Centre-DIFC, the Qatar Financial Center – QFC, and the Abu Dhabi Global Market-ADGM, CRI Group™ safeguard businesses by establishing the legal compliance, financial viability, and integrity levels of outside partners, suppliers and customers seeking to affiliate with your business. CRI Group™ maintains offices in UAE, Pakistan, Qatar, Singapore, Malaysia, Brazil, China, the USA, and the United Kingdom.

Contact CRI Group™ to learn more about its 3PRM-Certified™ third-party risk management strategy program and discover an effective and proactive approach to mitigating the risks associated with corruption, bribery, financial crimes and other dangerous risks posed by third-party partnerships.

Filed under: Anti-Bribery Anti-Corruption Solution, Compliance Solution, ISO 37001, Resources by admin
No Comments »

ISO 37001:2016 Standard: Who should get certified?

There is a new standard for preventing bribery in business: ISO 37001:2016 Anti-Bribery Management System standard was created by the International Organization for Standardization (ISO) to help companies worldwide increase and measure their efforts against bribery and corruption. This important new standard mirrors numerous steps contained in:

• The U.S. Foreign Corrupt Practices Act (FCPA)
• Good Practice Guidance on Internal Controls, Ethics and Compliance (OECD)
• Anti-Corruption Ethics and Compliance Handbook for Business (OECD)
• UK Bribery Act 2010
• The British Ministry of Justice’s Adequate Procedures document

ISO 37001:2016 certifies that your organisation has implemented reasonable and proportionate measures to prevent bribery. These measures involve top-level leadership, training, bribery risk assessment, due diligence adequacy, financial and commercial controls, reporting, audit and investigation. But which types of organisations need this new standard? Read on to find out.

Corporate/private sector

In the present era of globalisation, anti-corruption compliance plays a vital role for companies with high ethical values trying to expand business across borders and attract potential investors and business partners for the long term. Such companies are expected to ensure not just the integrity of their own operations but also the conduct of their suppliers, distributors, and agents wherever they may be. Evidence of this comes from high-profile prosecutions of multi-national firms that are not only subject to significant fines but also risk loss of share value and reputation.

To meet these needs, the standard ISO 37001:2016 is designed to apply to all organisations (or parts of an organisation) regardless of type, size and nature of business activity. The program is tailored to the needs and requirements of the organisation.

Public sector organisations

Public sector organisations play critical roles, often interacting directly with the public they serve; they include utility service providers, license issuing authorities and other regulatory bodies. These are vulnerable areas where authority is concentrated with weak financial positions that must fulfil the needs of both the service provider and its users. Such public sector organisations can benefit from implementation of ISO 37001:2016 to control bribery and corruption for enhancement of their productivity level and play an improved role in the socio-economic development of their country.

Government departments

The government is a major stakeholder in socio-economic development of a country, hence it makes laws, regulations, and establishes departments to check and control bribery and corruption. Bribery damages economic growth and creates social problems, including depression, a sense of injustice and deprivation. However, in many developing countries, anti-corruption laws and regulations are either weak or implemented unevenly, providing no results. And government-led steps or campaigns to fight corruption remain ineffective, while bribes continue to be accepted as part of doing business. However, the menace of bribery and corruption can be mitigated through implementing ISO 37001:2016 standard, which provides safeguards within a management system, rather than temporary measures or mere slogans.

Get started today

In 2016, CRI Group launched ABAC® Center of Excellence (ABACGroup.com) – an independent certification body established for ISO 37001:2016 ABMS. The Center provides ISO 37001 training, and its certification services are accredited by the Emirates International Accreditation Center (EIAC).

Learn more about ISO 37001:2016 training and certification services with the ABAC Center of Excellence at ABACGroup.com.[/vc_column_text][accordion_father caption_url=””][accordion_son title=”About CRI Group” clr=”#ffffff” bgclr=”#1e73be”]Based in London, CRI Group works with companies across the Americas, Europe, Africa, Middle East and Asia-Pacific as a one-stop international Risk Management, Employee Background Screening, Business Intelligence, Due Diligence, Compliance Solutions and other professional Investigative Research solutions provider. We have the largest proprietary network of background-screening analysts and investigators across the Middle East and Asia. Our global presence ensures that no matter how international your operations are we have the network needed to provide you with all you need, wherever you happen to be. CRI Group also holds BS 102000:2013 and BS 7858:2012 Certifications, is an HRO certified provider and partner with Oracle.

In 2016, CRI Group launched Anti-Bribery Anti-Corruption (ABAC®) Center of Excellence – an independent certification body established for ISO 37001:2016 Anti-Bribery Management Systems, ISO 37301 Compliance Management Systems and ISO 31000:2018 Risk Management, providing training and certification. ABAC® operates through its global network of certified ethics and compliance professionals, qualified auditors and other certified professionals. As a result, CRI Group’s global team of certified fraud examiners work as a discreet white-labelled supplier to some of the world’s largest organisations. Contact ABAC® for more on ISO Certification and training.[/accordion_son][/accordion_father][/vc_column][/vc_row]

Filed under: Anti-Bribery Anti-Corruption Solution, Compliance Solution, ISO 37001, Resources by admin
No Comments »

The Importance of Background Checks

The Importance of Background Checks: A Case Study

The world is changing. Borders are opening up. Workforces are crossing international boundaries. Barriers to global competition are lifting and technology is simplifying communication and allowing virtually anyone to enter the global job market. The only constant that remains in today’s hiring equation is people. Resume fraud is a widespread problem for employers in every industry and at any size company. It’s persistent and sometimes even careful examination of a resume won’t immediately reveal red flags or problems. The only way to properly vet job candidates is to screen them with a thorough pre-employment background checking process.

The result of not comprehensive background screening checks was recently described on CNBC, 2018, titled: “HR Confidential: I hired him without performing a background check. Then he stole his colleagues’ identities”. Let’s have a look at the case study.

“I was a senior HR manager at a foreign banking company. An employee came to my office and informed me that someone had stolen his identity and applied for credit cards in his name. I took down a report but didn’t think anything of it because I oversaw payroll and other sensitive information. It wasn’t out of the ordinary for employees to notify me about changes to their banking information or if their bank account had been compromised. That way, I could make sure there were no issues with their deposits. But a week later, another employee came to me with the same problem and my red flag went up. By the third employee, I knew something was happening. I realised we had an internal problem because it’s too coincidental for three employees to have identity theft within a three-week span. My staff and I tried to figure out what was going on but we were getting nowhere.

The solution

After a few weeks, we hired an investigative company that specialises in fraud. They came to my office and requested the name, photo and address of everyone who has ever touched our employee files and I gave them a list of 15 to 20 people. One week later, they came back with the postmaster general and postal police officers who were armed with guns. They sat down, placed the list in front of me, pointed to a name and asked, “Who’s this person?” I responded, “Oh, he’s a temp in our file room.” They said, “Bring him in.” I brought him into my office and the guy’s in handcuffs in less than five minutes. I couldn’t believe it. I was in shock. The guy was a temp employee who we had hired through an outside agency to work in our file room. When you have 3,000 employees, their personal files quickly pile up so we hired him to clean up each person’s file, add information to them and put them away. However, he was going into these files, taking people’s social security numbers and stealing all of their information. The post office already had the guy under investigation for other credit card fraud that was linked to a particular address. Therefore, when they saw his name on our list, they were able to easily nail him. When he came into my office, he initially denied that he was the culprit. However, he eventually admitted that his friend talked him into stealing his colleagues’ information. He and his friend were stupid enough to fraudulently sign up for credit cards and got them sent to their home address. That address was the one that the postmaster spotted on our list. For the employees who had their identity stolen, this was such a nightmare. It took some of them more than a year to get this solved. I also felt somewhat responsible because I’m the one who hired the temp and this happened under my watch. I did the best I could in providing support.

As a company, we did feel obligated to offer help and paid the service fees to help them clean up their records. I felt terrible. This went on for months for them. Luckily, they didn’t sue us or anything but it was a mess.

The lesson

The first lesson here is this: Quickly determine when something is outside of your element and know when it’s time to get help. Doing an investigation of employee theft was outside of my staff’s expertise. Even though it cost us about $5,000 to hire the investigative company, it saved us time that would otherwise have been wasted. You need to know when you’ve reached your limit and when to outsource things.

The second lesson is to always perform background checks for temp employees (just like you would for a full-time employee), especially if the person is handling sensitive information.”

At CRI Group™, our EmploySmart™ pre-employment background screening process analyses a job candidate’s claims and credentials and digs beyond the surface to make sure the facts match up. Our experts conduct extensive checks that examine all of the following details of a potential employee:

• Employment History References
• Credit and Bankruptcies Checks
• Academic and Professional Qualifications
• Prior Work Experience and Business Success/Failure Searches
• Regulatory Registers, Compliance Databases and Regional Supplemental Searches
• Sanction List and Criminal Record Searches
• Identity and Good Conduct Certificate Validation
• Directorship Search
• Media and Social Network Search

Can you afford to let degrees and credentials go unchecked? Contact us today.

Source: CNBC, 2018, titled: “HR Confidential: I hired him without performing a background check. Then he stole his colleagues’ identities”, https://www.cnbc.com/2018/04/05/hr-confidential-i-hired-him-then-he-stole-his-colleagues-identities.html

Filed under: Background Investigation, Employee Background Check, Publication, Resources by admin
No Comments »

6 ways forensic accountants fight financial threats

Forensic accountants are experts with a unique set of training and skills. “Forensic” means suitable for use in court, and forensic accounting is a speciality practice area of accounting that deals with engagements and investigations where disputes or litigation are anticipated.

For those reasons, the training and expertise demonstrated by these professionals make them very effective in investigating and combating fraud and other financial threats. That’s why CRI Group provides forensic accounting services to help clients safeguard their financial investments and utilise best practices when a case progresses to legal action – which is happening on a regular basis as more companies make rooting out fraud a top priority.

“Forensic accountants inhabit a cloak and dagger corner of the accounting world. Their job: respond at a moment’s notice when a client spots trouble – anything from procurement fraud to a top executive cooking the books to industrial espionage.”– Justin Pope, Associated Press

Here are some ways that forensic accountants lead the fight against fraud (Source: Forensic CPA Society, titled “What is a Forensic Accountant?”).

1. Forensic accountants are suspicious

They must be able to apply their accounting knowledge to legal issues. A forensic CPA will be asked to write expert reports, assist in depositions, testify as an expert witness, conduct fraud investigations and assist in civil and criminal investigations.

2. Forensic accountants are trained investigators

They are experts at determining whether criminal matters such as employee theft, securities fraud (including falsification of financial statements), identity theft, or insurance fraud have occurred. Investigation may also occur in civil matters.

3. Forensic accountants can testify in court

Forensic accountants often have to give expert evidence at the eventual trial. Forensic accountants not only utilise their accounting and auditing skills, but also use their investigative skills to determine what events actually took place in a financial setting. Knowledge of the courtroom sets the forensic accountant apart from a typical accountant.

4. Forensic accountants provide litigation support

Litigation represents the factual presentation of economic issues related to existing or pending litigation. In this capacity, the forensic accountant quantifies damages sustained by parties involved in legal disputes and can assist in resolving disputes before they reach the courtroom.

5. Forensic accountants can assist with business valuation

Forensic accountants often assist in professional negligence claims where they are assessing and commenting on the work of other professionals.

6. Forensic accountants can help recover assets

In the aftermath, forensic accountants may be involved in recovering proceeds of crime and in relation to confiscation proceedings concerning actual or assumed proceeds of crime or money laundering.

When financial pressure leads to fraud, you need a qualified forensic accountant – or better yet, a team of them – to unravel the numbers and the facts of the case. CRI Group’s highly qualified forensic accounting experts, which include our Certified Fraud Examiners (CFEs), can quickly find discrepancies in your finances and investigate the source of the problem.

The future of your business depends on safeguarding assets and investments from fraud. Contact CRI Group today and ask us how we can help your business by preventing and detecting fraud — thereby improving your bottom line.

Who is CRI Group?

Based in London, CRI Group works with companies across the Americas, Europe, Africa, Middle East and Asia-Pacific as a one-stop international Risk Management, Employee Background Screening, Business Intelligence, Due Diligence, Compliance Solutions and other professional Investigative Research solutions provider. We have the largest proprietary network of background-screening analysts and investigators across the Middle East and Asia. Our global presence ensures that no matter how international your operations are we have the network needed to provide you with all you need, wherever you happen to be. CRI Group also holds BS 102000:2013 and BS 7858:2012 Certifications, is an HRO certified provider and partner with Oracle.

In 2016, CRI Group launched Anti-Bribery Anti-Corruption (ABAC®) Center of Excellence – an independent certification body established for ISO 37001:2016 Anti-Bribery Management Systems, ISO 37301 Compliance Management Systems and ISO 31000:2018 Risk Management, providing training and certification. ABAC® operates through its global network of certified ethics and compliance professionals, qualified auditors and other certified professionals. As a result, CRI Group’s global team of certified fraud examiners work as a discreet white-labelled supplier to some of the world’s largest organisations. Contact ABAC® for more on ISO Certification and training.

Filed under: Background Investigation, Investigative Solution, Resources by admin
No Comments »

South Asia Grapples with anti-bribery compliance, ISO 37001 provides solutions

On the whole, South Asia has a troubled record when it comes to preventing bribery and corruption, and enforcing compliance. Recent cases and statistics show that the problem persists in most countries in the region. Both government officials and private sector business leaders are struggling to adopt policies, control methods and best practices to help reduce bribery and corruption on their watch.

High profile cases such as the IMDB scandal in Malaysia and, more recently, the alleged Meikarta township case in Indonesia underscore this point. The investigations that were triggered by these cases demonstrate, however, that regulators are serious about addressing the threat of bribery and corruption as more than just a legal issue, but as a societal one, as well. In response, organisations that are committed to being in compliance are adopting the ISO 37001 – Anti-Bribery Management Systems standard as a comprehensive approach to mitigating risk. ISO 37001 and its elements can be tailored to any type of organisation. It prescribes implementing an anti-bribery policy, appointing a person to oversee anti-bribery compliance, training, risk assessments and due diligence on projects and business associates. It also calls for implementing financial and commercial controls, and instituting reporting and investigation procedures.

Bribery Persists, With a Shifting Enforcement Landscape

While bribery and collusion appear to be decreasing slightly on a global scale, the unfortunate fact is that they remain steady in the South Asia (also referred to as the Asia Pacific) region. Other than New Zealand, Singapore, and Australia, who scored well in combating corruption, a majority of countries in the region are on the bottom half of the Transparency International Corruption Perceptions Index (CPI) spectrum. North Korea ranks the worst at No. 176. Cambodia ranks No. 161, Vietnam is 117, Thailand and the Philippines are tied at No. 99, and Sri Lanka and Indonesia are tied at 89, just to name a few. In an article presenting the latest rankings, Transparency International asserts that the region’s performance over the past three years indicates that “the Asia Pacific region is making little progress in the fight against corruption.” The report further states: “Why is Asia Pacific making little to no progress in its anti-corruption efforts? One of the reasons is an overall weakening of democratic institutions and political rights.”

This reputation for poor performance on the global stage of anti-corruption measures has spurred government initiatives in several jurisdictions to make new headway in efforts to combat bribery and corruption. Awareness of bribery and corruption is peaking and government leaders, by and large, do not want the perception of being on the wrong side of progress on this issue: “Corruption is one of the main obstacles to sustainable economic, political and social development, for developing, emerging and developed economies alike. Overall, corruption reduces efficiency and increases inequality. Estimates show that the cost of corruption equals more than 5% of the gross world product, which means estimated fraud losses of £3.65 trillion for 2019 – with over £829 million paid in bribes each year (World Bank). It is not only a question of ethics; we simply cannot afford such waste”.

Southeast Asia is seeing countries boost their efforts. This is evident to varying degrees in Vietnam, the Philippines, Cambodia, Indonesia and others – though, as the Transparency International report shows, there is much work to be done. Farther East, South Korea experienced recent high profile corruption scandals, which led to massive public protests and the swift impeachment and prosecution of its President, Park Geun-hye”. Three years ago, South Korea passed the sweeping Improper Solicitations and Graft Prohibition Act, better known as the “Kim Young Ran Law” after the former Supreme Court justice who proposed the Act.[/vc_column_text][vc_row_inner][vc_column_inner]

We know your time is precious that’s why we have this article (and more) available for download now.

DOWNLOAD THE FREE EBOOK NOW![/vc_column_text][/vc_column_inner][/vc_row_inner]

Newest Developments: “Shenzhen of Indonesia” Case

One of the latest high-profile bribery cases in the region involves the chairman of Indonesian-based Lippo Group and other figures involved in a major development build called Meikarta township. The project has been touted as the “Shenzhen of Indonesia.” After months of investigation, Lippo Group deputy chairman James Riady appeared as a witness in court in February and denied allegations that he was involved in corruption involving permits for the project. The Corruption Eradication Commission (KPK) Indonesia had already arrested Lippo Group operational director Billy Sindoro, along with Bekasi Regent Neneng Hasanah Yasin and several other top officials in the administration “for their alleged roles in bribery connected to the issuance of property permits for the project.” The allegations involve a promise of Rp 13 billion (US$856,888) in bribes to the Bekasi regency administration for issuing the relevant permits, of which Rp 7 billion had reportedly been transferred. The case is not yet fully resolved as of this writing.

The Meikarta case isn’t the only alleged corruption scandal plaguing Indonesia. The head of a state power utility and a senior politician were implicated in a bribery scandal involving the awarding of a major public works contract. KPK officials suspect that Perusahaan Listrik Negara (PLN) President Sofyan Basir agreed to award a contract to build a 600 megawatt coal-fired power plant in exchange for a kickback of Rp 4.75 billion ($332,800). And, in yet another recent bribery case, the KPK arrested the head of the United Development Party, or PPP.

Perhaps the defining bribery case for the region in recent years is the 1MDB case in Malaysia. Malaysia’s state-owned investment fund, 1MDB, was supposed to attract foreign investment. Instead, it “spurred criminal and regulatory investigations around the world that have cast an unflattering spotlight on financial deal-making, election spending and political patronage under former Prime Minister Najib Razak. The figures are mind-boggling: a Malaysian parliamentary committee identified at least $4.2 billion in irregular transactions related to 1MDB. In May, Najib was ousted from power in a general election as the scandal fueled a voter backlash that ended his party’s 61 years of rule. As the investigations continue, Najib faces trial on corruption charges and U.S. prosecutors have implicated at least three senior Goldman Sachs Group Inc. bankers in a multiyear criminal enterprise”.

The 1MDB case has implications that spread far beyond Malaysia and the South Asia region. In the U.S., federal prosecutors announced that one of the implicated former Goldman Sachs bankers had pleaded guilty, with bribery and money laundering charges lodged against a second banker as part of the investigation. U.S. prosecutors “also brought charges against the Malaysian businessman they believe stole some of the money: Jho Low, who spent millions of dollars on gifts to celebrities like the actor Leonardo DiCaprio and the model Miranda Kerr. The money was used to buy a Picasso painting, diamond necklaces and Birkin bags as well as to pay for the Hollywood blockbuster ‘The Wolf of Wall Street.’”.

Cases like the 1MDB scandal demonstrate that investigation and enforcement are stepping up. The Foreign Corrupt Practices Act (FCPA), UK Bribery Act 2010 and other laws on the books provide tools for regulators to bring action against companies doing business overseas, and even those principal actors in foreign organisations if they run afoul of anti-corruption laws. In Malaysia, the Malaysian Anti-Corruption Commission (Amendment) Act 2018 added a provision on corporate liability. The amended act (formerly the Malaysian Anti-Corruption Commission [MACC] Act 2009) gives more power to the MACC in fighting corruption in the private sector, as it includes penalties for firms that can now be held liable if their employees commit bribery.

Speaking in Kuala Lumpur, Malaysia, at the Anti-Bribery Anti-Corruption (ABAC) Summit 2018, Mohd Nur Lokman bin Samingan, Assistant Commissioner at Malaysian Anti-Corruption Commission, explained some of the key objectives of the 2018 Amendment Act. Among them, the new provisions are meant “to encourage business and commercial activities being carried out in a corruption-free environment; to encourage all commercial organisations to take adequate measures in order to prevent corruption in their respective organisations; and to promote better corporate governance and legal compliance by requiring corporations to take proactive roles in preventing corruption”. Mr. Mohd Nur Lokman went on to explain that punishment for bribery and other corrupt acts under the amendment can include fines “of not less than 10 times the sum of value of the gratification which is the subject matter of the offence”, or one million ringgit (whichever is higher) – and can also include imprisonment for a term not exceeding 20 years.[/vc_column_text]

ISO 37001:2016 to Tackle Bribery

At this year’s (2019) Malaysian Anti-Corruption Commission (MACC) Seminar Benchmark on Governance, Integrity & Anti-Corruption, leaders and luminaries in anti-bribery and anti-corruption gathered to speak on compliance issues affecting the region. The event was held in conjunction with the British High Commission (BHC). The seminar provided examination and discussion of UK’s best practices in governance, integrity and anti-corruption, including a focus on the ISO 37001 Anti-Bribery Management System Standard.

Keynote speaker Zafar Anjum, founder and CEO of CRI® Group and ABAC® Center of Excellence, presented “Anti-Bribery Management System (ABMS 37001) Case Study and Implementation – UK Experience”. Anjum provided an overview on ISO 37001 ABMS Accreditation & Certification as an effective and “adequate procedure” for organisations in the region and beyond. First, Anjum provided some stark statistics. He said that according to the International Monetary Fund, “An estimated $2 trillion in bribes is paid annually in both developing and developed countries”. Anjum also noted that the Association of Certified Fraud Examiners (ACFE) 2018 Report to the Nations – Global Study on Occupational Fraud and Abuse found that “Organizations lose an average of 5% of their annual revenue to fraud each year”.

To combat the threat, organisations around the world are turning to ISO 37001. The International Organization for Standardization (ISO) issued ISO 37001 in 2016 to help organisations worldwide increase and measure their efforts against bribery and corruption. Anjum explained that ISO 37001 ABMS implements standards in organisations at every level through measures that include adopting an anti-bribery policy, appointing a person to oversee anti-bribery compliance, training, risk assessments and due diligence on projects and business associates. It also involves implementing financial and commercial controls and instituting reporting and investigation procedures. Anjum described the work of the ABAC® (Anti-Bribery and Anti-Corruption) Center of Excellence, a global network of certified ethics and compliance professionals, qualified auditors, financial and corporate investigators, certified fraud examiners, forensic analysts and accountants, as a tool for organisations to prevent bribery and corruption. ABAC Certification is an accredited provider of ISO 37001 ABMS Certification and Training for organisations of all types and industries.

The ISO 37001 standard specifies requirements and provides guidance for establishing, implementing, maintaining, reviewing and improving an anti-bribery management system. The system can be stand-alone or can be integrated into an overall management system. ISO 37001 addresses the following in relation to the organisation’s activities:

• Bribery in the public, private and not-for-profit sectors
• Bribery by the organisation
• Bribery by the organisation’s personnel acting on the organisation’s behalf or for its benefit
• Bribery by the organisation’s business associates acting on the organisation’s behalf or for its benefit
• Bribery of the organisation
• Bribery of the organisation’s personnel in relation to the organisation’s activities
• Bribery of the organisation’s business associates in relation to the organisation’s activities
• Direct and indirect bribery (e.g. a bribe offered or accepted through or by a third party)

The ISO 37001 process helps companies and government organisations reduce the risk of bribery by establishing, implementing, maintaining and enhancing internal anti-bribery and anti-corruption systems. When administered by an accredited provider of ISO ABMS certification and training, the protocol can:

• Provide needed tools to prevent bribery and mitigate related risks
• Help an organisation create new and better business partnerships with entities that recognizse ISO 37001 certified status, including supply chain manufacturing, joint ventures, pending acquisitions and co-marketing alliances
• Potentially reduce corporate insurance premiums
• Provide customers, stakeholders, employees and partners with confidence in the entity’s business operations and ethics
• Provide a competitive edge over non-certified organizations the organisation’s industry or niche
• Provide acceptable evidence to prosecutors or courts that the organization has taken reasonable steps to prevent bribery and corruption

As the ISO documentation states, “Conformity with (ISO 37001) cannot provide assurance that no bribery has occurred or will occur in relation to the organisation, as it is not possible to completely eliminate the risk of bribery”. ISO ABMS certification is, however, a potential mitigating piece of evidence to regulators or even prosecutors and the courts that the entity has taken meaningful steps in its efforts to prevent bribery and corruption.

Conclusion

Which organisations need ISO 37001? Despite the slow progress in combating bribery and corruption, the South Asia region remains an attractive market for organisations looking to expand. New laws and enforcement efforts are providing an increasing emphasis on compliance. In such a climate, organisations must stand ready to demonstrate their implementation of internal processes, policies and controls to prevent and detect bribery and corruption and remain in compliance.

The ISO 37001 ABMS standard is an established, tried and tested program that addresses those issues head-on through a comprehensive program of training and certification. The training process is tailored to the organisation, while still following the developed curriculum and documented best practices. Certification requires the demonstration that processes have been implemented effectively, with follow-up evaluations. Developments in the South Asia region and worldwide have demonstrated that there isn’t time to wait to implement controls and compliance procedures – the next investigation and/or prosecution may be too late. The harm caused by bribery and corruption to an entity’s reputation, investments and business can be far-reaching and long-lasting.[/vc_column_text][/vc_column][/vc_row][vc_section][vc_row_inner][vc_column_inner][accordion_father activetabbg=”#4c4c4c”][accordion_son title=”About CRI® Group” clr=”#ffffff” bgclr=”#bfbfbf”]Based in London, CRI Group works with companies across the Americas, Europe, Africa, Middle East and Asia-Pacific as a one-stop international Risk Management, Employee Background Screening, Business Intelligence, Due Diligence, Compliance Solutions and other professional Investigative Research solutions provider. We have the largest proprietary network of background-screening analysts and investigators across the Middle East and Asia. Our global presence ensures that no matter how international your operations are we have the network needed to provide you with all you need, wherever you happen to be. CRI Group also holds BS 102000:2013 and BS 7858:2012 Certifications, is an HRO certified provider and partner with Oracle.

In 2016, CRI® Group launched Anti-Bribery Anti-Corruption (ABAC®) Center of Excellence – an independent certification body established for ISO 37001:2016 Anti-Bribery Management Systems, ISO 37301 Compliance Management Systems and ISO 31000:2018 Risk Management, providing training and certification. ABAC® operates through its global network of certified ethics and compliance professionals, qualified auditors and other certified professionals. As a result, CRI Group’s global team of certified fraud examiners work as a discreet white-labelled supplier to some of the world’s largest organisations. Contact ABAC® for more on ISO Certification and training.[/accordion_son][accordion_son title=”About the Author” clr=”#ffffff” bgclr=”#bfbfbf”]By Zafar Anjum MSc, CFE, Intl. Dip. (Fin. Crime)

Group Chief Executive, CRI Group[/accordion_son][accordion_son title=”Sources & Credits” clr=”#ffffff” bgclr=”#bfbfbf”]

1. Danielle Keeton-Olsen, “Why Foreign Businesses Will Put Up With Some Corrupt Practices In Southeast Asia”, Forbes, < https://www.forbes.com/sites/daniellekeetonolsen/2018/01/12/why-foreign-businesses-will-put-up-with-some-corrupt-practices-in-southeast-asia/#673e13902fe3> (accessed 2 Nov. 2018).
2. “Corruption Perceptions Index 2018”, Transparency International, 2019, < https://www.transparency.org/cpi2018> (accessed 5 Aug. 2019)
3. “Asia Pacific: Little To No Progress On Anti-Corruption”, Transparency International, 29 Jan. 2019, <https://www.transparency.org/news/feature/asia_pacific_makes_little_to_no_progress_on_anti_corruption> (accessed 5 Aug. 2019)
4. OECD, The rationale for fighting corruption. 2014 <http://www.oecd.org/cleangovbiz/49693613.pdf> (accessed 2 Nov. 2018)
5. Vanessa Romo, “Former Interpol President Pleads Guilty To Bribery In Chinese Court,” NPR, 20 June 2019, <https://www.npr.org/2019/06/20/734397465/former-interpol-president-pleads-guilty-to-bribery-in-chinese-court> (accessed 5 Aug. 2019)
6. Alejandro Salas, Asia and the Pacific’s corruption scorecard: Fighting corruption needs long-term political commitment in the region, Policy Forum, 2018, <https://www.policyforum.net/asia-and-the-pacifics-corruption-scorecard/> (accessed 2 Nov. 2018).
7. “A year on, anti-corruption law changes South Korea’s graft-prone culture,” Straits Times, 2017, <https://www.straitstimes.com/asia/east-asia/a-year-on-anti-corruption-law-changes-south-koreas-graft-prone-culture (accessed 2 Nov. 2018).
8. Harry Suhartono and David Yong, “Bribery Probe Hurts One of Southeast Asia’s Biggest Projects”, Bloomberg, 18 Oct. 2018, <https://www.bloomberg.com/news/articles/2018-10-17/arrests-leave-one-of-southeast-asia-s-biggest-projects-in-limbo> (accessed 4 Aug. 2019)
9. Arya Dipa, “‘It wasn’t my idea’: Lippo Group’s James Riady denies involvement in Meikarta case”, The Jakarta Post, 9 Feb. 2019, < https://www.thejakartapost.com/news/2019/02/09/it-wasnt-my-idea-lippo-groups-james-riady-denies-involvement-in-meikarta-case.html> (accessed 4 Aug. 2019)
10.  Erwida Maulia, ‘Indonesia bribery cases weigh on Jokowi’s reform plans”, Nikkei Asian Review, 2 May 2019, < https://asia.nikkei.com/Politics/Indonesia-bribery-cases-weigh-on-Jokowi-s-reform-plans> (accessed 4 Aug 2019)
11. Shamim Adam , Laurence Arnold , and Yudith Ho, “The Story of Malaysia’s 1MDB, the Scandal That Shook the World of Finance,” Bloomberg, 2018, <https://www.bloomberg.com/news/articles/2018-05-24/how-malaysia-s-1mdb-scandal-shook-the-financial-world-quicktake> (accessed 3 Nov. 2018)
12. Matthew Goldstein, Alexandra Stevenson and Emily Flitter, “Goldman Sachs Ensnarled in Vast 1MDB Fraud Scandal,” The New York Times, 2018, <https://www.nytimes.com/2018/11/01/business/goldman-sachs-malaysia-investment-fund.html> (accessed 3 Nov. 2018)
13. Bernama, “Revised MACC Act 2009 to come into force in 2018,” The Straits Times, 2018. < https://10times.com/abac-malaysia> (accessed 11 Nov. 2018).
14. Mohd Nur Lokman bin Samingan, “Offence by Commercial Organisation”, ABAC Summit 2018, Kuala Lumpur, Malaysia, 25 Sept. 2018.
15. Zafar Anjum, “Anti-Bribery Management System (ABMS 37001) Case Study and Implementation – UK Experience”, MACC Seminar Benchmark on Governance, Integrity & Anti-Corruption, Putrajaya, Malaysia, July 2019.

[/accordion_son][/accordion_father][/vc_column_inner][/vc_row_inner][vc_empty_space][/vc_column][/vc_row][/vc_section]

Filed under: Anti-Bribery Anti-Corruption Solution, Compliance Solution, ISO 37001, Resources by admin
10 Comments »

Top 10 ways to protect your organisation from bribery and corruption

According to the International Monetary Fund (IMF) public sector corruption siphons $1.5 trillion to $2 trillion annually from the global economy in bribes and costs far more in stunted economic growth, lost tax revenues and sustained poverty. The fact is, bribery and corruption can affect any organization, of any size, in any industry and location. So how to protect your organization from bribery and corruption.

There are 10 things that an organization can do, to be better protected against the threat of bribery and corruption:

1. Be proactive: Adopt a code of ethics for management and employees. Evaluate your internal controls for effectiveness and identify areas of the business that are vulnerable to bribery and corruption.
2. Be strict: Communicate regularly to staff about anti-bribery and corruption policies, ways to report suspicions of misconduct, and the potential consequences (including termination and prosecution) of unethical behavior.
3. Train your employees: Your workforce is your first line of defense against corruption – enroll your organization in training programs like ISO 37001:2016 Anti-Bribery Management System Introductory, Internal Auditor or Lead Auditor training to ensure they can properly identify, prevent and detect bribery.
4. Be aware of red flags: Payment for vague services like “facilitating”, paying higher-than-normal fees to a vendor as “commission”, off-the-books deals, requirements of cash-only payments or unusual payment arrangements are all signs that things may be amiss and require further review.
5. Validate compliance regularly: Putting standards in place is only effective if you test and follow them year-round. Implement a process to ensure compliance with legislation like the Foreign Corrupt Practices Act (FCPA) and UK Bribery Act 2010.
6. Conduct due diligence: An unethical partner or supplier engaging in bribery and corruption can have serious effects on your own company’s reputation. Conduct thorough due diligence, with background checks and full risk assessments, on all third-parties with which you are engaged.
7. Encourage whistleblowing. Corruption is still most likely to be detected by a tip. Providing an anonymous reporting system for your employees, contractors and clients will help uncover more cases of bribery and other misconduct.
8. Be transparent: A way to be proactive in your engagement with others is to ask for feedback. Then be prepared to address it, good or bad – creating open lines of communication and honest dialogue regarding what is and what isn’t unethical behavior.
9. Establish Hiring Procedures: When hiring staff, conduct thorough background investigations. Check educational, credit and employment history (as permitted by law), as well as references.
10. Get Certified: The ISO 37001:2016 Anti-Bribery Management System standard is designed to help an organization implement an anti-bribery management system. Any organization can and should become ISO 37001 certified to signify the measures it has taken to prevent and detect bribery and corruption

About us…

Based in London, CRI® Group works with companies across the Americas, Europe, Africa, Middle East and Asia-Pacific as a one-stop international Risk Management, Employee Background Screening, Business Intelligence, Due Diligence, Compliance Solutions and other professional Investigative Research solutions provider. We have the largest proprietary network of background screening analysts and investigators across the Middle East and Asia. Our global presence ensures that no matter how international your operations are, we have the network needed to provide you with all you need, wherever you happen to be. CRI® Group also holds BS102000:2013 and BS7858:2019 Certifications is an HRO certified provider and partner with Oracle.

In 2016, CRI® Group launched the Anti-Bribery Anti-Corruption (ABAC®) Center of Excellence – an independent certification body established for ISO 37001:2016 Anti-Bribery Management Systems, ISO 37301 Compliance Management Systems and ISO 31000:2018 Risk Management, providing training and certification. ABAC® operates through its global network of certified ethics and compliance professionals, qualified auditors and other certified professionals. As a result, CRI® Group’s global team of certified fraud examiners work as a discreet white-labelled supplier to some of the world’s largest organizations. Contact ABAC® for more on ISO Certification and training.

MEET THE CEO

Zafar I. Anjum is Group Chief Executive Officer of CRI® Group (www.crigroup.com), a global supplier of investigative, forensic accounting, business due to diligence and employee background screening services for some of the world’s leading business organizations. Headquartered in London (with a significant presence throughout the region) and licensed by the Dubai International Financial Centre-DIFC, the Qatar Financial Center – QFC, and the Abu Dhabi Global Market-ADGM, CRI® Group safeguard businesses by establishing the legal compliance, financial viability, and integrity levels of outside partners, suppliers and customers seeking to affiliate with your business. CRI® Group maintains offices in UAE, Pakistan, Qatar, Singapore, Malaysia, Brazil, China, the USA, and the United Kingdom.

Contact CRI® Group to learn more about its 3PRM-Certified™ third-party risk management strategy program and discover an effective and proactive approach to mitigating the risks associated with corruption, bribery, financial crimes and other dangerous risks posed by third-party partnerships.

CONTACT INFORMATION

Zafar Anjum, MSc, MS, CFE, CII, MICA, Int. Dip. (Fin. Crime) | CRI® Group Chief Executive Officer

37th Floor, 1 Canada Square, Canary Wharf, London, E14 5AA United Kingdom

t: +44 207 8681415 | m: +44 7588 454959 | e: zanjum@crigroup.com

Filed under: Anti-Bribery Anti-Corruption Solution, Compliance Solution, ISO 37001, Resources, Third-Party Risk Management by admin
No Comments »

ABAC® Group Presents ISO 37001 ABMS at MACC 2019 Seminar

CRI® Group and ABAC® Center of Excellence CEO Mr. Zafar Anjum was a speaker at last week’s ABAC at MACC 2019 Seminar Benchmark on Governance, Integrity & Anti-Corruption. Mr. Anjum presented “Anti-Bribery Management System (ABMS 37001) Case Study and Implementation – UK Experience.” He provided an overview of ABMS 37001 Accreditation & Certification as an effective and “adequate procedure” for organisations.

The seminar, held in conjunction with the British High Commission (BHC), provided examination and discussion of UK’s best practices in governance, integrity and anti-corruption. MACC officials, Certified Integrity Officers and students from universities attended the seminar to gain invaluable expertise from distinguished speakers sharing their knowledge of ISO 37001 ABMS Standard.

Mr. Anjum opened his presentation with some key statistics. First, according to the International Monetary Fund, “An estimated $2 trillion in bribes is paid annually in both developing and developed countries.” Just as concerning, the ACFE’s 2018 Report to the Nations – Global Study on Occupational Fraud and Abuse states that “Organisations lose an average of 5% of their annual revenue to fraud each year.” ISO 37001 ABMS implements standards in organisations at every level through measures that include adopting an anti-bribery policy, appointing a person to oversee anti-bribery compliance, training, risk assessments and due diligence on projects and business associates, implementing financial and commercial controls, and instituting reporting and investigation procedures.

During his presentation, Mr. Anjum mentioned ABAC Certification which is an accredited provider of ISO 37001 ABMS Certification and Training as a tool for organisations of all types and industries to prevent bribery and corruption. ABAC® (Anti-Bribery Anti-Corruption) Center of Excellence is a global network of certified ethics, compliance professionals, qualified auditors, financial and corporate investigators, certified fraud examiners, forensic analysts and accountants. Founded by CRI® Group in 2016, ABAC® CoE aims to educate, equip and support the world’s leading business organisations with the latest best in practice due diligence processes and procedures.

ABAC Certification experts help clients through specific requirements and provide guidance for establishing, implementing, maintaining, reviewing and improving an anti-bribery management system. The system can be stand-alone or can be integrated into an overall management system. ISO 37001 can be used by any organisation, large or small. It specifies a series of measures to help prevent, detect and address bribery that can benefit organisations of any industry or type.

Anti-bribery and anti-corruption efforts are a priority in Malaysia. That’s why CRI® Group partnered with MACC, Transparency International Malaysia (TI-M), the Malaysian Anti-Corruption Foundation and the Malaysian Youth Council for “United Against Corruption” on International Corruption Day last year. The campaign raised awareness throughout Malaysia and beyond risk factors facing businesses today. Last week’s seminar provided a further means to disseminate critical information about ISO 37001 ABMS and the latest best practices for preventing and detecting bribery and corruption. Contact us today and stand out from your competitors with confidence.

ABAC Presents ISO 37001 ABMS at MACC 2019 Seminar

ABAC Presents ISO 37001 ABMS at MACC 2019 Seminar

ABAC Presents ISO 37001 ABMS at MACC 2019 Seminar

Photos: Malaysian Anti-Corruption Commission (MACC) and CRI Group

Who is CRI® Group?

Based in London, CRI® Group works with companies across the Americas, Europe, Africa, Middle East and Asia-Pacific as a one-stop international Risk Management, Employee Background Screening, Business Intelligence, Due Diligence, Compliance Solutions and other professional Investigative Research solutions provider. We have the largest proprietary network of background-screening analysts and investigators across the Middle East and Asia. Our global presence ensures that no matter how international your operations are we have the network needed to provide you with all you need, wherever you happen to be. CRI Group also holds BS 102000:2013 and BS 7858:2012 Certifications, is an HRO certified provider and partner with Oracle.

In 2016, CRI Group launched Anti-Bribery Anti-Corruption (ABAC®) Center of Excellence – an independent certification body established for ISO 37001:2016 Anti-Bribery Management Systems, ISO 37301 Compliance Management Systems and ISO 31000:2018 Risk Management, providing training and certification. ABAC® operates through its global network of certified ethics and compliance professionals, qualified auditors and other certified professionals. As a result, CRI Group’s global team of certified fraud examiners work as a discreet white-labelled supplier to some of the world’s largest organisations. Contact ABAC® for more on ISO Certification and training.

Filed under: CRI News by admin
No Comments »

Decrease Bribery Risk with ISO 37001:2016 ABMS

Bribery and corruption are worldwide problems with serious consequences for organisations of any size, industry or region. To help combat this threat, the International Organization for Standardization (ISO) issued the ISO 37001:2016 Anti-Bribery Management System (ABMS) standard. This standard helps businesses, nonprofits and governmental agencies to reduce their risk of bribery and corruption, How? By establishing, implementing, maintaining and improving an anti-bribery management system.

> Does your organisation have an ethical code of conduct? Don’t make assumptions that your employees know to conduct themselves in an ethical manner. Read “Your organisation needs an ethical code of conduct” to learn more.

The ISO 37001:2016 standard mirrors numerous steps contained in the U.S. Foreign Corrupt Practices Act, the UK Bribery Act 2010 and other major legislation aimed to curb bribery and corruption and increase punishments resulting from its occurrence. When an organisation makes the decision to move forward with ISO 37001:2016 ABMS training and certification, the benefits are immediate. That’s because ISO 37001:2016 puts methods in place that do the following:

• Ensure that your organisation is implementing a viable anti-bribery management system using widely accepted controls and systems.
• Give your company the tools it needs to prevent bribery and mitigate related risks
• Provide assurance to management, investors, business associates, personnel and other stakeholders that the organisation is actively pursuing internationally recognised and accepted processes to prevent bribery and corruption.
• Help your company create new and better business partnerships with entities that recognise your certified status, including supply chain manufacturing, joint ventures, pending acquisitions and co-marketing alliances
• Potentially reduce corporate insurance premiums
• Provide your customers, stakeholders, employees and partners with confidence in your business operations and ethics
• Provide a competitive edge over non-certified organisations in your industry or niche
• Provide acceptable evidence to prosecutors or courts that the organisation has taken reasonable steps to prevent bribery and corruption

ISO 37001:2016 certifies that your organisation has implemented reasonable and proportionate measures to prevent bribery. These measures involve top-level leadership, training, bribery risk assessment, due diligence adequacy, financial and commercial controls, reporting, audit and investigation.

Impacting your corporate culture

An organisation that takes a firm stand against bribery and corruption, and makes compliance standards a priority, will see the effects among its employees and in its corporate culture. After all, ISO 37001:2016 isn’t just for the security team or executives. It involves the entire organisation. Staff learn how to recognise red flags of noncompliance for bribery and fraud, and how to report them. They also gain an understanding that the organisation won’t tolerate unethical behaviour, especially when it comes to bribery and corruption. For example, many employees in today’s workforce might think they understand what bribery and corruption are – but they probably don’t recognise the many different ways it can manifest itself in the business world. ABAC® Certified™ training and certification process for ISO 37001:2016 educates your personnel and helps your company address bribery in all its forms, including:

• In the public, private and not-for-profit sectors
• By the organisation
• By the organisation’s personnel acting on the organisation’s behalf or for its benefit
• By the organisation’s business associates acting on the organisation’s behalf or for its benefit
• Of the organisation
• Of the organisation’s personnel in relation to the organisation’s activities
• Of the organisation’s business associates in relation to the organisation’s activities
• Direct and indirect bribery (e.g. a bribe offered or accepted through or by a third party) (Source: ISO 37001 ABMS Standard)

> Enhance your organisation’s anti-corruption culture! Read our FREE “Whitepaper: Countering bribery & corruption in the public & private sectors – Anti-corruption culture, risk assessment, auditing & compliance”

Expert training from an accredited body

CRI Group’s ABAC® Certification services are accredited by the Emirates International Accreditation Center (EIAC) for administering the ISO 37001:2016 anti-bribery standard, and has leading experts administering the 37001:2016 Anti-Bribery Management Systems certification program. ISO 37001:2016 Anti-Bribery Management System Certification reflects international best practices and can be used in all jurisdictions. It is applicable to small, medium and large organizations in all sectors, including public, private and not-for-profit sectors. reduce the risk of bribery and corruption by establishing, implementing, maintaining and improving your management system. When everyone is on the same page and playing as a team, the organisation is stronger because employees trust one another to do the right thing. Those “gray areas” of rule-bending and non-compliance are no longer gray. The organisation culture dictates that only ethical behaviour and compliance with anti-bribery and anti-fraud standards will be acceptable.

When an organisation undertakes ISO 37001:2016 training, employees understand that ethical behaviour is the norm, and anything outside of those bounds will be punished – especially criminal acts like bribery and corruption – perhaps with the loss of their job, or even prosecution. ABAC® Certification provides three levels of training ensure that employees get the instruction they need: Introductory Training, Internal Auditor Training, and Lead Auditor Training. ABAC® conducts ISO 37001:2016 training in a classroom setting, providing face-to-face interaction with expert instructors. The training helps establish an ethical culture by educating your employees on the following:

• What constitutes fraud, corruption, and bribery, and why these are so damaging to business
• How to identify red flags of fraud, corruption and bribery
• The process for reporting fraudulent and unethical acts
• The organisation’s zero-tolerance attitude toward unethical behaviour and willingness to terminate employees for breaches, and prosecute unethical acts
• The serious ramifications for committing fraud or bribery, the legal consequences, and the negative impact on one’s career

The time is now to take action against bribery and corruption – the world is watching, and organisations that make anti-bribery and anti-corruption and compliance a priority are poised to be successful. ISO 37001:2016 provides the layer of security, and as it is stated in the standard itself, “Conformity with this document cannot provide assurance that no bribery has occurred or will occur in relation to the organisation, as it is not possible to completely eliminate the risk of bribery. However, this document can help the organisation implement reasonable and proportionate measures designed to prevent, detect and respond to bribery”. The benefits are long-lasting and far reaching. Most importantly, when you engage ABAC® ’s training and certification program, you are assured that an accredited team of experts is working with your organisation to implement a top-of-the-line program that is tailored to your needs and accomplishes your goals.

> Need a reason for ISO 37001 certification? How about 25 of them? Check out our ABAC® “25 Benefits of ISO 37001 ABMS Certification” article now!

Whether your organisation is a corporation, nonprofit, or government agency, you can start enjoying the benefits of ABAC® Certification’s ISO 37001:2016 training and certification immediately. Learn more about ABAC®  Certification and ISO 37001:2016 Anti-Bribery Management System today. 

Who is CRI Group?

Based in London, CRI Group works with companies across the Americas, Europe, Africa, Middle East and Asia-Pacific as a one-stop international Risk Management, Employee Background Screening, Business Intelligence, Due Diligence, Compliance Solutions and other professional Investigative Research solutions provider. We have the largest proprietary network of background-screening analysts and investigators across the Middle East and Asia. Our global presence ensures that no matter how international your operations are we have the network needed to provide you with all you need, wherever you happen to be. CRI Group also holds BS 102000:2013 and BS 7858:2012 Certifications, is an HRO certified provider and partner with Oracle.

In 2016, CRI Group launched Anti-Bribery Anti-Corruption (ABAC®) Center of Excellence – an independent certification body established for ISO 37001:2016 Anti-Bribery Management Systems, ISO 37301 Compliance Management Systems and ISO 31000:2018 Risk Management, providing training and certification. ABAC® operates through its global network of certified ethics and compliance professionals, qualified auditors and other certified professionals. As a result, CRI Group’s global team of certified fraud examiners work as a discreet white-labelled supplier to some of the world’s largest organisations. Contact ABAC® for more on ISO Certification and training.

Prove That Your Business is Ethical for FREE

Complete our FREE Highest Ethical Business Assessment (HEBA) & evaluate your current Corporate Compliance Program. Find out if your organisation’s compliance program is in the line with worldwide Compliance, Business Ethics, Anti-Bribery and Anti-Corruption Frameworks. Let ABAC® experts prepare a complimentary gap analysis of your compliance program to evaluate if it meets “adequate procedures” requirements under UK Bribery Act, DOJ’s Evaluation of Corporate Compliance Programs Guidance and Malaysian Anti-Corruption Commission.

Filed under: Anti-Bribery Anti-Corruption Solution, Compliance Solution, ISO 37001, Resources by admin
No Comments »

Corruption: a real Threat to Organisations Worldwide

Corruption: a Real Threat to Organisations Worldwide

For ages, systematic bribery was tolerated in various countries and industries as a “necessary part of getting business done or circumventing bureaucratic red tape.” The times are changing, however. Societies and their governments have recognised that bribery and corruption vastly affect economic growth, undermine trust and discourage investment. Studies show that bribery and corruption directly contribute to global poverty, social inequality, and a decrease in public infrastructure development.

To help organisations worldwide increase and measure their efforts against bribery and corruption, the International Organization for Standardization (ISO) issued the ISO 37001:2016 Anti-Bribery Management System standard. This new standard mirrors numerous steps contained in the U.S. Foreign Corrupt Practices Act, the U.K. Bribery Act 2010 and other major legislation aimed to curb bribery and corruption and increase punishments resulting from its occurrence.

The standard is a set of controls that any organisation can implement with the right guidance. The first step is an understanding among business leaders, from ownership and directors to management, that a global corruption problem exists – and ignoring it will eventually lead to serious consequences. From lapses in corporate due diligence and devolving government and corporate integrity to poor transparency, lack of accountability, and inadequate corporate integrity systems, business corruption has become rampant and commonplace globally. According to Transparency International, bribery and corruption were among the key components that led to the recent global economic crisis.

ISO 37001:2016 for different types of organisations

When it comes to bribery and corruption, businesses, non-profits, and government organisations all face risks to their financial well-being and reputation. ISO 37001:2016 Anti-Bribery Management System standard plays a vital role for all types of organisations in reducing risk and putting a structure in place that prevents and detects bribery and corruption on all levels.

Corporate/private sector

In the present era of globalisation, anti-corruption compliance plays a vital role for companies with high ethical values trying to expand business across borders and attract potential investors and business partners for the long term. Such companies are expected to ensure the integrity of their operations and the conduct of their suppliers, distributors, and agents wherever they may be.

To meet these needs, the standard ISO 37001:2016 is designed to apply to all organisations (or parts of an organisation) regardless of type, size and nature of the business activity. The program is tailored to the needs and requirements of the organisation.

Public sector organisations

Public sector organisations play critical roles, often interacting directly with the public they serve; they include utility service providers, license-issuing authorities and other regulatory bodies. These are vulnerable areas where authority is concentrated with weak financial positions that must fulfil the needs of both the service provider and its users. Such public sector organisations can benefit from implementing ISO 37001:2016 to control bribery and corruption to enhance their productivity level and play an improved role in the socio-economic development of their country.

Government departments

The government is a major stakeholder in the socio-economic development of a country. Hence it makes laws, regulations and establishes departments to check and control bribery and corruption. In many developing countries, however, anti-corruption laws and regulations are either weak or implemented unevenly, providing poor results. Government-led steps or campaigns to fight corruption often are ineffective, while bribes continue to be accepted as part of doing business. However, the threat of bribery and corruption can be mitigated through the implementation of ISO 37001:2016 standard, which provides safeguards within a management system, rather than temporary measures or mere slogans.

Training is the key to prevention

According to the Association of Certified Fraud Examiners’ “Report to the Nations on Occupational Fraud and Abuse,” a company’s employees are its best protection against fraud. Statistics show that most fraud is detected by internal tips, even more than audits and other methods. That means that employees recognise fraud, understand that it’s wrong and not acceptable at their workplace, and report it.

This means that the more trained and educated a workforce is about fraud, bribery and corruption, the better that organisation will operate as a team in preventing and detecting those behaviours.

The ISO 37001:2016 Anti-Bribery Management System uses this approach as a focal point in providing the standards for training and knowledge your organisation needs to prevent fraud, bribery and corruption. The proper training program should be tailored to your organisation, based on its size, the way it’s structured, the business you conduct, and your specific risk areas identified in the discovery phase. In this way, ISO 37001:2016 accommodates every level of your organisation to ensure that the entire team gets the training needed to identify, prevent and detect bribery and corruption.

The ISO 37001:2016 Anti-Bribery Management System certification empowers you with the ability to safeguard and maintain the integrity of your company by:

• Guaranteeing that all workers and agents are devoted to the latest anti-bribery practice
• Regularly validating compliance to appropriate legislation like the FCPA and U.K. Bribery Act 2010
• Jointly cooperating with stakeholders to observe and reduce the risks throughout your supply chain
• Externally scrutinising your company, testing the effectiveness of your anti-bribery policies and processes
• Ensuring compliance in action

ISO 37001:2016 Anti-Bribery Management System certification is offered under CRI® Group’s ABAC® Center of Excellence, an independent certification body established for Anti-Bribery Management System, Compliance Management System and Risk Management System certification. ABAC Certification’s experts are skilled at developing and implementing programs to meet clients’ needs and requirements. Learn more about ABAC Certification and ISO 37001:2016 Anti-Bribery Management System today.

Who is CRI Group?

Based in London, CRI Group works with companies across the Americas, Europe, Africa, Middle East and Asia-Pacific as a one-stop international Risk Management, Employee Background Screening, Business Intelligence, Due Diligence, Compliance Solutions and other professional Investigative Research solutions provider. We have the largest proprietary network of background-screening analysts and investigators across the Middle East and Asia. Our global presence ensures that no matter how international your operations are, we have the network needed to provide you with all you need, wherever you happen to be. CRI Group also holds B.S. 102000:2013 and B.S. 7858:2012 Certifications, is an HRO certified provider and partner with Oracle.

In 2016, CRI Group launched the Anti-Bribery Anti-Corruption (ABAC®) Center of Excellence – an independent certification body established for ISO 37001:2016 Anti-Bribery Management Systems, ISO 37301 Compliance Management Systems and ISO 31000:2018 Risk Management, providing training and certification. ABAC® operates through its global network of certified ethics and compliance professionals, qualified auditors and other certified professionals. As a result, CRI Group’s global team of certified fraud examiners work as a discreet white-labelled supplier to some of the world’s largest organisations. Contact ABAC® for more on ISO Certification and training.

Filed under: Anti-Bribery Anti-Corruption Solution, Compliance Solution, ISO 37001, Resources by admin
No Comments »