Bribery and extortion in international transactions essay

Extortion is the act of obtaining money or property by using threats of harm against the victim, or against his property or family. The key difference between bribery and extortion is that extortion uses threats and intimidation to control the victim whereas bribery has more of an equal and voluntary relationship between the two parties. In simple terms, this refers to giving or receiving a bribe.

Bribery and extortion in international transactions essay

Get Full Essay Get access to this section to get all help you need with your essay and educational issues. Get Access Bribery and Extortion in International transactions Essay Sample In my Term Paper I would to cover very difficult subjects which are Bribery and Extortion committed in transactions, first let us present short definition and its descriptions: Bribery is the practice of offering professional money or other favors in order to go around ethics in a variety of professions.

It is a form of corruption and is generally illegal, or at least cause for penalties from professional organizations. For example, a motorist may bribe a police officer not to issue a ticket for speeding, a citizen seeking paperwork or utility line connections may bribe a functionary for faster service, a construction company may bribe a civil servant to award a contract, or a narcotics smuggler may bribe a judge to lessen criminal penalties.

In some cases, the briber holds a powerful role and controls the transaction; in other cases, a bribe may be effectively extracted from the person paying it.

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Even if it is not criminal to disclose the information, it constitutes extortion to demand money or other consideration not to disclose it. Extortion is distinguished from robbery.

In robbery, the offender steals goods from the victim whilst threatening him with force. In extortion, the victim willingly turns the goods over to avoid a threatened violence or other harm. One of the organizations that is Defender of the multilateral trading system is the International Chamber of Commerce ICCwhich was founded in with an overriding aim that remains unchanged: The OECD has established a monitoring program to assure effective and consistent implementation and enforcement of the Convention.

Below I present main recommendations of ICC concerning prevention illegal actions committed in transitions. Recommendations to Governments and International Organizations Recommendations for international cooperation Basic criminal statutes of virtually all countries clearly prohibit extortion and bribery.

In the interest of developing consistent standards of criminal legislation in this field, each government should review its statutes to ensure that they effectively prohibit, in conformity with its jurisdictional and other basic legal principles, all aspects of both the giving and the taking of bribes including promises and solicitation of bribes.

Where no such legislation exists, the governments concerned should introduce it; in those countries where extortion and bribery are already clearly prohibited, the relevant legislation should be perfected. Each government should take meaningful steps to enforce its legislation in this area.

ICC also notes with approval that the OECD has urged governments to re-examine their legislation against extortion and bribery; action relating to the tax deductibility of bribes is of particular urgency.

National measures In order to deal with the problem of extortion and bribery, governments should, in conformity with their jurisdictional and other basic legal principles, take the following measures, if they have not already done so.

Preventive measures Disclosure procedures For the sake of transparency, procedures should be established providing for periodic reports to an authorized government body of measures taken to supervise government officials involved directly or indirectly in commercial transactions.

Such reports should be open to publicity. For enterprises engaged in transactions with any government or with any enterprise owned or controlled by government, disclosure procedures should provide for access, upon specific request, by the appropriate government authorities to information as to agents dealing directly with public bodies or officials in connection with any particular transaction, and as to the payments to which such agents are entitled.

Governments should ensure the confidentiality of any such information received from enterprises and safeguard the trade secrets incorporated therein.

Economic regulations when laying down any economic regulations or legislation, governments should, as far as possible, minimize the use of systems under which the carrying out of business requires the issuance of individual authorizations, permits, etc.

Experience shows that such systems offer scope for extortion and bribery.

Bribery and Extortion in International transactions Essay Sample

This is because decisions involving the issue of permits or authorizations are frequently taken in ways which make it almost impossible to ensure effective control and supervision.

Transactions with governments and international organizations Such transactions should be subject to special safeguards to minimize the opportunities for their being influenced by extortion and bribery. The system for awarding government contracts might include disclosure, to an appropriate government entity independent of the one directly concerned in the transaction, as well as increased public disclosure, whenever feasible, of the criteria and conclusions upon which the award is based.

Bribery and extortion in international transactions essay

ICC supports the growing practice of making government contracts dependent on undertakings to refrain from bribery, and recommends that such contracts should include appropriate provisions to ensure compliance with international, national or enterprise codes against extortion and bribery.

Political contributions Undisclosed political contributions can be a source of abuse. Governments should regulate the conditions under which political contributions can be made. Where payments by enterprises to political parties, political committees or individual politicians are permitted by the applicable legislation, governments should enact legislation which ensures that such payments are publicly recorded by the payers and accounted for by the recipients.

Enforcement measures Governments, in conformity with their jurisdictional and other basic legal principles, should ensure: Cooperation in law enforcement Governments should agree, under appropriate provisions for confidentiality, and in conformity with the OECD Convention, to exchange through law enforcement agencies relevant and material information for the purpose of criminal investigation and prosecution of cases of extortion and bribery.

They should also continue to cooperate on matters involving extortion and bribery, on the basis of treaties providing for assistance in judicial and penal prosecution matters.

Bribery And Extortion In International Transactions , Sample of Term Papers

Role of international financial institutions International financial institutions, e. They should take all reasonable steps to ensure that corrupt practices do not occur in connection with projects which they are financing.

Similarly, in negotiating cooperation agreements with non-member countries, whether countries with economies in transition or developing nations, the governing or coordinating bodies of the European Union, NAFTA North American Free Trade AgreementASEAN Association of Southeast Asian Nations and other regional institutions, should seek to satisfy themselves that appropriate legislation and administrative machinery to combat extortion and bribery exists in the countries concerned.

However many things still remains do in particular in less develop, or developing countries, i.

Difference Between Bribery and Extortion | Bribery vs Extortion

Poland in which the economy and government are still unstable.The international movement to deter corruption: Should China join? * Paul D. Carrington (School ofLaw, Duke University, Durham , USA) to Combat Extortion and Bribery. Retrieved May international transactions if they were deterred from paying .

Corrupt Practices in International Marketing Corrupt practices in business transactions are of tremendous concern in the international business market. These corrupt practices include bribery, extortion, lubrication and subordination.

Extortion, lubrication and subordination are different variations of bribery. When you think of bribery, you may also think of extortion and, in fact, many people mix up the two. Both are criminal offenses that involve large amounts of money or property in many cases.

However, the manner of exchange is very different, which sets them apart. Bribery and Extortion in International transactions In my Term Paper I would to cover very difficult subjects which are Bribery and Extortion committed in transactions, first let us present short definition and its descriptions.

Key Difference – Bribery vs Extortion Bribery is the act of giving money or other valuable items to a person in power, typically a public official, in order to induce the person to take a particular action.

International financial institutions, e.g., the World Bank, the European Bank for Reconstruction and Development, should aim to make a significant contribution to the reduction of extortion and bribery in international business transactions.

Bribery - Wikipedia