Introduction to Anti-Bribery

Let’s now talk about what is bribery exactly and why it's such a big deal in the financial industry.

In a nutshell, it's the act of offering, giving, receiving, or soliciting something of value in exchange for an advantage or favor. This could be money, gifts, services, or other benefits. Bribery is illegal in most countries, including the United States, and it can result in some pretty serious consequences.

The financial industry is particularly vulnerable to bribery because of the large amounts of money involved in financial transactions. In some cases, bribes may be offered in order to gain access to information or to influence financial decisions. In other cases, bribes may be used to secure lucrative contracts or to gain an unfair advantage over competitors.

The consequences of engaging in bribery in the financial industry can be severe. In the United States, the law prohibits both domestic and foreign bribery, and individuals and companies found guilty of bribery can face significant fines and even imprisonment. In addition to the legal consequences, bribery can also damage a company's reputation and lead to a loss of business and trust.

One example of a bribery case is the case of Siemens, a German engineering company. In 2008, the company was found guilty of paying over $1 billion in bribes to officials in several countries. As a result, the company was forced to pay $1.6 billion in fines and settlements, and several individuals involved in the bribery scheme were convicted and sentenced to prison.

In this lesson, we've learned that bribery is the act of offering or accepting something of value in exchange for an advantage. We've also discussed the legal consequences of engaging in bribery in the financial industry, as well as a real-world example of a bribery case. In the next video, we'll dive deeper into the key concepts of anti-bribery and how to avoid it in your daily work.