Ethics - Professional Practice Issues Flashcards
When was the Bribery Act?
2010
What does the bribery act do?
Aims to prevent bribery in the UK
What is a bribe?
It is receiving, giving, promising or offering of an advantage for an action which is illegal or a breach of trust
What are the 6 principles the bribery act is based on?
- Proportionality
- Risk assessment
- Due diligence
- Communication
- Monitoring and review
- Commitment
What are the 4 types of bribery?
- Bribery
- Receiving a bribe
- Failing to prevent bribery
- Bribing a foreign public official
Is hospitality a bribe?
Hospitality is not prohibited but must be registered in a gift hospitality register
What are the penalties in relation to bribery??
It is policed by Serious Fraud Officer
Max 10years prison and an unlimited fine
What regulation are in place for money laundering?
Terrorist financing & transfer of funds regulation, 2017
What is money laundering?
Is when proceeds or criminal activities are disguised or converted and realised as legitimate assets
What are the 9 items covered by the regulations?
- Have a written ml and tf risk assessment
- Implement systems, policies, controls & procedures
- Adopt appropriate internal controls
- Staff training
- Comply with due diligence
- Comply with politically exposed persons
- Ensure record keeping, policies and procedures
- AML checks
- High risk factors
What are the two levels of due diligence checks?
- Enhanced due diligence
- Customer due diligence
What is customer due diligence?
Identify client and verify identity based on reliable independent source.
For a company, company number, address of registered office
Penalties for money laundering?
- 14years assisting in money laundering
- 5 years for tipping off someone that they are under suspicion for money laundering
What are the flags in money laundering?
- inability to provide documents
- changes to parties
- unusual transactions
- odd currency
What would you check for different businesses and money laundering?
- public limited company = London stock exchange
- public accountable body = government ownership
- private limited company = certificate of incorporation, full name
- individual = passport, bank statement
What is the professional standard that related to everything in this deck?
RICS PS: countering bribery, corruption, money laundering & terrorist financing, 2018
What does the RICS PS: countering bribery, corruption, money laundering & terrorist financing, 2018 do?
Sets out the mandatory, globally applicable requirements for RICS M&F. It is divided into 3 parts
What is part 1 of RICS PS: countering bribery, corruption, money laundering & terrorist financing, 2018
Mandatory requirements
What are the mandatory requirements of RICS PS: countering bribery, corruption, money laundering & terrorist financing, 2018
- Bribery and corruption:
- not offer or accept anything that could constitute a bribe
- have procedures in place to comply with law
- report suspicion
- act with due diligence - Money Laundering
- not facilitate or be complicity in ML & TF
- have systems in place to comply with laws
- report suspicion
What is part 2 of RICS PS: countering bribery, corruption, money laundering & terrorist financing, 2018
Guidance.
- written policy
- encourage transparency
- set up gifts register
- up to date with legislation
What is part 3 of RICS PS: countering bribery, corruption, money laundering & terrorist financing, 2018
Supplementary guidance. Establishing a risk-based approach, on 3 W’s:
1. Who you work for
2. What you are doing
3. Why you are being asked
