MACC Act 2009 Section 17A hold business owners, directors and top management  potentially liable for failing to prevent acts of bribery and corruption.

The commercial organization should establish the necessary safeguards to prevent the acts of bribery and corruption  from happening. Hence, the burden of proof  lies on the top management that adequate procedures (necessary measures) were planned, implemented and enforced effectively within the commercial organization. Therefore, the commercial organizations needs to implement ‘adequate procedures’ to prevent corruption in their operation or business activities.

If a commercial organization is convicted, the penalty under Section 17A (2), states that they may be liable to a fine of not less than ten (10) times the value of the gratification in question or RM1,000,000.00, whichever is higher, or to imprisonment for a term not exceeding twenty (20) years, or to both.

KAC Advisory Services PLT (KACP) is conducting a two days in-house training for  adequate procedures  which includes preparation, implementation and enforcement following the guidelines issued by the Prime Minister’s Office in December 2018 (“Guidelines”). After the training, you can plan, prepare and implement adequate procedures within your organization and  use  it as a defense against future corporate liability or as mitigating factors as the case maybe.

In addition, commercial organization also need to have good financial controls systems and processes to manage its financial transactions properly and to record these transactions accurately. We also provide  financial controls training which will give guidelines to the organization on how to properly use, protect and record  its financial resources.