Control Risks has established a new investigations team dedicated to high volume, compliance focused due diligence screening services. Global Business Integrity Programmes (GBIP) is aimed at assisting clients in structuring and executing due diligence programmes under which the client’s potential counterparties – such as local sales agents, joint venture partners, intermediaries, clients and candidates for senior positions – are screened for evidence of corrupt activities, money laundering, unethical conduct or other issues of concern.

US and European enforcement agencies have recently handed down historic fines (running into millions and sometimes billions of dollars) under legislation such as the US Foreign Corrupt Practices Act, and the US Department of Justice has shown a sharply increased emphasis on individual liability. This and the prospect of the introduction of a new Corruption Bill in the UK will make it even more critical for companies and executives conducting business overseas – particularly in emerging markets – to implement and adhere to global compliance programmes that meet the requirements set out by international and local regulators, says the vendor.

The key role of third party due diligence has been underlined by the US Department of Justice, which has stated that regulators would consider the extent, or absence of, due diligence when resolving a case pertaining to foreign payments. Mark Mendelson, the department’s chief prosecutor of foreign bribery, has advised companies to undertake “aggressive due diligence” and said that it would be “much less sympathetic” to companies that “stumble on” foreign payments a year or two after the transaction.

Toby Latta, regional director for Control Risks, says: “In this climate of rigorous enforcement, it has become critically important for companies conducting business internationally to implement programmes to appropriately vet all of their business partners. It is vital that such companies understand the professional history of individuals and companies and whether there is evidence of illegal or unethical activity.”