Basel Committee Due Diligence Guidelines for Banks
Year of creation: 2001 and 2008
Developed by: Bank for International Settlements (BIS)
Description: The 20 member Basel Committee, established by the BIS, formulates broad supervisory standards and guidelines and recommends best practices in the expectation that individual authorities will implement them through detailed and tailor-made arrangements. The aim is a move towards common approaches and common standards without attempting detailed harmonisation of member countries' supervisory techniques. One of the Basel Committee's initiatives is to benchmark know-your-customer (KYC) policies for banks, most closely associated with the fight against money laundering. The 2001 Guidelines on Customer Due Diligence for Banks provide precise guidance on the essential elements of KYC standards and their implementation. These standards may need to be supplemented and/or strengthened by additional measures tailored to the risks of particular institutions and risks in the banking system of individual countries. The need for due diligence standards is not restricted to banks and need to be developed for all non-bank financial institutions and professional intermediaries of financial services, such as lawyers and accountants. See also the Basel Committee's more recent recommendations for due diligence and transparency regarding cover payments related to cross-border wire transfers.
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Business Anti-Corruption Portal Due Diligence Tools
Year of creation: 2007
Developed by: Business Anti-Corruption Portal
Description: Corruption and bribery are seen in numerous relations, and in certain situations it can be disastrous to make the wrong decision. Therefore, simple flowchart and guidance documents can be of great help when doing business in countries with a high level of corruption. The due diligence tools contain flowcharts that illustrate the particular points in relation to agent and consultant evaluation processes, joint venture partnerships and contractor procedures where companies should be alert to corruption. The idea is that companies themselves can develop their own flowcharts using the described examples and supplement them with information from Business Anti-Corruption Portal (e.g. the Information Networks and Country Profiles) when elaborating an anti-corruption strategy that fits their specific products and needs, as well as the markets in which they operate.
Key elements:
All flowchart procedures are available for downloads in Word format
Business Anti-Corruption Portal Public Procurement Due Diligence Tool
Year of creation: 2008
Developed by: Business Anti-Corruption Portal
Description: Public procurement is a high-risk area for small and medium sized enterprises, particularly when corruption risks are also present. This means that many companies put themselves at risk of extortion, blacklisting, and legal prosecution by getting involved in corruption, or incurring losses and/or not submitting bids in relation to what would otherwise be lucrative tenders. This specific tool assists companies in looking for indicators or "red flags" in the different phases of the procurement process and in devising a strategy based on this.
Key elements:
The tool consists of 3 documents and an interactive tool which when combined constitute a tool to assess the risks of corruption in a given specific instance of public procurement
All documents are available for downloads in PDF and Excel format
GIACC Due Diligence Tool
Year of creation: N/A
Developed by: Global Infrastructure Anti-Corruption Centre (GIACC)
Description: GIACC is an independent not-for-profit organisation which provides resources and services for the purpose of preventing corruption in the infrastructure, construction and engineering sectors in order to assist governments, project owners, funders, contractors, consulting engineering firms and suppliers of equipment, materials and services. The GIACC due diligence tool suggests types of due diligence which can be undertaken in relation to different circumstances. They are suggestions only, and are not universally applicable.
Key Elements:
An initial discussion on why one should and how to conduct due diligence
Due diligence on the country, the law, the project, the project owner, business partners, agents and key employees
Assistance to identify "red flags"
Guidelines on Reputational Due Diligence
Year of creation: 2004
Developed by: International Association of Oil and Gas Producers (OGP)
Description: The guidelines are designed as a resource for member companies of the OGP intending to establish and/or maintain effective anti-corruption practices. These include evaluation of the potential risks of doing business with associates and implementation of measures to reduce those risks. It sets out to provide guidelines on designing and conducting due diligence procedures and establishing a framework for in-house programmes. Companies can adapt the guidelines to fit the particular needs and circumstances of their own organisation.
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