Business Corruption in Germany
Corruption is not considered an obstacle to doing business in Germany, and companies are unlikely to encounter bribery or other corrupt practices. Fraud and corruption risks are most prevalent in the construction and health sectors, as well as in public procurement. The German Criminal Code applies to individuals – not companies – and makes it illegal to offer, pay or accept a bribe. Companies can be held civilly liable under the Administrative Offences Act (OWiG), with fines up to EUR 10 million and confiscation of all economic advantages obtained through bribery. Facilitation payments are prohibited, and small-value gifts and hospitality may be considered illegal depending on the intent, the benefit obtained and value of the offer. Germany’s ability to ensure integrity in state bodies and to prevent corruption is efficient due to strong institutional and legal frameworks. Enforcement of foreign bribery laws has increased significantly in recent years, and a large number of prominent German companies and individuals from businesses have been successfully prosecuted.
GAN Integrity Solutions