The long awaited and much discussed new Prevention Of Corruption Act was passed in the House of Assembly towards the end of last year, more?than?two?years after Parliament first signalled its intent to upgrade the original 83-year-old law.
While there has been some concern about the extensive scope of the legislation, there have also been suggestions that similar laws should apply to senior private sector executives and senior public servants.
One of the key provisions of the act is a declaration by people in public life, of their assets and the assets of their spouses and children under 18.
Among others covered by the Act are chairpersons, members and chief executives of statutory boards, heads of Government departments, judges and magistrates.
It provides for a three-member Prevention Of Corruption Commission to be established comprising a former judge, an attorney-at-law of at least 15 years’ standing and a person with at least 15 years’ experience in financial or accounting matters.
The functions of the commission will be to receive and keep on record all declarations and documents furnished pursuant to the legislation, and request from a person any information relevant to a declaration which, in its opinion, would assist in the examination and verification of the declaration.
It may also make independent enquiries and carry out investigations into any allegations of corruption or any act of omission relevant to compliance with the provisions of the law; make any enquiry it considers necessary in order to verify the accuracy of any declaration or document before it; and receive and investigate complaints in respect of compliance.
Any person who fails to file a declaration or provide information or knowingly makes a declaration which is false in some material issue is liable on conviction or indictment to a fine of $1/2 million or to imprisonment for a term of five years or both.
In the January 29, 2012 SUNDAY SUN the head of the umbrella body for local trade unions and a senior attorney called for trade union leaders to be left out of anti-corruption legislation.
The legislation identifies the president and chief executive officer of registered trade unions among people in public life who would be required to file declarations of their financial affairs, as well as those of their spouses and minor children.
But Cedric Murrell, president of the Congress of Trade Unions and Staff Associations of Barbados, and attorney-at-law Edmund Hinkson took the position that trade unionists should not have to make such declarations.
“There is no valid reason why trade unionists per se ought to be included within the ambit of integrity legislation.
“It is impractical and unnecessary to include representatives of labour within this law when there are representatives of some private sector organizations which are not registered trade unions who will not be required to comply with this statutory provision,” Hinkson said.
He also expressed concern that the inclusion of board members of statutory boards and companies controlled by Government would deter “many worthy citizens from contributing to the socioeconomic development of Barbados” by serving on such bodies.
“Integrity legislation within the context of a small island state such as in our country ought not to compel ordinary board members of Government corporations and presumably Constituency Councils to declare their financial affairs to the commission. Only the chairman and deputy chairman ought to be so obliged,” he said.
In addition to exclusions from the list, Hinkson also suggested additions.
He said that along with heads of Government departments and public officers at the level of permanent secretary, public officers at ranks below the top who regularly interact with the general public in revenue earning, security and law and order institutions should also fall under the legislation.
Notably, in the June 14, 2010 BARBADOS BUSINESS AUTHORITY it was reported that Government was preparing legislation that would significantly alter the way Barbados’ private sector functions in several areas.
Then Attorney General Freundel Stuart, who chaired the Cabinet committee on governance, said Government was drafting new “integrity in public life” legislation that would force executives in “some areas” of the private sector to account for their accumulated assets.
“It is intended to be far-reaching because I do not believe and recent evidence has shown that corruption is not the exclusive and sacred preserve of people in the public sector,” Stuart said.
“Citizens have as much to be protected from that kind of thing in the private sphere as in the public sphere . . . . There are establishments in the private sector that in their operations impact very heavily on public welfare and therefore, even though they are private in nature, their operations are really public in character,” he pointed out.
Meanwhile, in the September 7, 2011 MIDWEEK NATION Minister of Industry, Small Business and Rural Development Denis Kellman called on small and medium enterprises (SMEs) to adhere to ethical business practices.
Speaking during the launch of the FINPYME Integrity business ethics initiative for SMEs spearheaded by the Inter-American Investment Corporation, he said good business ethics should be the core practice of any business.
“It increases profits as more customers are attracted to do business with the company. It attracts quality employees as individuals seek to work with the organization and it is easier to attract credit,” he said.
On the other hand, the minister said unethical behaviour ruins the reputation of businesses in the marketplace and can even lead to closure.
He noted that failing to pay attention to the ethical practices of SMEs could be costly.
“The costs incurred to take care of damages arising from lawsuits or in advertising to reverse bad publicity could very well cost the organization more than it outlays to improve its ethics,” he said.
Furthermore, Kellman said accusations of corruption, fraud and bribery impact a country’s ability to attract foreign investment and may lead to scrutiny by relevant watchdog agencies.
