Britain’s anti-corruption laws are being largely ignored by big Indian companies operating in the country and are likely to be unenforceable anyway, senior executives said yesterday.
But they also threaten to hobble British companies with a presence in India, putting them at a severe disadvantage to competitors from countries with less stringent rules governing behaviour. The Bribery Act 2010 will cover all Indian companies with offices in the Britain, as well as British companies with operations in India.
The Act seeks to prosecute companies and individuals who not only offer or receive bribes but also fail to act to prevent bribery. Prison sentences of up to ten years are possible for those convicted.
One British lawyer in Mumbai, who pointed out that corruption was endemic in many areas of Indian business, said: “I have seen no evidence that the big Indian conglomerates are preparing for this. Some of them are aware but are doing nothing. Some of them don’t even seem to know about it.”