Description: Canadian companies have been lobbying the federal government to delay implementing its new anti-corruption rules. Public Works and Government Services Canada has been threatening to de-list suppliers – including major names such as HP and Siemens – for up to 10 years because of convictions for corruption in foreign countries. Public Works points out it is not required to deal with companies that break the law while industry counters that the government may miss out on technical expertise offered by companies subject to the ban.
Source: The Globe and Mail.com
Date: November 11, 2014
1) What do you think regarding the government’s position? Should our government not do business with those who have been convicted in other nations?
2) If you were the auditor of one of these organizations that committed crimes overseas, how would this affect your assessment of audit risk?
3) If you were a senior financial officer in one of the affected organizations, what ethical issues might you have to deal with surrounding these corruption convictions?