Anti-Bribery and Corruption

 
 
 

BAT has a zero tolerance approach and is committed to working against bribery and corruption in all forms. It is wholly unacceptable for Group Companies, Employees or our business partners to be involved or implicated in any way in bribery or other corrupt or criminal practices, including fraud, embezzlement or extortion.

What is a Bribe?

A bribe includes any gift, payment, or other benefit (such as hospitality, kickbacks, a job offer/work placement, or investment opportunities) offered in order to secure an advantage (whether personal or business-related). A bribe need not have been paid or received to violate the law or the SoBC; even the act of offering, asking for, or agreeing to accept a bribe is enough.

Under the laws applicable to the Group, bribing a Public Official is a crime, regardless of the country, local laws, or customs.

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  • No Bribery
  • No Facilitation Payments
  • Maintaining Adequate Procedures
  • Books, Records, and Internal Controls
 

No Bribery

Under the laws applicable to the Group, bribing a Public Official is a crime, regardless of the country, local laws, or customs. It is also a crime to bribe employees or agents engaged in private business (such as our Suppliers).

You must never:

  • offer, approve, promise, or give any gift, payment, or other benefit to any person (directly or indirectly), including a Public Official, to induce or reward Improper Conduct by any person or improperly influence, or intend to improperly influence, any decision by a Public Official to our advantage or encourage others to do so; or
  • ask for or accept, agree to accept, or receive any gift, payment, or other advantage from any person (directly or indirectly) as a reward or inducement for Improper Conduct or which improperly influences, or gives the impression that it is improperly intended to improperly influence, decisions of the Group.

There are severe potential consequences for breaches of anti-bribery laws, for both the Group and individuals.

 

No Facilitation Payments

You must not make facilitation payments (directly or indirectly), other than where necessary to protect the health, safety, or liberty of any Employees.

Facilitation payments are small payments made to smooth or speed up performance by a low-level official of a routine action to which the payer is already entitled. They are illegal in most countries.

BAT does not permit facilitation payments, except in exceptional circumstances where the health, safety, or liberty of an Employee is at risk. In those situations, we involve local Legal Counsel (if possible, before any payment is made). The payment must also be fully documented in the Group Company’s books.

A published, well-documented expediting fee paid directly to a government or state-owned enterprise (not an individual) is not typically considered a facilitation payment under anti-corruption laws.

 

Maintaining Adequate Procedures

Group Companies can be held to account for corrupt acts by Employees and third-party service providers acting on our behalf. Consequently, Group Companies are expected to implement and operate controls which ensure that improper payments are not offered, made, asked for, or received, by individuals and companies performing services on our behalf.

Controls should include:

  • ‘Know Your Supplier’ and ‘Know Your Customer’ procedures, including the Third-Party AFC Procedure, which are all proportionate to the risk involved;
  • anti-corruption provisions in contracts with third parties which are appropriate for the level of bribery and corruption risk involved in the service and can result in termination if breached;
  • where appropriate, anti-corruption training and support for staff who manage Supplier relationships;
  • prompt and accurate reporting of the true nature and extent of transactions and expenses; and
  • applying the M&A Transactions Compliance Procedure to applicable transactions, including possible joint-venture arrangements. This includes risk assessments for ethical-related risks.
 

Books, Records, and Internal Controls

Group business records must accurately reflect the true nature and extent of transactions and expenditures. We must maintain internal controls to ensure that financial records and accounts are accurate in accordance with applicable anti-corruption laws and best practices.
 

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