Anti-Bribery, Anti-Corruption
and Sanctions Legislation
Paralos Shipping recognises that corruption and bribery continue to be common problems for the shipping industry. The legislative framework, globally, looks to respond effectively to these problems and tries to ensure also that its legislation has sufficient reach e.g. the US Foreign Corrupt Practices Act and the UK Bribery Act 2010 and Paralos Shipping is committed to upholding laws relevant to countering bribery and corruption in all jurisdictions in which it operates. It is a key principle of Paralos Shipping to avoid any involvement in corrupt or illicit activities or conduct, and this statement is part of how we adhere to that principle. Paralos Shipping takes a zero tolerance approach to bribery and corruption and is committed to acting professionally, fairly and with integrity in all business dealings and relationships wherever it operates.
In addition, Paralos Shipping is well aware that the United States (“US”) and the European Union (“EU”) have established sanctions and embargoes programs aimed at prohibiting or restricting trade with certain countries, entities or individuals by reason of their violation of human rights, or their involvement or association with the development of armaments and weapons, terrorism and drug trafficking.
Paralos Shipping recognizes the importance of opposing corrupt practices and complying with international trade sanctions, which means understanding the scope of all applicable anti-corruption, anti-bribery and sanctions legislation and has in place an appropriate policy and safeguards to ensure compliance with all applicable legislation both as a function of Paralos Shipping’s own policies and generally.
Paralos Shipping’s policy is applicable to it and all related companies together with all individuals working at all levels within and for the company – this include directors, officers, senior managers, employees, agents and any other person working for Paralos Shipping (“Representatives”). Further, Paralos Shipping will take all reasonable steps to ensure that Paralos Shipping ‘s clients, contractors, suppliers, advisers, JV partners and other parties Paralos Shipping conducts business with (“Third Parties”) are committed to similar values and have in place principles to counter bribery, corruption and the violation of any sanctions laws.
The reporting requirement of Paralos Shipping’s policy is also applicable to Paralos Shipping ‘s contractors and suppliers. The policy is intended to supplement all applicable laws, rules, and other corporate policies. It is not intended to supplant any local, or governing, laws.
Paralos Shipping understands that:
Corruption is the misuse or abuse of public power or position for private profit, or the misuse or abuse of entrusted power or position for private gain; and,
Bribery is the offer, promise, or payment of cash, rewards, financial or other advantage, making of gifts, or an inducement of any kind offered or given, directly or indirectly, to a person in a position of trust to influence that person’s views or conduct or to obtain an improper advantage.
An advantage includes money, gifts, loans, fees, hospitality, services, discounts, the award of a contract or anything else of value.
Paralos Shipping is committed to ensuring that no Representatives while in any way associated with Paralos Shipping, may bribe another person (directly or through a third party), in any circumstances. In particular, Paralos Shipping is committed to ensuring that no financial reward, or any other kind of advantage is provided to another person (directly or through a third party), either:
- intending that the bribe will cause that other person to improperly perform any function of a public nature, any activity in the course of business, or any activity performed in the course of any person's employment; or
- while knowing or believing that if the recipient accepted the bribe, that in itself would amount to improper performance of any such function.
Paralos Shipping understands that ‘Improper performance’ includes any act or omission that is illegal, unethical or breaches an expectation of good faith, impartiality or an expectation arising from a position of trust. The improper acts may be in relation to any business or professional activities, public functions, acts in the course of employment, or other activities by or on behalf of any organisation of any kind. A payment or other advantage may still amount to a bribe even if the individual providing the advantage is not the person who receives the benefit of the improper performance.
It is Paralos Shipping’s policy that it will not make facilitation payments and should avoid any activity that might lead to, or suggest, that a facilitation payment will be made by or on behalf of Paralos Shipping.
Facilitation payments are small payments made to secure or speed up routine actions, usually by public officials, such as issuing permits, immigration controls, providing services or releasing goods held in customs.
Paralos Shipping only permits genuine hospitality or reasonable and proportion business expenditure in accordance and compliance with its internal policies and where legally permitted and never in circumstances where this is a cover for bribery. Paralos Shipping appreciates that practice varies between countries and regions and takes into consideration whether in all the circumstances the gift, hospitality or payment is reasonable and justifiable.
Paralos Shipping recognises that sanctions law is a fast-moving and political area, and the potential penalties for breaches include large fines, imprisonment and loss of banking facilities.
Paralos Shipping is fully aware that sanctions laws include those imposed by the US Office of Foreign Assets Control (“OFAC”) and other applicable authorities as well as the EU sanctions (implemented in the various EU member states). Paralos Shipping also observes the sanctions laws of the UK, Switzerland and Singapore. The EU, US, Swiss, Singapore and UK restrictions are referred to collectively as the “Sanctions”.
There are Sanctions targeting a significant number of countries, including Venezuela, Russia, Iran, Cuba, Libya, Syria and North Korea.
Paralos Shipping recognises that Sanctions can be of various types – e.g. trade sanctions, economic sanctions or sectoral sanctions. Paralos Shipping recognises and accepts that Sanctions may mean that Paralos Shipping is prohibited from dealing with particular individuals, entities or ships or they may restrict only certain activities with certain persons, or they may directly or indirectly restrict transactions involving certain goods or services and capital transfers or the movement of persons.
Paralos Shipping’s policy demands that Representatives are strictly prohibited from offering, paying, promising, or authorizing any payment or other thing of value:
- to any person;
- directly or indirectly through or to a third party;
- for the purpose of (i.e., in exchange for):
- causing the person to act or fail to act in violation of a legal duty;
- causing the person to abuse or misuse their position; or
- securing an improper advantage, contract or concession.
Paralos Shipping’s policy requires that Representatives must also respect and uphold all applicable Sanctions. This means being aware of the applicable restrictions, carrying out Sanctions checking and being open and transparent about the underlying activities, individuals and payments.
In addition, Paralos Shipping ‘s policy also demands that books and records must correctly record both the amount and a written description of any transaction. Representatives must ensure that there is a reasonable relationship between the substance of a transaction and how it is described in the relevant companies’ books and records.
Expenses incurred by Paralos Shipping’s representatives for the entertainment of Paralos Shipping’s business partners, or prospective business partners, are to be restricted to approved cases for any necessary marketing of the company and such expenses should be both reasonable and proportionate for any such entertainment.
by