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5/19/11

Is the Netherlands too soft on corruption?

Don't even think about approaching Dutch companies with a bribe. Corporate corruption just doesn't fit in with Dutch culture. At least, that's what the Dutch like to think.

While US courts have handed down billions of dollars' worth of fines to companies found guilty of corruption and bribery over recent years, similar investigations in the Netherlands rarely get off the ground. But is that because Dutch firms don't do it, or because Dutch justice authorities don't deal with it?

That it does actually happen was demonstrated this week in Poland. Prosecuting authorities there say a German office of the Dutch multinational Philips systematically bribed Polish hospital managers. They are alleged to have purchased Philips equipment in exchange for the money. The Philips branch is said to have set up a special fund to finance the bribes. Philips is not the only Dutch company to have been accused of bribery in recent years. Shell, for instance, was under fire for a long time for making payments to officials in Nigeria.

The Anglo-Dutch multinational got itself out of trouble by agreeing to a settlement with US justice authorities.
Chemical conglomerate AkzoNobel was fined around 4.25 million euros by the US for paying bribes to members of the Iranian government. Less well-known Dutch companies have also been at the receiving end of US fines for bribery.

For more: Is the Netherlands too soft on corruption? | Radio Netherlands Worldwide

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