Helms, from the Committee on Foreign Relations, submitted the following R E P O R T [To accompany Treaty Doc. SENATE 2d Session 105-19 _______________________________________________________________________ CONVENTION ON COMBATING BRIBERY OF FOREIGN PUBLIC OFFICIALS IN INTERNATIONAL BUSINESS TRANSACTIONS _______ July 16, 1998.--Ordered to be printed _______________________________________________________________________ Mr.The Convention was signed in Paris on December 17th, 1997, and was submitted to the Senate on May 4, 1998. This is defined to include officials in all branches of government, whether appointed or elected; any person exercising a public function, including for a public agency or public enterprise; and any official or agent of a public international organization.A public function includes any activity in the public interest delegated by a foreign country.At the urging of the United States, the OECD adopted in 1994 a Recommendation on Combating Bribery in International Business Transactions, and in 1996 adopted a Recommendation on the Tax Deductibility of Bribes of Foreign Public Officials.
Some persons who are not formally designated as public officials but who may in fact perform a public function (e.g., political party officials in single party states) may, under the legal principles of some countries, be considered as foreign public officials.
The Convention requires Parties to take necessary measures, within the framework of their relevant laws and regulations, that prohibit the establishment of off-the-books accounts and similar practices used to bribe foreign public officials or to hide such bribery.
Parties shall make bribery of foreign public officials a predicate offense for purposes of money laundering legislation on the same terms as bribery of domestic public officials.
The commentaries on this paragraph provide that among the civil or administrative sanctions which might be imposed are exclusion from entitlement to public benefits or aid, disqualification from participation in public procurement, placing under judicial supervision, and a judicial winding-up order. Article 4 requires each Party to establish its jurisdiction over the bribery of a foreign public official when the offense is committed in its territory.
In addition, each Party is required to establish jurisdiction to prosecute its nationals for offenses committed abroad with respect to the bribing of a foreign public official. Article 5 requires Parties to enforce its commitments under the Convention without regard to political or economic interests.