“Compliance” refers to the “conformity of rules”. Within a penal context this terminology indicates the sum of all organizational precautions which secure the compliant behaviour of an organization and its employees within all business related activities.
In past years the jurisdiction and the legislator have continuously aggravated the Compliance-requirements. A misconduct of employees can cause the organization to receive sensible financial fines. Equally this can lead to significant civil- and penal consequences for managers, the management board and the supervisory board, provided that the organization did not take precautions for sufficient measures for the avoidance of prohibited behaviour. Further there is risk – as the recent past just proved – that the organization’s reputation is damaged due to an effective public trial. Thus compliance is not only legally necessary but also an imperative when it comes to economic rationality.
Compliance – Avoiding risks
The legally required extent of Compliance-efforts cannot be determined on an abstract level. The precise Compliance-organization and the resulting resource management have to be developed individually considering the existing compliance risks. Each industry has an individual risk profile and it is further self explanatory that the personnel and organizational designs of compliance structures differ between an internationally oriented corporate group and a family business. Compliance does thus not tolerate standardized formulas but rather demands bespoke work.
All attorneys of ECKSTEIN & KOLLEGEN are specialized in the area of commercial criminal law. Due to our defence activities we know the penal pitfalls but also the multifaceted constraints of business activities. With this practical knowledge we support organizations by analyzing existing compliance risks and consult the development of compliance structures and their implementation into business processes. We further support the establishment of mechanisms for continuous control and evaluation of established compliance measures. Equally we provide the development and performance of trainings for the organizations’ employees.
In certain cases it may be reasonable to establish a whistle-blower hotline or an ombudsman for employees to report to suspicious cases within the organization to. For this we are also available if needed.