Global and domestic pressure drives NZ bribery and corruption reforms

The issue of bribery and corruption may soon take a more significant place in the mind of corporate New Zealand as an increasing criminalisation of corporate misconduct and a clamp down on bribery and corruption continues in the face of global and domestic pressure.

Since 1990, New Zealand has created the Serious Fraud Office (SFO), passed foreign anti-bribery laws, criminalised insider trading, increased enforcement of their civil cartel regime, and strengthened enforcement agencies with additional resources and targeted strategies - particularly in light of finance company collapses over the last three to five years. The creation of the Financial Markets Authority (FMA) and the increased regulatory measures in the finance sector are more recent examples of the trend to criminalise business misconduct.

Currently, New Zealand is adapting to a new anti-money laundering and countering financing of terrorism regime (the recently passed Anti-Money Laundering and Countering Financing of Terrorism Act 2009). It is predicted this will be will be fully operational in early 2013. The Government has progressed a number of other financial regulatory reforms in the last 24 months, including major reforms in relation to financial advisers. Recent announcements suggest the criminalisation of cartels will be progressed in 2011.

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