Colombia: New guidelines for the adoption of corporate transparency and ethics programs

Dentons
Contact

Dentons

In a sign of the fight against transnational bribery and corruption, on October 2, the Superintendence of Companies issued Resolution 100-006261 which repealed Resolutions No. 100-002657 of July 25, 2016 and 200- 000558 of July 19, 2018 and modified the threshold required to determine which companies should adopt corporate transparency and ethic programs.

The new requirements now encompass more companies by leaving as criteria the fact of having carried out transactions with natural or legal persons during the previous year greater than 100 Minimum Current Legal Monthly Wages (MCLMW) and have incomes or total assets equal to or greater than 40,000 MCLMW.

This Resolution will come into effect on January 1, 2021, and companies that meet the criteria established therein as of December 31, 2020, will have until April 30, 2021 to implement a corporate transparency and ethics program under the guidelines of the Circular 100-000003 of June 26, 2016, which proposes that said program should provide guidelines on:

  • The identification and assessment of risks related to transnational bribery
  • General procedures to carry out Due Diligence and compliance audit processes
  • Gifts to third parties
  • Remuneration and payment of commissions to employees and contractors regarding international business or transactions
  • The expenses of the company related to entertainment, food, lodging and travel activities.
  • Political contributions
  • Donations
  • The procedures for filing and preserving documents related to international business or transactions in which the company is involved.
  • The policy of the company in terms of due diligence aimed to identify liabilities and contingencies related to possible acts of transnational bribery, especially in the context of M&As, purchase of assets, securities, participations or any other corporate restructuring procedure, in which the company acts as acquirer.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Dentons | Attorney Advertising

Written by:

Dentons
Contact
more
less

Dentons on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.