High-profile persecutions needed to tackle corruption – Accountants

Accountants in the Sub-Saharan Africa have identified high-profile prosecutions and whistle blowing laws as necessary measures to tackle bribery and corruption in the business environment.

This is one of the highlights of a survey of accountants in the sub-region conducted by the Association of Chartered Certified Accountants (ACCA).

The survey showed that 77 per cent of accountants in the region believe that bribery is a major concern for businesses in the small and medium enterprises (SME) sector, while 64 per cent said it has a negative impact on the business environment as a whole.

Also more than half of the accountants surveyed said that the law should not treat bribery and corruption more leniently in the SME sector than in the large company or public sectors.

The report titled “ the SME Sector” was conducted by ACCA amongst 1000 of its global members. The findings reveal a concern that many SMEs are not taking the right steps to mitigate the risks of exposure to bribery and corruption. It also suggests that many businesses have been willing to mis-state financial statements to cover up for bribery and corruption and that recourse to such practices has been exacerbated by the global financial crisis.

Commenting on the findings of the survey, Head of ACCA  Nigeria, “While Sub Saharan Africa is a huge place, it is clear that there is a consensus amongst respondents that bribery and corruption damages a business’s reputation and makes it harder to attract investment. The big question for accountants here in Nigeria is how do we tackle bribery and corruption?  The research respondents said the most effective methods would be whistle-blowing laws and more high profile prosecutions.”

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