The Rising Cost of Corruption: Why ABAC Compliance Is Non-Negotiable in 2026
Anti-bribery and corruption enforcement has reached a new intensity in 2026. Global enforcement agencies — led by the US Department of Justice, the UK Serious Fraud Office, and their counterparts across Europe and Asia — are imposing record penalties, pursuing individual executives, and extending their reach into supply chains and third-party relationships that were previously considered outside the enforcement perimeter.
For organisations operating internationally, the risk is not abstract. FCPA enforcement alone has resulted in billions of dollars in penalties over the past decade, and the trend is consistently upward. UK Bribery Act prosecutions are increasing. And emerging economies — which represent the fastest-growing markets for many multinationals — frequently rank among the highest-risk jurisdictions for corruption exposure.
At Baretzky & Partners LLP, we advise organisations on the legal and ethical aspects of compliance and privacy in risk management — building ABAC programmes that function under real-world operational pressure, not just on paper. Our approach covers the full spectrum of anti-bribery and corruption risk: from initial programme design and risk assessment through to investigations, remediation, and compliance training.
Understanding the Legal Framework: FCPA, UK Bribery Act, and Beyond
Effective ABAC compliance requires a clear understanding of the legal frameworks that apply to your organisation — and in most cases, multiple frameworks apply simultaneously.
The Foreign Corrupt Practices Act (FCPA)
The FCPA applies to US persons and companies, foreign companies listed on US exchanges, and any entity that takes action in furtherance of a corrupt payment within US territory — a jurisdictional reach that extends to a vast number of non-US organisations. It prohibits payments to foreign government officials for the purpose of obtaining or retaining business, and imposes detailed books-and-records and internal controls requirements on issuers.
FCPA enforcement is characterised by its extraterritorial reach, the use of deferred prosecution agreements, and the DOJ’s willingness to pursue individuals alongside corporate entities. Voluntary disclosure remains a significant factor in determining enforcement outcomes, making the quality of an organisation’s internal investigation capability critical.
The UK Bribery Act 2010
The UK Bribery Act is widely regarded as the world’s most comprehensive anti-corruption legislation. Unlike the FCPA, it covers private sector bribery as well as public official corruption, applies to facilitation payments without exception, and creates a corporate offence of failing to prevent bribery that does not require proof of management knowledge or involvement.
The sole defence to the corporate failure-to-prevent offence is having “adequate procedures” in place — which in practice means a proportionate, risk-based ABAC programme that has been genuinely implemented and is actively monitored. What constitutes adequate procedures is determined by reference to six principles: proportionate procedures, top-level commitment, risk assessment, due diligence, communication and training, and monitoring and review.
The OECD Anti-Bribery Convention and National Implementing Legislation
Beyond the FCPA and UK Bribery Act, organisations operating in OECD member states are subject to the implementing legislation of each jurisdiction — which varies significantly in scope, enforcement approach, and penalty regime. The OECD Working Group on Bribery conducts regular monitoring of member states’ implementation, and the trend across jurisdictions is toward more aggressive enforcement, broader jurisdictional reach, and increased cooperation between national enforcement agencies.
The Four Pillars of an Effective ABAC Programme
1. ABAC Programme Design and Architecture
An ABAC programme that satisfies regulatory expectations must be risk-based, proportionate, and genuinely implemented. It begins with a comprehensive risk assessment — identifying the geographic, sectoral, transactional, and relationship-based corruption risks that are specific to the organisation.
From this foundation, the programme architecture is built: ABAC policy and procedure development, compliance programme architecture, gifts and hospitality frameworks, facilitation payments policy, and whistleblower channel design. Third-party risk management — covering agents, distributors, joint venture partners, and suppliers in high-risk jurisdictions — is typically the most complex and resource-intensive component.
2. Corruption Risk Assessment
Geographic risk assessment must go beyond published corruption indices to assess the specific risk profile of the organisation’s operations in each jurisdiction. Government interaction risk analysis is particularly important — organisations that engage with government officials in procurement, licensing, or regulatory contexts face heightened exposure that demands specific controls.
M&A anti-corruption due diligence is a distinct discipline. Acquiring a company in a high-risk jurisdiction without adequate ABAC due diligence exposes the acquirer to successor liability under the FCPA and UK Bribery Act — making pre-acquisition assessment a critical risk management step.
3. Corruption Investigations and Remediation
When corruption allegations arise — whether through whistleblower reports, regulatory inquiries, or internal audit findings — the internal review must be conducted with independence, rigour, and full awareness of the regulatory implications. Our specialists combine compliance expertise with cyber intelligence methodology to deliver findings that stand up to external scrutiny.
Document review and analysis, witness interview methodology, and regulatory disclosure advisory are all components of an effective investigation response. Remediation programme design and monitorship support complete the post-investigation phase — addressing root causes and rebuilding regulatory credibility.
4. Compliance Training and Culture
The most technically sophisticated ABAC programme will fail if the organisation does not have a genuine culture of integrity. Board-level ABAC training sets the tone from the top — communicating that anti-corruption compliance is a genuine organisational priority, not a compliance function exercise. Employee compliance training and third-party training programmes extend this commitment throughout the organisation and its supply chain.
Effective training is not a one-time event. It must be regular, tailored to role and risk level, and reinforced through the organisation’s incentive structures and day-to-day decision-making.
High-Risk Jurisdictions: Where ABAC Risk Is Greatest
For multinational organisations, corruption risk is not uniformly distributed. Certain geographies, sectors, and transaction types consistently present elevated exposure. Transparency International’s Corruption Perceptions Index identifies consistently high-risk regions including parts of sub-Saharan Africa, Southeast Asia, Central Asia, and Latin America — but country-level indices mask significant variation at the city, sector, and transaction level.
Industries with intensive government interaction — infrastructure, energy, defence, healthcare, and financial services — face heightened exposure regardless of jurisdiction. Organisations entering new markets, pursuing government contracts, or operating through local agents or partners in high-risk jurisdictions should treat ABAC risk assessment as a prerequisite, not an afterthought.
Voluntary Disclosure: Weighing the Benefits and Risks
One of the most consequential decisions an organisation can face following the discovery of potential FCPA or UK Bribery Act violations is whether to make voluntary disclosure to enforcement authorities. The calculus is complex and fact-specific: voluntary disclosure can significantly reduce penalties and enable resolution through deferred prosecution agreements rather than criminal prosecution, but it also initiates a regulatory process with uncertain scope and duration.
The quality of the internal investigation completed before any disclosure decision is critical. A thorough, privileged investigation conducted under legal supervision allows the organisation to understand the full scope of the issue, assess the strength of the evidence, and make an informed decision about disclosure strategy.
Baretzky & Partners ABAC Advisory
Our ABAC practice covers the full lifecycle of anti-bribery and corruption compliance — from initial programme design through to investigation management and regulatory engagement. We work with organisations entering high-risk markets, multinationals responding to regulatory inquiries, and companies seeking to strengthen existing programmes ahead of regulatory review.
All ABAC advisory is conducted in strict confidence. Our specialists are available for immediate consultation on corruption allegations, regulatory inquiries, or programme development needs.
Contact Baretzky & Partners LLP to discuss your ABAC programme needs or request a corruption risk assessment. A specialist will respond within one business day.
Baretzky & Partners LLP provides strategic risk mitigation, legal affairs and crisis mitigation, and international information policy and compliance specialist counsel. We do not provide litigation services. All investigative services are provided by our European offices only.