Anti-Corruption Guidelines for Employees

Anti-Corruption Guidelines for Employees

(This guideline is designed to explain the concept and prevention of corruption for employees.)

Corruption represents a systemic threat to the security of Kazakhstan, endangering the stability of the state and society.

According to Article 6 of the Law of the Republic of Kazakhstan "On Combating Corruption," all state bodies and officials are required to combat corruption within their areas of competence.

Definition of Corruption

Corruption is the unauthorized acceptance, either personally or through intermediaries, of material benefits and advantages by individuals performing state functions, as well as by individuals equated to them, using their official powers and related opportunities, or otherwise using their authority for personal gain. It also includes the bribery of such persons through the unlawful provision of the aforementioned benefits and advantages by individuals or legal entities.

A corruption offense is an act defined by the Law of the Republic of Kazakhstan "On Combating Corruption," as well as other laws related to corruption or creating conditions for corruption, which entails disciplinary, administrative, or criminal liability as established by legislation.

Briber

The Criminal Code of the Republic of Kazakhstan defines two types of offenses related to bribery:

• Acceptance of a bribe (Article 366);
• Giving a bribe (Article 367).

Acceptance of a bribe is one of the most dangerous official crimes, especially when committed by a group of individuals or accompanied by extortion. This involves an official receiving benefits or advantages in exchange for lawful or unlawful actions (or inaction).

Giving a bribe is a crime aimed at inducing an official to perform lawful or unlawful actions (or inaction), or to provide certain advantages to the giver, including general patronage or negligence in the performance of duties.

What Constitutes a Bribe?

Items: Money, including foreign currency, bank checks, securities, items made of precious metals and stones, cars, food products, video equipment, household appliances, and other goods, apartments, cottages, country houses, garages, land plots, and other real estate.

Services and Benefits: Medical treatment, repair and construction work, spa and tourist vouchers, trips abroad, payment for entertainment and other expenses either free of charge or at a reduced cost.

Disguised Forms Of Bribery: A bank loan given as a debt or under the guise of repaying a non-existent debt, payment for goods purchased at a reduced price, purchasing goods at an inflated price, entering into fictitious employment contracts with salary payments to the bribe-taker, their relatives, friends, obtaining preferential loans, inflating lecture fees, royalties for articles and books, "accidental" winnings at a casino, reduced rent, increased interest rates on loans, and so on.

Who Can Be Held Criminally Liable for Accepting a Bribe?

A bribe-taker may be considered an official – someone authorized to perform state functions, or a person equated to such an official.

Persons holding responsible state positions are those occupying positions established by the Constitution of the Republic of Kazakhstan, constitutional laws, and other laws of the Republic of Kazakhstan for the direct execution of state functions and the powers of state bodies.

Definition of Bribery

The illegal transfer of money, securities, or other property, as well as the illegal provision of property-related services to a person performing managerial functions in a commercial or other organization, in exchange for the use of their official position in favor of the person offering the bribe – is referred to in the Criminal Code of the Republic of Kazakhstan as commercial bribery (Article 253).

Punishment for Bribery and Commercial Bribery

The acceptance of a bribe is considered by the Criminal Code of the Republic of Kazakhstan as a more socially dangerous act than giving a bribe.

Acceptance of a Bribe:

The acceptance by a person authorized to perform state functions, or a person equated to them, personally or through an intermediary, of a bribe in the form of money, securities, other property, property rights, or property-related benefits for themselves or others, in exchange for actions (or inaction) in favor of the bribe-giver or persons represented by them, if such actions (or inaction) fall within the official authority of the person authorized to perform state functions or a person equated to them, or if they, by virtue of their official position, can facilitate such actions (or inaction), as well as for general patronage or negligence in service – is punishable by: 1) A fine ranging from seven hundred to two thousand monthly calculation indices, or in the amount of the convicted person's salary or other income for a period of seven months to one year; 2) Restriction of freedom for up to five years; 3) Deprivation of liberty for the same term, with deprivation of the right to hold certain positions or engage in certain activities for up to five years, with or without confiscation of property.

If the crime is committed by a person holding a state position, or if the bribe is accepted for illegal actions (or inaction) – it is punishable by deprivation of liberty for a term of three to seven years, with deprivation of the right to hold certain positions or engage in certain activities for up to seven years, with confiscation of property.

If the crime is committed by a group of persons in collusion, involving extortion or in a large amount, or repeatedly – it is punishable by deprivation of liberty for a term of seven to twelve years with confiscation of property.

Giving a Bribe:

If a bribe is given to an official personally or through an intermediary – it is punishable by: 1) A fine ranging from twenty to fifty times the amount of the bribe; 2) Deprivation of liberty for up to five years, with confiscation of property and lifelong deprivation of the right to hold certain positions or engage in certain activities.

Giving a bribe to a person holding a responsible state position – is punishable by deprivation of liberty for a term of five to ten years, with deprivation of the right to hold certain positions or engage in certain activities for up to seven years, with confiscation of property.

Mediation in Bribery and Bribery Facilitation

Bribes are often given and taken through intermediaries – subordinate employees, individual entrepreneurs, or workers of intermediary firms, who are considered by the Criminal Code of the Republic of Kazakhstan as accomplices to the crime.

Commercial bribery can also be carried out through intermediaries – subordinate employees, business partners, or specially hired individuals, who are also considered by the Criminal Code of the Republic of Kazakhstan as accomplices to the crime.

A bribe can be offered either directly ("if the matter is resolved in our favor, you will receive...") or indirectly.

A citizen who has given a bribe or committed commercial bribery may be exempt from liability if:

• Extortion is proven;
• The citizen voluntarily reports the offense to law enforcement authorities.

A knowingly false report of extortion of a bribe or commercial bribery is considered by the Criminal Code of the Republic of Kazakhstan as a crime and is punishable by deprivation of liberty for up to six years (Article 351).

How to Act in the Event of a Bribe Offer or Extortion

• Act extremely cautiously, politely, without servility, avoiding rash statements that could be interpreted by the bribe-giver (or extortionist) as either willingness or outright refusal to accept (or give) a bribe;
• Listen carefully and accurately remember the conditions offered to you (amounts, names of goods, nature of services, deadlines, methods of bribe transfer, form of commercial bribery, sequence of issue resolution);
• Try to postpone the discussion about the time and place of the bribe transfer until the next conversation and suggest a location familiar to you for the next meeting;
• Do not take the initiative in the conversation; focus more on "receiving," allowing the potential bribe-taker (or bribe-giver) to "speak out" and provide you with as much information as possible;
• If you have a voice recorder, try to secretly record the offer or extortion of the bribe.

What Should You Do Immediately After Being Offered or Extorted for a Bribe?

Report the planned crime verbally or in writing to the compliance officer at your workplace or to their superior authorities.

In cases where a bribe is offered or extorted by representatives of local government authorities, law enforcement officers, or other state institutions, you may contact the internal security units of these organizations directly. These units are responsible for preventing crimes committed by their employees.

Arrange a meeting with the compliance officer to whom you reported the bribe offer or extortion.

Write a statement detailing the bribe offer or extortion, specifying:

• The official’s full name, position, and institution offering or extorting the bribe;
• The amount and nature of the bribe being offered or extorted;
• The specific actions (or inaction) for which the bribe is being offered or extorted;
• The time, place, and manner in which the bribe is to be transferred;
• Subsequently, act according to the instructions of the law enforcement agency;
• Submit the statement through the proper channels.

What You Need to Know!

Oral reports and written statements about crimes are accepted by compliance officers regardless of the location and time of the crime, 24/7.

You have the right to receive a copy of your statement with a registration mark, which includes details about the officer who received the report, their signature, registration number, name, address, phone number, and the date of receipt.

The report (or statement) you provide must be immediately registered and reported to a senior supervisor for further action in accordance with the legislation of the Republic of Kazakhstan.

You have the right to inquire about who has been assigned to handle your case, the measures being taken, and request a meeting with the head of the relevant department to obtain more detailed information regarding issues affecting your rights and legal interests.

Guarantees of Protection for Persons Assisting in the Fight Against Corruption

Information about a person assisting in the fight against corruption is considered a state secret and can only be disclosed upon request by authorized anti-corruption bodies or a court in accordance with the law. Unauthorized disclosure of this information entails liability as stipulated by law.

A person who reports a corruption offense or otherwise assists in combating corruption is rewarded in accordance with procedures established by the Government of the Republic of Kazakhstan.

A person who knowingly provides false information is held liable in accordance with the laws of the Republic of Kazakhstan.

Acknowledged by:__________________________________________