Sunday 25th Sep 2016 - Logistics Manager

Logistics company to pay £2.2 million for bribery

Glasgow-based logistics company Braid Group is to pay a civil settlement of £2.2million after admitting it had ‘obtained business through unlawful conduct’. Braid voluntarily made a self-report to the Crown office – the Civil Recovery Unit at the office will recover the funds.

In 2012, the company became aware of potentially dishonest activities relating to two Braid freight-forwarding contracts. It subsequently started an investigation that revealed breaches of the Bribery Act 2010.

The first contract was linked to an agreement between a Braid UK employee and the employee of a customer, where an account was used for unauthorised expenses to be ‘incurred by the customer’s employee’. This was funded by the ‘dishonest inflation of invoices provided to the customer,’ and used for personal travel, holidays, gifts, hotels, car hire and cash.

The other case found during the investigation was a profit sharing arrangement with a director of the customer company – the profit taken on services provided to the customer was split in return for orders continuing to be placed with the Scottish logistics company.

“It is vital to the health of the Scottish economy that any form of bribery or corruption is identified and stopped as soon as possible,” said Linda Hamilton, head of the civil recovery unit. “Only in this way, can businesses who play by the rules flourish, without competing with those who obtain commercial advantage through unlawful means.”

“Braid is to be commended for self-reporting the unlawful conduct to Crown Office.

“The money recovered under the self-reporting initiative will be used in community projects across Scotland.”

These cases both took place in the UK, but Braid has now taken steps to put forward new policies and training across all of its subsidiaries.