Crimes committed abroad may prevent companies from participating in bidding

07/08/2009 13h30

The objective of the measure is to restrain the deduction for tuition paid to foreign authorities

It is being processed in the Chamber the Bill 5264/09, of deputy Fernando Gabeira (PV-RJ), which prevents the Brazilian companies which had committed crimes abroad from participating in public bidding or being contracted by bodies of the three administrative spheres (Federal, State and Municipal).

The bill establishes as crime every business act considered unlawful by the Brazilian legislation, by the laws of the country in which the enterprise is placed, or by international treaties signed by Brazil. This includes, for instance, illegal practices in commerce, industry, service rendering, transfer and exploitation of technology.

The text also establishes that the companies shall not deduct from the due tax the values paid, either direct or indirectly, to foreign individuals or legal entities, neither to servers or representatives from other governments. The objective of this measure, according to Gabeira, is to restrain the deduction for tuition paid to foreign authorities.

Negative register
According to the proposal, the Executive Branch shall be responsible to create and maintain a register with the companies, which had committed crimes in other countries or deducted for tuition paid to foreign agents. The text defines that the registration shall be made only after conviction ultimately by Brazilian or foreign court, or by multilateral agency, in the case of aggression to international treaties.

According to Gabeira, the Brazilian legislation had improved over the last years in combating corruption. Nevertheless, there is still a gap regarding the crimes committed by Brazilian companies abroad, which PL 5264/09 tries to fill. The deputy proposed an extensive debate on the subject and said to be willing to improve the text.

Processing
The bill is being processed in conclusive character in the Committees on Economic Development, Commerce and Industry; Labor, Administration and Civil Service; Finances and Taxation; and Constitution and Justice and Citizenship.

Reporting – Janary Júnior
Edition – Regina Céli Assumpção
Translation - Grupo Solucion-SP Language/Edgar Casadei