Business Corruption in Chile

Companies face very low risks of corruption in Chile, the least corrupt country in Latin America. Chile has strong and transparent institutions that promote business and that have effective mechanisms to investigate and punish corrupt practices. Risks stem mostly from a strong connection between politicians and the economy, which can affect public procurement. A series of corruption cases in 2015 raised concern about corruption, but Chile is actively investigating the issues. The Criminal Code and the Criminal Corporate Liability Law prohibit active and passive bribery of domestic and foreign public officials. Companies operating in Chile are advised to establish an effective compliance system. Facilitation payments and gifts are not explicitly mentioned in Chilean laws, but businesses are unlikely to encounter these in practice. The maximum penalty for bribery is imprisonment of up to five years and fines for individuals, and fines and a ban from government contracts and benefits for corporate entities.

January 2016
GAN Integrity Solutions