Financial Crime World

Here is the rewritten article in markdown format:

TIMOR: New Law Strengthens Anti-Bribery and Anti-Corruption Regulations

Introduction

In an effort to curb corruption in the country, Timor’s government has introduced a new law aimed at preventing and countering corruption. The Law No. 7/2020, which came into effect on February 22, 2021, introduces significant changes to the nation’s anti-bribery and anti-corruption regulations.

Key Provisions

  • Criminal Liability: Officials who commit corruption crimes can face imprisonment of up to five years or be prohibited from holding public office for a term of five to ten years.
  • Liability for Legal Persons: Private sector companies, including legal persons, are liable for corruption crimes and may be subject to fines and penalties such as prohibition to engage in certain activities, prohibition to conclude contracts with public authorities, and deprivation of subsidies.
  • Interim Measures: The court can enforce interim measures, such as freezing or arresting property and assets that may be subject to confiscation in favor of the State if they were acquired through corrupt means.

Declaration Requirements

  • Individuals Holding Public and Municipal Posts: Officials must file declarations of income, assets, and interests within 30 days since assuming office, annually, within 30 days since suspension from duty, and annually for three years after dismissal.
  • Declaration Details: Declarants must provide detailed information about their family members, income, immovable property, movable property, expensive property worth over $1,500, securities, commercial companies, financial products, debts, gifts, trips abroad, and other considerable expenses.

Anti-Corruption Commission (CAC)

  • Responsibilities: The CAC is responsible for collecting, verifying, and archiving declarations, while the Supreme Court handles the declarations of high-ranking officials.
  • Verification Process: The commission conducts detailed verification of declarations every two years and has access to public databases, information from banks and other financial entities, and can cooperate with foreign authorities.

Consequences of Non-Compliance

  • Failure to Submit a Declaration or Providing False Information: Can result in criminal, administrative, or disciplinary liability.
  • Incomplete Declaration: Incurs a fine.

Prevention Provisions

  • Codes of Conduct: Public bodies are obliged to develop and adopt codes of conduct for officials.
  • Restrictions on Future Employment: Officials who have been dismissed from engaging in activities related to their former functions.

National Strategy to Prevent and Combat Corruption

  • Development: The Anti-Corruption Commission has been entrusted with developing the National Strategy to Prevent and Combat Corruption.
  • Awareness Raising: The commission will raise awareness about anti-corruption principles and train investigative journalists.

Conclusion

The new law is a significant step forward in Timor’s efforts to combat corruption and promote transparency and accountability in government.