When a company subject to the provisions of Article 17 of the Sapin II Law fails to implement an effective anticorruption compliance program, the AFA has the power to impose the following administrative sanctions and penalties on not only the company but also (either additionally or alternatively) on members of its management:

  • A formal warning by the Director of the AFA;
  • An order to improve the company’s compliance program in accordance with the AFA’s Sanctions Committee’s recommendations, within a period fixed by the Sanctions Committee (up to 3 years);
  • A fine not to exceed EUR 1 million for the company;
  • A fine not to exceed EUR 200,000 (for individuals) or EUR 1 million (for legal entities) for relevant members of the company’s management; and/or
  • An order to publish the decision or ruling to be rendered, at the defendant’s expense.

The company and/or members of its management are given a copy of the inspection report and the opportunity to present their written observations and oral arguments. Moreover, sanction decisions by the AFA may be challenged before administrative courts.

You are currently offline.