Ethics, that diatribe trotted out again.

Is an ethical politician an oxymoron?

Viewing this week’s headlines, one can only sigh, not again! Are we, the public, too naively trusting? Do we need to adapt a cynically eroded perspective for all things political? What do you think?

These situations are nothing new. It is the same old, same old. We have had years and years of sensational headlines, rumours, innuendo, a few evidential facts, and what appears to only be politically-appropriate ‘mea culpa’ remorse when found out.

Aren’t we tired to death of the alleged double dealing, lies, misinformation, naive blunders aided by financially-motivated outside parties, conflicts of undisclosed biases, then exposed financial interests, innuendoes of enhancement of personal fortunes and corruption, along with the sense of entitlement hanging over the entire political environment?

We don’t know, at this juncture, if any of the recent events are true, real, actually happened, were undertaken for the right reasons, or just plain wrong.

Most of us will probably take a wait-and-see attitude for the internal investigation findings to be released. However, in the meantime, it has certainly turned into another spectacularly sordid media frenzy, with the headlines impacting our country’s reputation as an international centre of the highest calibre.

Why is it so hard to do the right thing? Why are we, the average taxpayer, always faced with the inevitable ‘real’ facts of persons not acting for the greater good, but to protect their own good.

Where the much-lauded personal mission of ‘serving the community’ has been turned into ‘serving myself.’

I do still strongly believe there are elected public officials who strive conscientiously every day to do right thing for their community and country — treading true blue, avoiding biases, perceived conflicts of interest, and even the appearance of impropriety.

Imagine the dismay of these people of integrity? Why would they want to serve at all when their reputation may be lumped in with those skating too close to the edge of the unethical, but not illegal ice dam? What is in place to guide and deter alleged political games purported to be practised by politicians, political and commercial interest groups across our spectrum?

In Bermuda, we have laws relative to Good Governance Act 2011 (2012 tabled), and the Ministerial Code of Conduct 2012.

The United States has similar regulations, such as the United States House of Representatives Code of Official Conduct. The US also lead the way in 1977 with the Foreign Corrupt Business Act (see below) in prohibiting illegal conduct when US businesses proposed to invest internationally.

An overview

The Foreign Corrupt Practices Act of 1977, as amended, 15 U.S.C. §§ 78dd-1, et seq. (FCPA), was enacted for the purpose of making it unlawful for certain classes of persons and entities to make payments to foreign government officials to assist in obtaining or retaining business.

Specifically, the anti-bribery provisions of the FCPA prohibit the wilful use of the mails or any means of instrumentality of interstate commerce corruptly in furtherance of any offer, payment, promise to pay, or authorisation of the payment of money or anything of value to any person, while knowing that all or a portion of such money or thing of value will be offered, given or promised, directly or indirectly, to a foreign official to influence the foreign official in his or her official capacity, induce the foreign official to do or omit to do an act in violation of his or her lawful duty, or to secure any improper advantage in order to assist in obtaining or retaining business for or with, or directing business to, any person.

Since 1977, the anti-bribery provisions of the FCPA have applied to all US persons and certain foreign issuers of securities. With the enactment of certain amendments in 1998, the anti-bribery provisions of the FCPA now also apply to foreign firms and persons who cause, directly or through agents, an act in furtherance of such a corrupt payment to take place within the territory of the United States.

The United States legal system has been extremely vigilant in prosecuting cases deemed to be breaking the law relative to anti-bribery provisions in conducting international business. A recent case saw the prosecution of the Las Vegas Sands Corporation, an international gambling organisation, with violations of federal laws against bribing foreign officials.

Bermuda needs to take the business of good corporate governance and ministerial conduct to the next level of regulation, so that it is absolutely clear what constitutes infringements of conduct and the significant level of responsible punishment applicable to those said acts.

Inevitably, malfeasances will continue to occur. Maybe this is the way it is, and it will never change, no matter the legislation, or the prosecution.

Meanwhile, we, the people, are all paying for this.

We need verifiable, reliable truth-sourced investigative journalism more than ever.

Sources:

Bermuda Good Governance Act 2012 tabled http://www.parliament.bm/uploadedFiles/Content/House_Business/Bills/Good%20Governance%20Act%202012.pdf

Bermuda Ministerial Code of conduct 2012

http://www.gov.bm/portal/.pt/gateway/PTARGS_6_2_18757_935_233626_43/http%3B/ptpublisher.gov.bm%3B7087/publishedcontent/publish/ministry_of_finance/new_ministry_of_finance/sage_report_and_appendixes/generalappendix/ministerial_code_of_conduct_2012_redraft_v8.pdf

United States Foreign Corrupt Practices Act. http://www.justice.gov/criminal/fraud/fcpa/

New York Times. March 02, 2013. In Filing, Casino Operator Admits Likely Violation of an Antibribery Law, By MICHAEL SCHWIRTZ. The Las Vegas Sands Corporation, an international gambling empire controlled by the billionaire Sheldon G. Adelson, has informed the Securities and Exchange Commission that it likely violated a federal law against bribing foreign officials ...

Dealing With the Foreign Corrupt Practices Act

By PETER J. HENNING MARCH 4, 2013 2:33 PM Legal/Regulatory/ White Collar Watch, New York Times. The pressure is only increasing on companies that get caught up in bribery cases, making it unlikely that efforts to soften United States laws will occur anytime soon ...

Martha Harris Myron CPA PFS CFP JSM

Masters of Law: International Tax and Financial Services, Summa Cum Laude

Appointed to the Professional Tax Advisory Council, American Citizens Abroad, Geneva, Switzerland

The Pondstraddler* Life™ Consultancy provides planning for international tax, immigration, investment, retirement, legacy, and related financial challenges to the lifestyles of internationally mobile individuals and their businesses residing, working, crossing borders, and straddling ponds in the North Atlantic Quadrangle. Specific focus for residents of Bermuda, the premier international finance centre.

Contact: martha@pondstraddler.com

* Pondstraddler. A person with one foot on each shore whose heart resides in both countries*