5 listed state enterprises urged to implement anti-corruption compliance standards
5 listed state enterprises urged to implement anti-corruption Thailand's Private Sector Collective Action Coalition Against Corruption, or CAC, called for five listed state enterprises to quickly put in place high compliance standards for tackling corruption and make prudent examples for other state agencies.
The listed state enterprises should be among the very first public entities to respond to the National Council for Peace and Order's stance to uproot corruption, by putting their anti-graft commitments into actions to get CAC certification that their compliance standards to prevent corruption have been established, said Bandid Nijathaworn, the organisation's secretary.
While board replacement at several public enterprises are underway, the time is right for boards at the five listed state firms to get serious with the graft-fighting and demonstrate their commitments to follow the NCPO's policy in gearing their organizations toward greater transparency, he said.
"Listed state enterprises have already been through a certain extent of corporatisation. This should give them a distinctive advantage over other state agencies in adopting the CAC's anti-corruption mechanism," Dr. Bandid said and added that "Although all the five listed state enterprises have already signed declaration of intents to join the CAC, there have been no evidence of any material progress so far."
Signatory companies agreed to work internally to assess risks related to corruption, implement anti-corruption policies and compliance programs as well as sharing experiences to foster ethical, clean, and transparent business transactions in Thailand. They will also reach out to industry peers, suppliers and other stakeholders via the Coalition and participate in joint activities to fight corruption.
After singing the declaration of intent, private companies are subject to go through certification process to ensure that policy and high compliance standard are in place, which involves self-evaluation, verification by either audit committee or external auditor, and quarterly approval by the CAC council, chaired by former finance minister Panas Simasathien.
To date, 48 companies have been certified by the CAC such as Bank of Ayudhya, Kasikornbank, Tisco Financial Group, Siam Cement, Bangchak Petroleum, Somboon Advance Technology, PriceWaterhouseCoopers Thailand, Siemens Thailand, and American International Assurance.
In order to help private firms establish effective anti-corruption mechanisms and prepare for certification by the CAC, the Thai Institute of Directors Association (IOD) runs 10 anti-corruption training courses annually for executives and compliance officers.
The CAC was initiated in 2010 with an aim to promote clean business and to fight corruption through the implementation of policies and effective mechanisms to prevent corruption at the company and industry levels. The CAC's roles focus on private companies, including listed state enterprises, to put graft-fighting into actions, and works closely and in parallel with the Anti-Corruption Organization of Thailand (ACT), whose actions cover the public, private sector, and civil society, with aims to build awareness and shape up corruption-free society.
The CAC is supported by leading private sector partner organizations namely the IOD, the Thai Chamber of Commerce (TCC), Joint Foreign Chambers of Commerce (JFCCT), the Listed Companies Association, Thai Bankers' Association, Federation of the Thai Capital Market Organisations, Federation of Thai Industries, and Tourism Council of Thailand.