UN Convention Against Corruption

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UN Convention AgainstCorruption

• The Role of Business

Tim Martin Vice President Nexen Inc.
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UN Convention Against CorruptionBusiness
Implications

• Potential for truly global anti-corruption
  movement
• Too early to assess long term impact
• Convention lacks effective monitoring process
• Domestic laws important to business vs Convention
• Concern of little consistency amongst countries
  laws
• For both defined offences enforcement
• Conflicts make business more complex uncertain
• Requires political commitment financial
  resources

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Example of Domestic Law ConflictsOECD Convention
Against Corruption

• Countries allowing Facilitating Payments
• United States/Canada
• Countries not allowing Facilitating Payments
• England/France/Italy
• Host Country Laws
• Do not provide for Facilitating Payments
• Rarely address expenses for officials
• Conflict of Corruption Laws
• Dilemma for companies in many jurisdictions
• Are facilitating payments allowable or not?
• Some companies have eliminated them, others not

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UN Convention Against CorruptionBusiness Response

• Be proactive rather than reactive
• Strength in numbers vs acting alone
• Engage in sectoral initiatives
• Consider forming alliances with IGOs and NGOs
• Develop best business practices
• Do not expect single solution or rule
• Accommodate different cultures laws
• Base strategy on your corporations values

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Initiatives on Combating Corruption

• UN Global Compact
• International Chamber of Commerce
• World Business Council
• Conference Board
• TI Integrity Pact
• TRACE for Agents
• Extractive Industry Transparency Initiative
• International Assoc. of OG Producers (OGP)
• Assoc. of Int. Petroleum Negotiators (AIPN)

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Combating CorruptionBusiness Challenges Rewards

• Fitting into crowded corporate agenda
• Conflicting demands from many groups
• Figuring out what is right doing it
• Tough challenge but doable
• Value to shareholders other stakeholders
• Business can make a difference

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Business Making A Difference Yemen Scholarship
Initiative

• Scholarship Program
• 60 Yemeni students awarded scholarships
• Studying in Canada at post-secondary institutions
• Rigorous transparent selection process
• Selection of recipients merit-based
• 100 success rate at university programs
• 10 Students graduated (6 returned to Yemen 4 in
  post graduate)

Business Purpose

• Nexen initiated program voluntarily
• It received no tax or financial benefits in Yemen
• Nexen insisted on transparent process
• Helping build infrastructure good for business
• People are most important investment in a country
• It builds institutions and transparency

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Business Making A Difference Yemen Scholarship
Initiative
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ThankYou
Tim Martin Vice President Nexen Inc.