The OECD Working Group on Bribery, which encompasses 46 countries, has expressed significant concerns regarding Portugal’s failure to address longstanding recommendations related to foreign bribery in its legal framework. The group specifically highlighted issues concerning the liability of legal entities and the corresponding sanctions as part of Portugal’s adherence to the Anti-Bribery Convention.
Despite recommendations dating back over a decade, including observations made in 2013 and reinforced in 2022, Portugal has not amended Article 7 of Law 20/2008, which currently does not impose fines alongside prison sentences for individuals found guilty of foreign bribery. This lack of amendment raises questions about the effectiveness of penalties that can be applied against natural persons engaged in such activities.
Additionally, the group noted that Portugal has not eliminated the defense of acting against explicit orders—a defense that has been criticized since 2007 for potentially allowing companies to evade culpability for foreign bribery under Portuguese law.
These unresolved issues, along with a weakened enforcement mechanism against legal entities involved in foreign bribery, create serious doubts about Portugal’s capability to adequately enforce anti-bribery measures against both individuals and companies. The Working Group has urged Portugal to take immediate action to rectify these legal shortcomings and improve enforcement practices. Portugal is expected to provide an update on its progress concerning these matters in December 2024.
This situation presents a critical opportunity for Portugal to strengthen its anti-corruption regulations and align more closely with international standards. By addressing these concerns, Portugal can enhance its reputation as a trustworthy destination for international business and investment, thus reinforcing its commitment to combating corruption in a global context.