What is Foreign Bribery Law in the UAE?

Foreign Bribery Law in the UAE

Bribery is the offence of offering, promising, or granting gifts, either expressly or impliedly for a person to either perform or omit an act that’s part of their duties or for them to constitute a violation of those duties.  

In the United Arabs Emirates, bribery is a criminal offence, especially when the intention is to bribe a public servant. If you somehow unknowingly get involved in such activities, especially in Dubai then you must start looking for a well experienced criminal attorney to defend you otherwise it can have harsh consequences. Lawyersuae is one firm that is well known for their specialized & experienced criminal lawyers so they can be considered in such situations.

The substance of the criminal act arises when the offer, grant, or promise is intended to influence a public servant or a holder of a public office in their official capacity to conduct an illegal act or allow something illegal to happen by failing to act.

The Anti-Bribery and Corruption Legal Framework in The UAE

The UAE does not have standalone anti-bribery and corruption legislation. The laws governing this area of jurisprudence are entrenched under Federal Law No. 3 of 1987 and all subsequent amendments. 

Federal Law No. 3 of 1987 was instituted to enact the UAE’s Federal Penal Code, stipulating the consequences of bribery and corruption crimes. The Federal Decree-Law No. 7 of 2016 introduced major reforms to the Federal Law No. 3 of 1987 by amending 130 articles and incorporating 23 additional provisions. Among the issues included in the amendment is foreign bribery.

Federal and Emirate-specific laws deal with foreign bribery with the United Arabs Emirates. 

The Federal Oversight Authority 

The Federal agent tasked with the mandate to investigate bribery-related allegations is the State Audit Institution (SAI). The body has the authority to monitor, detect, and enforce Federal anti-corruption laws actively.

SAI is also known to offer a safe, anonymous whistleblowing platform to Individuals who would wish to report bribery and corruption issues.

Emirate-Specific Oversight Authorities

At the Emirate level, the Dubai Financial Services Authority (DFSA) addresses financial crime and corporate misconduct within the Dubai International Financial Centre (DIFC). The DFSA has achieved this objective through enforcement initiatives and the publication of enforcement notices. 

Abu Dhabi has a similar legal vehicle, the Abu Dhabi Accounting Authority (ADAA), which is tasked with ensuring that public organisations use their funds ethically and abide by all transparency standards.

The primary investigators of bribery and corruption allegations in the UAE are the Economic Crimes Units of the Emirate police forces and all relevant Public Prosecutors Offices across the United Arabs Emirates. 

Foreign and Extra-Territorial Bribery Law

Through the 2016 amendment laws, bribery of foreign officials was introduced as a bribery offence. The provisions of Articles 234 and 237 of the Federal Law No. 3/1987 mentions foreign public servants as a subject of interest. 

-  Amended Article 234 of Federal Law No. 3/1987 

Provides that any holder of a public office, a foreign public servant or employee of an international organization, who expressly or impliedly requests or accepts a benefit, gift, or any grant not due, or a promise of one, whether to benefit themselves or another entity, to commit or omit any act in violation of their official duties shall be sentenced to temporary imprisonment. 

- Article 236 of Amended Federal Law No. 3/1987

Any person who administrates an establishment or entity pertaining to the public sector or employees of such entities shall face a maximum of five years imprisonment for bribery and corruption offences. 

- Article 237 of Federal Law No. 3 of 1987

Anyone who promises offers, or gives such gifts to a public servant with an intention to influence the latter to commit a crime is liable to serve a maximum of five years imprisonment. 

- Article 239 of the Amended Federal Law No. 3/1987

This amended provision introduced the extraterritoriality of bribery offences. According to the stipulations of Article 239, bribery offences apply to all individuals who commit prohibited acts or omissions outside the UAE on the following conditions:

  - The victim is a citizen of the United Arabs Emirates
  - The perpetrator is a citizen of the UAE
  - The crime is committed by a public or private employee of the UAE
  - The crime involves a public property

The Broader Meaning of “Public Servant” 

One of the major developments initiated by Federal Decree-Law No. 7 of 2016 was the expansion of the meaning of the term “public servant” under Article 5 of Federal Law No. 3 of 1987. 

As per the new legislation, public servants include board members, chairpersons, directors, and employees of public institutions, authorities, and companies wholly or partially owned by the Federal or Emirate-level governments. 

Anyone engaged in public service duties delegated to them by a public servant under powers vested by relevant laws is also deemed to be a “public servant” in relation to that specific task. This means that private organisations acting under the instructions of UAE federal or Emirate governmental entities can potentially fall within the meaning of “public servant.