Within the framework of the “Armenia: Promoting Anti-Corruption Conduct and Reforms” project implemented by the the “Center for International Private Enterprise” (CIPE)  the “Armenian Lawyers’ Association” NGO (ALA) undertakes the commitment to introduce  the Anti-Corruption Compliance (AAC) Programs at the Armenian business community, which will contribute to the dissemination of corporate governance and ethical values in Armenia. To begin with, it is to be mentioned that the implementation of the AAC program will give to the business companies both local and global benefits, that are:

1. The AAC program may be a basis for excluding a legal entity from criminal liability. Particularly, the draft of the RA Criminal Code stipulates.“․․․the criminal liability of a legal person is excluded, if he has taken all necessary and sufficient measures to prevent the offences commited by the persons defined by Article 128, first part of this Code;however, there was no real opportunity to prevent the crime”. Therefore, such means can be considered the implementation of  the AAC program;

2. The implementation of the AAC program promotes to the maintainence of ethical behavior and corporate rules and to the development of the corporate culture while pursuing the goals of the company;

3. Since the introduction of AAC program has a long-term goal, so it will reduce business costs,

4. Since international business organizations evaluate the full implementation of the AAC program by their partners, it will enable to cooperate with international market representatives, to engage investments, to participate in public competitions (procurement process) announced by giant economic companiesor international companies operating in RA,

5. The implementation of the AAC program will assist you to reduce a number of business risks, such as a risk of being excluded from bidding processes, to reduce a risk of damage to business reputation, trademark and value of shares;

6. The introduction of the AAC program will enable to hire employees with respect to high values and principles.

7. A number of other benefits.

          Hence, taking into consideration that the implementation of the AAC is an impartial part of the fight against corruption in business sector, as well as it is nessecary for almost all business companies in Armenia to have their place in the private sector and to be part of a free and open competitive marketplace, we suggestand encourage business companies to join the announcement below:            

ANNOUNCEMENT ON IMPLEMENTATION OF BUSINESS ETHICS AND COMPLIANCE INITIATIVE IN ARMENIA

            We, as representatives of the private sector in Armenia, realize that corruption is a major obstacle to the establishment of the country's stable market, as well as and for the permanent success of companies. We also recognize that transparency, ethics, honesty and accountability are the means through which we can fight against and ensure fair opportunities for all to be part of the market. By supporting future actions, we declare our intention to:

1)    conduct business properly, in accordance with internationally recognized anti-corruption standards and Armenian legislation;

2)    prohibit all employees from being engaged in corrupted, fraudulent and dishonest activities with private and public officials and organizations;

3)    introduce transparent disclosure policies for the Company's activities, including ensuring transparency about the Company's beneficial ownership;

4)    behave with our employees, customers, partners and suppliers with honesty and respect;

5)    gain reputation through ethics, competence and high quality;

6)    assist to worldwide national anti-corruption initiatives against corruption aimed at creating fair market conditions, promoting transparency of business transactions and ensuring good corporate governance in Armenia;

7)    develop relevant experience to disseminate the above mentioned principles, concepts and policies among our Company participants, as well as our customers, partners and suppliers.