MONTREAL – Ottawa has softened its anti-corruption rules, reducing the penalties for companies that are seeking government work after being convicted of bribery, money laundering and other offences.
Under the new procurement rules announced Friday, companies can still be barred from government contracts for 10 years if they have been convicted of such offences in the past three years.
But that ban can be cut in half if the company co-operates with authorities and takes remedial action.
Also, suppliers will no longer be automatically ineligible for government work because of the conduct of affiliates unless it can be demonstrated that the supplier had control over the convicted affiliate.
Canada’s business lobby has been urging Ottawa to make changes to procurement rules it labelled as “draconian.”
Public Works Canada said the new rules are fair, ensure due process and better align with international best practices.
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