This bill became law on Mar 8th, 2024.
Law, justice & rights
Australia's foreign bribery law now covers bribes aimed at people running for foreign public office and uses an improper influence testThe new legal test for bribery on this page, replacing the older narrower wording so prosecutors do not have to prove the same old business-advantage limits. instead of the older narrower standard.
Australia's foreign bribery offenceThe criminal offence that makes it illegal to bribe a foreign public official, and this bill broadens how that offence works. was too prescriptive and hard to prosecute, leaving few cases and prompting OECDThe international body whose anti-bribery standards Australia is trying to meet with these reforms. concern about weak enforcement. The bill expands what counts as foreign bribery and lets companies be charged if associates bribe for their benefit unless they had adequate prevention procedures.
Australia criminalised foreign bribery in 1999, but the offence was narrow and hard to prove, and by the mid-2010s weak cases and low prosecution numbers had exposed gaps in how the law worked in practice. After the government floated reforms in 2017, Parliament revived the changes in 2023 to replace the old test with an improper influence standard, cover personal advantages and candidates for office, and create a corporate failure-to-prevent offence, with the bill becoming law in March 2024.
The main criticism was that the bill strengthened foreign bribery law but stopped short of adding other enforcement tools critics said were needed, especially a deferred prosecution agreementA settlement-style enforcement tool critics wanted added, where prosecution can be delayed or avoided if a company meets agreed conditions. scheme for corporate settlements and self-reporting. That concern came mainly from the Coalition and was echoed in part by Senator David Pocock, but it remained a case that the bill was incomplete rather than a broad argument against its anti-bribery reforms.
Mark Dreyfus MP introduced this bill. It passed on the voices.
Did it become law?
Yes
Became law 08 Mar 2024
Final passage
Passed without a counted vote
2 recorded amendment or procedural votes were found, but no counted vote on the bill itself was recorded.
Passage speed
260 days
From introduction to the latest recorded parliamentary step
Meaning
Australia's foreign bribery law now covers bribes aimed at people running for foreign public office and uses an improper influence testThe new legal test for bribery on this page, replacing the older narrower wording so prosecutors do not have to prove the same old business-advantage limits. instead of the older narrower standard.
Foreign bribery now includes bribes paid for personal benefits such as visas, honours or lower personal tax, not only for business deals or contracts.
Companies can be charged if an associateA company-related person or entity, such as an employee, agent, contractor, or subsidiary, whose bribery can create liability for the company. bribes a foreign official for the company's benefit, unless the company proves it had adequate anti-bribery procedures in place.
The Minister must arrange a review of how these foreign bribery changes are working after the second part of the new law has been operating for 18 months.
People and businesses still cannot claim a tax deduction for money spent on bribing a foreign public officialA person who holds or is running for public office in another country, and who is protected by the bribery offence., and the tax rule is updated to match the new bribery offence.
To address this, the bill replaces this requirement with the concept of 'improperly influencing' a foreign public official to better reflect the type of conduct involved in foreign bribery. The bill amends the definition of '.foreign public official' to also include candidates for public office.Minister's second reading speech
The bill also broadens the scope of the foreign bribery offence to capture bribery conducted to obtain a personal advantage, not a business advantage. This is because, as the experience of law enforcement agencies has shown, a bribe could be in a range of different forms—such as the bestowal of a personal honour, the processing of a visa request, or a reduction in an individual's personal tax liability.Minister's second reading speech
The Bill will also introduce a new indictable corporate offence of failing to prevent foreign bribery. This offence will apply where an associate of a body corporate has committed bribery for the profit or gain of the body corporate. It will be a defence if the body corporate can establish that it had ‘adequate procedures’ in place to prevent the commission of foreign bribery by its associates.Crimes Legislation Amendment (Combatting Foreign Bribery) explanatory memorandum
(1) The Minister must cause a review of the operation of the amendments made by this Act to be conducted as soon as practicable after the end of the period of 18 months starting on the day Part 2 of Schedule 1 to this Act commences.Crimes Legislation Amendment (Combatting Foreign Bribery) Act 2024 final Act text
Items 11, 12, 13 and 14 amend the Income Tax Assessment Act 1997 (the ITAA). The intention of these amendments is to prohibit a person from claiming a deduction for a loss or outgoing the person incurs that is a bribe to a foreign public official. This is a continuation of the current approach of section 26-52 of the ITAA. The amendments revise the relevant provisions of the ITAA so that the concept of bribery of a foreign public official in that Act is consistent with the concept that is contained in new section 70.2 of the Criminal Code, as described under item 6 above.Crimes Legislation Amendment (Combatting Foreign Bribery) explanatory memorandum
Context
Australia criminalised foreign bribery in 1999, but the offence was narrow and hard to prove, and by the mid-2010s weak cases and low prosecution numbers had exposed gaps in how the law worked in practice. After the government floated reforms in 2017, Parliament revived the changes in 2023 to replace the old test with an improper influence standard, cover personal advantages and candidates for office, and create a corporate failure-to-prevent offence, with the bill becoming law in March 2024.
Australia creates its foreign bribery offenceThe criminal offence that makes it illegal to bribe a foreign public official, and this bill broadens how that offence works.
Australia implemented its OECDThe international body whose anti-bribery standards Australia is trying to meet with these reforms. anti-bribery obligations by putting the existing foreign bribery offenceThe criminal offence that makes it illegal to bribe a foreign public official, and this bill broadens how that offence works. into Division 70 of the Criminal CodeThe main federal criminal law book that contains Australia’s foreign bribery offence, including Division 70..
Explanatory memorandum ↗Bribery cases highlight weaknesses in Australia's law
An AFR report said emerging bribery cases were pointing to weaknesses in the Australian offence, underscoring how hard the law was to enforce.
Australian Financial Review ↗Government proposes changes to the foreign bribery offenceThe criminal offence that makes it illegal to bribe a foreign public official, and this bill broadens how that offence works.
A public consultation paper set out amendments aimed at fixing investigation and prosecution problems with the existing offence.
Explanatory memorandum ↗Government introduces the foreign bribery bill
The Attorney-General brought back long-foreshadowed reforms to broaden the offence and add a new corporate offence for failing to prevent bribery by associates.
Hansard ↗Parliament passes the bill
Both houses agreed on the same text, clearing the way for the new bribery rules and corporate liability regime to take effect.
Parliamentary timeline ↗Foreign bribery reforms receive Royal Assent
Royal Assent turned the bill into law, completing the overhaul of Australia's foreign bribery offenceThe criminal offence that makes it illegal to bribe a foreign public official, and this bill broadens how that offence works. and related tax rule updates.
Parliamentary timeline ↗Legislative route
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Second reading moved
Referred to Committee (22/06/2023): Senate Legal and Constitutional Affairs Legislation Committee; Committee report (26/07/2023)
Referred to committee
APH bill page notesThe bill reached this recorded parliamentary step.
The bill reached this recorded parliamentary step.
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Second reading agreed to
The chamber agreed to the bill at third reading, which completed passage through that chamber. Later message exchanges with the other chamber were still recorded afterwards.
Third reading agreed to
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Second reading moved
The bill reached this recorded parliamentary step.
The bill reached this recorded parliamentary step.
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Second reading agreed to
The chamber considered amendments before the bill moved to the next stage.
Committee of the Whole debate
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Third reading agreed to
The House dealt with Senate amendments or requests so both chambers could settle the bill in the same form. The main amendments were: The as-passed text added an 18-month review of the foreign bribery amendments and updated the Act year to 2024. The official record separately lists five amendment outcomes: three carried on voices, one counted second-reading amendment carried 33-22, and one counted committee amendment package defeated 25-30.
Consideration of Senate message
Both houses passed the bill in the same form, completing parliamentary passage.
Finally passed both Houses
The Governor-General gave Royal Assent, turning the bill into an Act.
Key criticism
The main criticism was that the bill strengthened foreign bribery law but stopped short of adding other enforcement tools critics said were needed, especially a deferred prosecution agreementA settlement-style enforcement tool critics wanted added, where prosecution can be delayed or avoided if a company meets agreed conditions. scheme for corporate settlements and self-reporting. That concern came mainly from the Coalition and was echoed in part by Senator David Pocock, but it remained a case that the bill was incomplete rather than a broad argument against its anti-bribery reforms.
No party represented in the debate opposed the bill outright; criticism was mostly about missing enforcement measures.
Missing deferred prosecution scheme
The sharpest criticism was that the bill was incomplete because it did not include a deferred prosecution agreementA settlement-style enforcement tool critics wanted added, where prosecution can be delayed or avoided if a company meets agreed conditions. scheme, which critics said would help resolve complex corporate bribery cases, encourage self-reporting and let Australia participate more effectively in cross-border anti-corruption settlements.
Other gaps in the anti-bribery regime
Some senators argued the bill still left gaps because it did not tackle facilitation payments or stop companies convicted of foreign bribery from winning government contracts, raising concern that enforcement would remain weaker than it should be even after the reforms passed.
Further sources
Votes
The bill passed both chambers on the voices. The counted divisions below were about amendments or procedure, not final passage.
House agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.
Passed on the voices
In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.
Senate agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.
Passed on the voices
In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.
Amendments grouped by chamber. These cards include amendment outcomes recorded without a counted division.
House
The House agreed to the amendments made by the Senate, so the bill could pass both chambers in the same form.
Carried on voices
The chamber decided this amendment without a counted division, so there is no list of individual Aye and No votes.
Senate
Passed 33 to 22. Support came from Labor, Greens, Jacqui Lambie Network, and minor parties and independents. Opposition came from Liberal Party, Nationals, and UAP. Minor-party and independent votes were split.
The Senate carried the second-reading amendment 33-22, so those calls were added to the bill's second-reading motion before the bill itself was read a second time.
Defeated 25 to 30. Support came from Liberal Party, Nationals, Jacqui Lambie Network, and One Nation. Opposition came from Labor, Greens, and minor parties and independents. Minor-party and independent votes were split.
The Senate defeated the package 25-30, so the deferred prosecution agreementA settlement-style enforcement tool critics wanted added, where prosecution can be delayed or avoided if a company meets agreed conditions. amendments were not added to the bill.
The Senate agreed on voices to the parts of Senator Michaelia Cash's Opposition sheet 2042 that adjusted commencement and inserted an 18-month review of the foreign bribery amendments. The separate deferred prosecution agreementA settlement-style enforcement tool critics wanted added, where prosecution can be delayed or avoided if a company meets agreed conditions. parts of the same sheet were later defeated 25-30.
Carried on voices
The chamber decided this amendment without a counted division, so there is no list of individual Aye and No votes.
These are amendment votes, not the final passage vote on the bill itself. The bill passed both chambers on the voices.
Parliamentary debate
Start here — lead voices
Dreyfus supports the bill and says it will fix Australia’s weak foreign bribery laws by making prosecutions easier and introducing a new corporate offence for failing to prevent bribery.
Read in Hansard ↗Fletcher says the coalition will support the bill because it strengthens Australia’s foreign bribery laws, but he argues it is incomplete without deferred prosecution agreements.
Read in Hansard ↗Pocock supports the bill because it makes long-overdue improvements to investigate and prosecute foreign bribery, including a new corporate offence and limits on tax deductions.
Read in Hansard ↗Carol Brown supports the bill and says it will strengthen Australia’s laws against foreign bribery by fixing weaknesses in the current offence and creating a new corporate failure-to-prevent offence.
Read in Hansard ↗All speeches by bloc
8 speakers · 9 contributions · 8 support
“The Combatting Foreign Bribery Bill enhances Australia's response to foreign bribery and supports our obligations under the OECD Anti-Bribery Convention.This Bill demonstrates the Government's commitment to combatting foreign bribery and ensuring our laws are effective in detecting, investigating and prosecuting foreign bribery.”Read the full speech in Hansard ↗
“The Albanese government is taking action on foreign bribery by Australian companies after 10 years of nothing happening. This is about accountability and the value of accountability, which we hold high. This is about having no tolerance for corruption. That is why we are pushing ahead with this bill, despite the empty protestations of some of the speakers opposite and the do-nothing attitude that was emblematic of the opposition when they were in government. It's time for us to take action. It's time for us to pass this bill through the House.”Read the full speech in Hansard ↗
“The Albanese government is taking action on foreign bribery by Australian companies after 10 years of nothing happening. This is about accountability and the value of accountability, which we hold high. This is about having no tolerance for corruption. That is why we are pushing ahead with this bill, despite the empty protestations of the previous speaker, the member for Fisher, and the do-nothing attitude that was emblematic of the opposition when they were in government. It's time for us to take action. It's time for us to pass this bill through the House.”Read the full speech in Hansard ↗
“The inept action of the former government means there is a lot for us to do in government, so the whole purpose of this bill is to strengthen the legal framework for prosecuting foreign bribery and to give effect to Australia's international obligations under the OECD antibribery convention. The Albanese government has no tolerance whatsoever for corruption of any kind, whether in the public sector and from those opposite or in the private sector. Foreign bribery is corruption. It hurts communities, halts economic development and undermines the rule of law. So, as I said from the outset, we are cleaning up the mess of the former government, and the measures in this bill are long overdue.”Read the full speech in Hansard ↗
Hansard records 2 separate contributions by Mark Dreyfus on this bill. They are grouped here so the speaker is listed once.
Minister's second reading speech
Dreyfus supports the bill and says it will fix Australia’s weak foreign bribery laws by making prosecutions easier and introducing a new corporate offence for failing to prevent bribery. He also says the bill should pass before any deferred prosecution scheme is considered.
“Most significantly, the bill creates a new offence for corporations that fail to prevent foreign bribery, which carries a maximum penalty of $27.5 million or higher.”Read this contribution in Hansard ↗
Second reading speech
Dreyfus supports the bill and says it strengthens Australia’s laws against foreign bribery, closes loopholes, and helps meet OECDThe international body whose anti-bribery standards Australia is trying to meet with these reforms. anti-bribery obligations. He argues the measures are overdue and criticises the former government for failing to act on similar reforms years earlier.
“This bill enhances Australia's response to foreign bribery and supports our obligations under the OECD antibribery convention. It is shameful that the former government, over years and years—over two terms of this parliament—failed to legislate to give effect to Australia's international obligations and failed to act to do more about foreign bribery. This bill demonstrates our government's commitment to tackling corruption and, in particular, ensuring our laws are effective in detecting, investigating and prosecuting foreign bribery. I commend the bill to the House.”Read this contribution in Hansard ↗
“The bill is cast from the same mould, matching our commitment to stamping out foreign bribery with a legal framework capable of delivering exactly that. I commend this bill to the House.”Read the full speech in Hansard ↗
“The Australian government has a zero tolerance policy in relation to foreign bribery and supports ethical business practices. So, this bill is both welcome and timely. Bribery, by its very nature, is incredibly difficult to investigate and prosecute. It is both opaque and sophisticated. Sadly, there have been relatively few foreign bribery prosecutions in Australia, because the current foreign bribery defence in division 70 of the Commonwealth Criminal Code has been overly prescriptive and difficult to use. This bill seeks to address this issue. It does this by replacing the existing foreign bribery offence with a new carefully developed offence.”Read the full speech in Hansard ↗
“In conclusion, this bill enhances Australia's response to foreign bribery and supports our obligations under the OECD antibribery convention. It is worth noting that this bill is one of the key integrity reforms cited by Mr Dennis Richardson in his recent review of integrity concerns and governance arrangements for the management of regional processing administration by the Department of Home Affairs. One of the other key integrity reforms cited by Mr Richardson is his review into the National Anti-Corruption Commission. For years, the former government failed to establish a national anticorruption commission, despite having bipartisan support.”Read the full speech in Hansard ↗
6 speakers · 5 support · 1 mixed
“I observe, therefore, in conclusion, that the coalition will support the measures in this bill. We are glad that Labor has introduced this bill. It is coalition policy. We support it. But we will also be moving amendments in the Senate. We will seek to improve this bill by adding to it the deferred prosecution agreement scheme that was coupled with these measures the last time a bill substantially, in these terms, was introduced.”Read the full speech in Hansard ↗
“The coalition will support the measures in this bill even though they are deficient. We are glad Labor has introduced this bill because it is our policy. It was good policy at the time; we liked it then, and we like it now. But, as I said, we'll introduce amendments to reintroduce the DPA scheme that was coupled with these measures last time, and we will include a statutory review to ensure the scheme is working as intended.”Read the full speech in Hansard ↗
“My deep concern is that this will be the only opportunity we have over, say, the next five years to actually deal with this in legislation. My deep concern is that we're losing an opportunity. This is a missed opportunity. Senator Shoebridge will know—all the senators in this place will know—how difficult it is to find time on the legislative calendar, and this legislation is an example of that. It's been mooted for seven or eight years. It's taken that long to get here. In that time we're going to lose opportunities to participate with like-minded countries all over the world as part of deferred prosecution agreements which are being entered into on an international basis. That's my concern and that is why I am profoundly disappointed, to be frank, that we're missing this opportunity, because I just don't see the logic in it. Senator Shoebridge referred to those who have some sort of misguided in-principle objection to deferred prosecution agreements. I really don't know what the thinking is amongst those on the government side of the chamber as to why they're so resistant to a system that has worked quite effectively over a number of years, and I'll touch upon that.”Read the full speech in Hansard ↗
“This bill will further the aim we had when we were in government to strengthen the legal framework for prosecuting foreign bribery. I'm not disappointed to see this bill come before the House, but I am disappointed to see the political gamesmanship that is being brought by the other side. I'm not complaining that they're copying our homework—the best form of flattery is imitation—but they have left some very important parts out of this bill. Members opposite need to reconsider the importance of adding a deferred prosecution scheme to make the enforcement of foreign bribery offences more effective. We're committed to moving amendments to that end, and we ask those opposite to wake up to themselves, stop playing petty politics and accept those amendments.”Read the full speech in Hansard ↗
“I rise to speak on the Crimes Legislation Amendment (Combatting Foreign Bribery) Bill. We will support this bill, but there are flaws in the bill, and that is what I would like to speak on.”Read the full speech in Hansard ↗
“So we need to be strengthening the provisions in that act and putting stronger powers in place for the investigating agencies to make sure that we're holding Australian companies and Australian citizens to the highest standards when it comes to the way in which they do business and the conduct that they engage in when they're seeking to, through legal means, be as competitive and as successful as they possibly can be internationally.”Read the full speech in Hansard ↗
1 speaker · 1 support
“So the Greens will be supporting the bill. We won't be supporting the coalition's amendments at this stage in relation to a deferred prosecution scheme.”Read the full speech in Hansard ↗
1 speaker · 2 contributions · 1 mixed
Hansard records 2 separate contributions by David Pocock, including an amendment-moving contribution. They are grouped here so the speaker is listed once.
Second reading speech
Pocock supports the bill because it makes long-overdue improvements to investigate and prosecute foreign bribery, including a new corporate offence and limits on tax deductions. He says more reform is still needed, especially on deferred prosecution agreements, facilitation payments and debarmentA rule that would stop a company convicted of foreign bribery from winning government contracts. from government contracts.
“I'm going to try and finish this. I rise to speak in support of the Crimes Legislation Amendment (Combatting Foreign Bribery) Bill 2023. As has been said, this is the third attempt to get this legislation through. This bill makes much-needed updates to the Criminal Code Act to make it easier to investigate and prosecute offenders. I welcome the creation of a new corporate offence of failure to prevent bribery of a foreign public official. This change is supported by the OECD, the Law Council and others and is a long-overdue improvement. The prohibition on tax deduction claims for foreign bribery also enjoys widespread community support.”Read this contribution in Hansard ↗
Moved amendment
Pocock supports the bill in principle, but moves an amendment saying Australia should also consider a deferred prosecution agreementA settlement-style enforcement tool critics wanted added, where prosecution can be delayed or avoided if a company meets agreed conditions. scheme, abolish facilitation payments, and stop companies convicted of foreign bribery from winning government contracts.
“At the end of the motion, add ", but the Senate:”Read this contribution in Hansard ↗
Record
House · Introduced and read a first time
Introduced
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
House · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
House · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
House · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
House · Second reading agreed to
Second reading agreed
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
House · Third reading agreed to
Third reading agreed
The chamber agreed to the bill at third reading, which completed passage through that chamber.
Senate · Introduced and read a first time
Introduced
The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Senate · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.
Senate · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
Senate · Second reading debate
Second reading debate
The bill reached this recorded parliamentary step.
Senate · Second reading agreed to
Second reading agreed
The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.
Senate · Committee of the whole: amendments considered
Amendment packages agreed
The chamber considered amendments before the bill moved to the next stage.
Senate · Third reading agreed to
Third reading agreed
The chamber agreed to the bill at third reading, which completed passage through that chamber.
House · Consideration of Senate message
House agreed to Senate amendments
The House dealt with Senate amendments or requests so both chambers could settle the bill in the same form.
Parliament · Finally passed both Houses
Passed both houses
Both houses passed the bill in the same form, completing parliamentary passage.
Assent · Assent
Assent
The Governor-General gave Royal Assent, turning the bill into an Act.
Senate Legal and Constitutional Affairs Legislation Committee; Committee report (26/07/2023)
Referred to committee
Referred to Committee (22 June 2023): Senate Legal and Constitutional Affairs Legislation Committee; Committee report (26 July 2023)
APH bill page notes
