A tip, a bribe, or a gift?

Pergamum · #1 (**permalink**) 10-26-2007, 02:12 PM

Hey;

What's the difference when living in a corrupt country or one where the burro-ocracy is so slow that a gift helps motivate people to process your forms quicker?

Gift giving was very common in the Bible; the Proverbs even tell us to give gifts to win favors.

But, when is a gift a bribe, and when is it a tip? WHen is it okay, when should we refrain?

BobVigneault · #2 (**permalink**) 10-26-2007, 03:33 PM

That's a fascinating question friend, especially from a Biblical point of view.

My company, I'm happy to say, has a pretty strict code of conduct but being international they have to deal with that very issue. They keep the accounting accurate and upfront in the books but realize that sometimes it's necessary to make 'facilitating payments' in order to expedite a matter. So I guess the solution is one of "Jesuit honesty"... you use euphemisms. Here's an excerpt from our code of conduct.

Quote:

Facilitating Payments
There may be instances in which the customs of an area dictate, and local legal interpretations
allow, incidental payments or gratuities to local officials to expedite the proper performance of
“routine governmental action.” Payments of this nature do not fall within the prohibition of the Act.
Nevertheless, even though such payments may possibly be expected in accordance with area
customs and legal interpretations and would confer no improper business advantage on the
Company, every effort should be made to avoid them, consistent with the normal and competitive
functioning of the Company’s business, the provisions of the Act as described above, and other laws
and Company directives. In the event any such payments are considered necessary, it is imperative
that they be correctly recorded and accounted for on the Company’s books. In any case, the
approval of the Corporate Compliance Officer must be obtained before facilitating payment is made.

py3ak · #3 (**permalink**) 10-26-2007, 10:28 PM

When I was getting my passport I realized that there are bribes in the US. By paying a substantial sum extra I got "expedited processing". It's institutionalized --which means it's more expensive, and goes to the bureaucracy instead of going to feed some petty official's family.

I think when that's the way the system works, the question is whether you're paying for a legitimate service or not.

Pergamum · #4 (**permalink**) 10-26-2007, 11:42 PM

Yes, Bob I like that little statement. It captures the grayness of much economic dealing here.