Siri Sofie Tveiten Per Knut Asphaug Bernhardt Master Thesis BI Norwegian Business School - Corruption - -The boundary between customer relationship management and illegal corruption, bribery and trading in influence - Supervisor: Roy Kristen Kristensen Campus: BI Oslo Examination code and name: GRA 19003 – Master Thesis Hand-in date: 26.08.2016 Program: Master of Science in Business ”This thesis is a part of the MSc programme at BI Norwegian Business School. The school takes no responsibility for the methods used, results found and conclusions drawn.” Table of Contents I Abbreviations / translations ...................................................................................................... iv 1. Introduction ............................................................................................................................ 6 2. Abstract ................................................................................................................................... 7 2.1 Findings ......................................................................................................................................... 7 3. Research question .................................................................................................................... 9 3.1 Hypothesis ..................................................................................................................................... 9 3.2 Objective ..................................................................................................................................... 10 3.3 Method ........................................................................................................................................ 10 4. Pre-existing literature ............................................................................................................ 12 4.1 Master thesis ................................................................................................................................ 12 4.2 Legal Theory ............................................................................................................................... 14 4.3 Guidelines and articles ................................................................................................................ 14 4.4 Customer Relationship Management .......................................................................................... 16 5. Existing legislation ................................................................................................................. 17 5.1 Changes in the Penal Code of 1902 vs. 2005 .............................................................................. 17 5.2 Corruption ................................................................................................................................... 18 5.2.1 Position, duty or assignment................................................................................................. 18 5.2.2 Passive corruption ................................................................................................................ 19 5.2.3 Active Corruption ................................................................................................................. 20 5.2.4 Causality ............................................................................................................................... 21 5.3 Gross corruption .......................................................................................................................... 21 5.3.1 Public Official ...................................................................................................................... 22 5.3.2 Substantial economic advantage........................................................................................... 22 5.3.3 Economic or other damage ................................................................................................... 22 5.3.4 Falsified accounting information .......................................................................................... 23 5.4 Trading in influence .................................................................................................................... 23 5.5 Facilitation payments .................................................................................................................. 25 5.6 The Taxation Act on gifts and corruption ................................................................................... 28 5.6.1 Representation ...................................................................................................................... 30 5.7 The Civil Service Act on gifts ..................................................................................................... 31 5.8 Preparatory work ......................................................................................................................... 32 5.8.1 Ot.prp.nr. 78 (2002-2003) .................................................................................................... 32 5.8.2 Ot.prp.nr. 22 (2008-2009) .................................................................................................... 32 i 5.8.3 Ot.prp.nr. 76 (1995-1996) .................................................................................................... 32 5.8.4 Other ..................................................................................................................................... 32 5.9 Internal guidelines and business practice .................................................................................... 33 5.9.1 Gifts ...................................................................................................................................... 33 5.9.2 Representation and Hospitality............................................................................................. 36 5.9.3 Facilitation payments ........................................................................................................... 38 5.10 OECD ........................................................................................................................................ 39 5.11 Criminal Law Convention on Corruption .................................................................................. 40 5.12 United Nations Convention against Corruption ........................................................................ 42 6. Cases of corruption ............................................................................................................... 43 6.1 The Yara-case .............................................................................................................................. 43 6.1.1 Legal grounds ....................................................................................................................... 43 6.1.2 Background .......................................................................................................................... 43 6.1.3 Objective Guilt ..................................................................................................................... 44 6.1.4 Gross corruption ................................................................................................................... 47 6.1.5 Sentencing ............................................................................................................................ 47 6.2 The Ruter-case ............................................................................................................................. 49 6.2.1 Legal grounds ....................................................................................................................... 49 6.2.2 Background .......................................................................................................................... 50 6.2.3 Objective guilt ...................................................................................................................... 50 6.3 The Unibuss-case ........................................................................................................................ 52 6.3.1 Case background .................................................................................................................. 52 6.3.2 Legal grounds ....................................................................................................................... 54 6.3.3 Objective Guilt ..................................................................................................................... 54 6.3.4 Trips to Rupholding .............................................................................................................. 56 6.4 Ullevål University Hospital ......................................................................................................... 57 6.4.1 Legal grounds ....................................................................................................................... 58 6.4.2 Background .......................................................................................................................... 58 6.4.3 First indictment – bribes ....................................................................................................... 59 6.4.4 First indictment - trips .......................................................................................................... 60 6.5 Other cases .................................................................................................................................