Corporate Criminal Liability: The Influence of Corporate Culture

INTEGRITY, RISK AND ACCOUNTABILITY IN CAPITAL MARKETS: REGULATING CULTURE, J. O'Brien, G. Gilligan, eds, Hart Publishing, UK, 2013

Sydney Law School Research Paper No. 17/14

17 Pages Posted: 22 Feb 2017

See all articles by Olivia Dixon

Olivia Dixon

The University of Sydney, Faculty of Law

Date Written: February 21, 2017

Abstract

This chapter investigates corporate criminal liability in Australia, where the law has been reformed at the Commonwealth level under Australia’s Criminal Code Act 1995 (Cth) but has yet to be substantively implemented by most States and Territories. Described as ‘arguably the most sophisticated model of corporate criminal liability in the world’, the Criminal Code addresses the fault elements of an offence through notions of organisational blameworthiness, taking into account such factors as the corporation’s culture, systems and operating policies. Consideration of corporate culture at the liability stage extends the breadth of Australia’s corporate liability regime far beyond any other jurisdiction. In doing so, it incentivises corporate self-monitoring and the development of a general culture of compliance as a failure to do so increases the risk of prosecution. However, theoretical promise has yet to translate into practice and the provisions remain untested in a criminal prosecution. This chapter traces the theoretical development of corporate criminal liability under the common law, from derivative to holistic models; considers the operation of the corporate criminal liability provisions under the Criminal Code and the extent to which the provisions address the limitations of the traditional models; and identifies issues that are potentially acting as roadblocks to prosecution based on corporate culture.

Keywords: Corporate culture, corporate criminal liability, criminal code, enforcement, Australia

JEL Classification: K22, K14, K41, K42

Suggested Citation

Dixon, Olivia, Corporate Criminal Liability: The Influence of Corporate Culture (February 21, 2017). INTEGRITY, RISK AND ACCOUNTABILITY IN CAPITAL MARKETS: REGULATING CULTURE, J. O'Brien, G. Gilligan, eds, Hart Publishing, UK, 2013; Sydney Law School Research Paper No. 17/14. Available at SSRN: https://ssrn.com/abstract=2921698

Olivia Dixon (Contact Author)

The University of Sydney, Faculty of Law ( email )

New Law Building, F10
The University of Sydney
Sydney, NSW 2006
Australia

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
319
Abstract Views
1,042
rank
102,743
PlumX Metrics