General Aspects 

We must begin by explaining that the phenomenon of Regulatory Compliance (Compliance) arose in the United States in 1977, after some financial and corruption scandals in large corporations, such as the LockheedThe scandal involved countries such as West Germany, Italy, the Netherlands, Japan, Spain and Spain, among others. 

It was then, that same year, under President Jimmy Carter the enactment of the Foreign Corrupt Practices Act (FCA).Foreign Corrupt Practices Act, FCPAThe FCPA is designed to outlaw and prosecute these types of practices. The FCPA gives rise to the criminal liability of companies, shareholders and directors, which makes them susceptible to committing a crime and being prosecuted for it.

Thus, it is necessary to understand that the companies are exposed to risks The company is also exposed to the risk of non-compliance with obligations derived from the legal, regulatory and ethical framework, as well as to the commission of crimes, financial losses and reputational crises, which could cause great damage to the organizations. 

In this regard, it is important to clarify that the Regulatory Compliance Programs (Compliance) are aimed at helping organizations to comply with an adequate management of legal, regulatory and ethical risks, and also to carry out corporate activities in a responsible manner, where the members of the organization comply with the internal commitments and values that have been voluntarily assumed. 

We can therefore affirm that the purpose of Corporate Compliance (Compliance) is related to the implementation of a management model or program that effectively promotes compliance with the standards, codes of ethics, principles and values of the organization, which will have a positive impact on business sustainability. 

The importance of Regulatory Compliance (Compliance) in Venezuela

Although recent times have not allowed the consolidation of a Corporate Culture in Venezuela, this does not imply that it should not be incorporated into the organizational practices of Venezuelan and foreign companies that operate in our country, based on the premise that the practices of Regulatory Compliance (Compliance) are the main players in international transactions and relations, in addition to being key for foreign investment, and this is associated with Good Corporate Governance and Good Practices, which promotes commercial relations based on ethical principles and transparency. 

As we have already mentioned, the Regulatory Compliance programs (Compliance) must be designed, implemented and developed in order to contribute to an adequate management of legal and ethical risks, it also aims to ensure that the organization develops corporate activities in a responsible manner. 

For this reason, one of the main factors of a Regulatory Compliance program (Compliance) is to promote internally the culture of compliance and that the company is aligned with the international standards applied in this area. 

Companies wishing to incorporate a compliance model or compliance program should Regulatory (Compliance) must correctly identify the ethical and legal obligations that affect them, as well as be aware of the factors that may cause any member of the organization to omit a control or fail to comply with any regulatory or ethical provision. 

It is important to note that, if organizations or companies are not able to identify risks of omitting or violating the Compliance Policies (Compliance) are accepting the ethical and legal consequences that this implies, which could lead to the collapse of the structure and a host of difficulties in the development of their economic activities. 

At Alan Aldana & Abogados we help our clients to to establish appropriate policies and procedures to ensure that its business is developed and operated in accordance with applicable legal and ethical standards. 

Our objective is to identify, evaluate and analyze legal and ethical business risks. that allow the development of Regulatory Compliance plans (Compliance)as well as the implementation of preventive and corrective controls adapted to national and international standards related to the area. We detect risk scenarios and present a work plan tailored to you and your company, to avoid or reduce the impact of the risks associated with each sector.

Prepared by:

Bianca Marán Torrealba.
Specialist in Corporate Law and Business Management. 

Milangela Tachón Scoppazzo.
Specialist in Civil Law and Regulatory Compliance (Corporate).