On July 1,2014, in the Risk and Compliance Journal, there was an article on the BNPE Bank scandal. Below is a short excerpt.
“BNP Paribas SA prodded, sidelined and co-opted its compliance staff as the bank broke U.S. sanctions and hid massive Iran, Sudan and Cuba transactions from U.S. authorities, according to the bank’s guilty plea. Again and again compliance staff shifted from warning to assisting in the illegal conduct.”
The compliance staff shifted to assisting in illegal conduct? Are you kidding me? If a company can’t trust its compliance department, who can it trust? I would love to know how the employees of BNP Bank and its customers are dealing with this new information? The credibility of all the compliance and ethics training that has been done has been undone by this behavior.
What is it about greed that would cause a company to jeopardize it reputation, make employees complicit in illegal and unethical behavior and think that they wouldn’t be caught? I just don’t get it.
Is it the challenge of “the game” of business, is it a power thing that leaders would be willing to gamble with their reputation, compliance requirements, employees and customers?
There’s a lesson here. Anyone want to guess what it is?