Resources
Case Studies
Penny wise and pound foolish
Jasper worked as a sales associate for a renowned audio-visual equipment company for many years. Through his expertise and friendly demeanor, he gradually established an extensive customer network.
Some customers hoped Jasper could sell products at a "favourable price". As a result, they started giving him red packets, hoping he would offer them lower prices or bulk purchase discounts. They even asked for company gifts when their purchases did not meet the limit. Jasper happily accepted these offers and believed that this would not only satisfy his customers and strengthen his relationships with them, but also help him meet his sales targets, ultimately benefiting the company. It seemed like a win-win situation.
However, Jasper soon became indifferent to customers who did not provide red packets, and even deliberately neglected their requests, leading to a growing number of complaints against Jasper.
Case Analysis
As an employee of the company, Jasper is regarded as an agent under the Prevention of Bribery Ordinance (POBO). Without the company’s permission, he accepted red packets from customers for abusing his official duties, which might breach Section 9 of the POBO. Both the offeror and acceptor of the bribes are guilty of the offence.
A red packet is a kind of advantage. Section 2 of the POBO states that advantages include fee, gift, loan, reward, commission, office, contract, service, favour, payment, and more. However, entertainment which refers to food and drink consumed on the occasion is excluded. In addition, there is no monetary limit for advantage. Therefore, Jasper’s acceptance of these advantages might have violated the law regardless of the amount involved.
Retail staff should adhere to company guidelines when selling products and providing company gifts. Otherwise, it may lead to customer dissatisfaction or complaints, negatively impacting the company’s reputation.