Third Party Distributors:

Managing Compliance Risk

ABRAIDI

200 associates: Importers and Distributors

(from J&J, Medtronic etc. and local companies)
60% of the MK
US$ 6 bi
Establishment of relations: industry, HMO, health
people, hospitals
Social responsibility
Code of conduct: ethics, compliance, laws, RA,
standards.
10 years of ethical drive administration:
http://www.abraidi.com.br/codigo_conduta_fase_ii.php

Scenery evolution in Brazil, since 2013 Warsaw Congress (IMTC)

Code of Ethics ABRAIDI
1. Recitals
CHAPTER I: Commitment to Good Citizenship
CHAPTER II: Responsibilities
CHAPTER III: Recommendations Business Practices
CHAPTER IV: Relationship Rules
Section 1: Suppliers
Section 2: Costumers
Section 3: Health Professionals
Article 7: The associated company undertakes to take full all
provisions set out in "Code of Ethics for Interactions with
Healthcare Professionals published by AdvaMed, version July
2009 and becomes an integral part of this ABRAIDI the Code of
Ethics.
Section 4: Competitors
Section 5: Community
Section 6: Entities / Governmental Authorities and Regulatory Agents
CHAPTER V: Penalties
CHAPTER VI: General Provisions

Scenery evolution in Brazil, since 2013 Warsaw Congress (IMTC)

Law no.12.846 Highlights
Published on the Official Gazette: August 2, 2013
Effective: January 29, 2014
Applies to civil and administrative liability of legal entities for acts
committed against the domestic or foreign Public Administration.
All business organizations or kind of contract, in the Brazilian territory.
The legal entity's liability does not exclude the individual
responsibility
The responsibility of the legal entity remains in the event of corporate
changes, acquisition, merger
What? Promise, offer or give, directly or indirectly, an undue
advantage to a public official, or third person related to him etc.

Law no.12.846 Highlights (following)

To make use of another legal entity interposed to dissimulate its real
interests or the identity of the beneficiaries
All different kind of skills to fraud contracts, or public tender
procedure
To hinder the investigation of public agencies or officials or
interfere with their work including within the scope of regulatory
agencies and supervisory bodies of the national financial system
Penalties: from 0,1% (zero point one percent) to 20% (twenty
percent) of the gross earnings excluding taxes or company closure
The application of the sanctions does not exclude the obligation
of full restitution for the damage caused.

Scenery evolution since 2013 Warsaw Congress (IMTC)

Scenery evolution since 2013 Warsaw Congress (IMTC)

10

11

Scenery evolution since 2013 Warsaw Congress (IMTC)

Partnership ABRAIDI & ETHOS:
1. Pact: only ABRAIDI, as institution;
2. Sectorial agreement, among the associates from ABRAIDI.
What is ETHOS?
.

12

13

Scenery evolution since 2013 Warsaw Congress (IMTC)

Sectorial agreement among the 200 ABRAIDI affiliates (target):

Meeting conduced by ETHOS experts, to discuss issues relating to:
1. identify vulnerabilities of the sector in relation to corruption:
HCP relationship
Hospitals relationship
HMO relationship
Public environment
2. discuss common procedures and policies to address market demand;
3. and later voluntary commitments to address these gaps for bribes,
create more public policies and reduce its risks

14

Pact Announcement
Sectorial Agreement Project, from June 11th, do December, 2014

15

Green flags for Distributors

DISTRIBUTORS
DUE DILIGENCE

CODE OF ETHICS
ETHICAL PROCEDURES
SECTORIAL AGREEMENT

BALANCED CONTRACTS

COMPLIANCE TRAINING
REAL ENVIRONMENT

16

Muchas gracias!
Thank you!
SERGIO ALCANTARA MADEIRA
EXECUTIVE DIRECTOR
sergio.madeira@consult-bi.com.br
+5511 9945-6787

23