The recent amendments to the National Accountability Ordinance have significantly changed the scope of NAB's jurisdiction over private sector actors. Business owners and executives should understand what activities now fall within NAB's ambit.
The National Accountability Ordinance (NAO) has been amended multiple times in recent years, with significant implications for both public officials and private sector actors. The most recent amendments, upheld by the Supreme Court in 2024, have introduced important jurisdictional clarifications.
Scope of Private Sector Liability
NAB's jurisdiction over purely private commercial transactions has been narrowed. The amendments require that alleged corruption or fraud involve public funds, a public official, or a public contract to fall within NAB's remit. Purely private sector disputes — even involving fraud — are generally remitted to ordinary courts.
Plea Bargains and Voluntary Returns
The plea bargain regime has been retained, allowing accused persons to voluntarily return alleged proceeds of corruption in exchange for acquittal. The terms are negotiated with the NAB prosecutor and require court approval.
Preventive Measures for Businesses
Companies dealing with government contracts or public sector entities should maintain thorough documentation of all transactions, approvals, and payments. Robust internal compliance procedures are the best protection against NAB scrutiny.
Seeking Legal Advice Early
If you or your company receives a NAB call-up notice or questionnaire, engage legal counsel immediately. The early stages of a NAB inquiry — before formal proceedings commence — offer the best opportunities for resolution.
Disclaimer: This article is for general informational purposes only and does not constitute legal advice. For advice specific to your situation, please contact our team.