Prosecutorial Challenges in Enforcing Corporate Corruption Liability under Section 17A of the Malaysian Anti-Corruption Commission Act 2009

Abstract

Corporate corruption poses significant challenges to Malaysia’s economic integrity and governance, prompting the introduction of Section 17A under the Malaysian Anti-Corruption Commission Act 2009 to impose criminal liability on commercial organisations. This study examines prosecutorial challenges in enforcing Section 17A through a qualitative doctrinal–empirical approach, combining legal analysis with semi-structured interviews of prosecutors involved in active corporate corruption cases. Findings reveal four interconnected challenges: Uncertainty in the interpretation and application of ‘adequate procedures’, institutional unfamiliarity with Section 17A among judges and legal actors, evidentiary difficulties related to witness credibility and fear of retaliation, and conceptual issues in applying punishment to corporate entities. The study highlights that these challenges collectively constrain the effectiveness of Section 17A, underscoring the need for judicial clarification and the adoption of deferred prosecution agreements. By providing empirical insights into the practical realities of prosecuting corporate corruption, this study contributes to enhancing Malaysia’s corporate anti-corruption framework in line with international standards.