Photo: Ms. Sadina Wu delivering speech during event Dec 2016
On December 17, 2016, the 3rd General Counsels’ Night was successfully held by the Legal Guru Club in Beijing. Over 100 legal professionals attended the event and had a lively discussion on topics including: Cross-border dispute resolution, Evolving outbound investment policy, Antitrust and internal control and etc.
PwC was honoured to be one of the event sponsors and panellists in the topic discussion. Sadina Wu, partner of Risk Assurance in PwC China, shared her insights regarding to “Antitrust seen from the perspective of Risk and Control”, providing a different perspective to that usually considered by the lawyers.
Companies may face various risks in their business operations; for instance, market risk, credit risk, liquidity risk, operating risk, accounting risk, operational risk, strategic risk as well as compliance risk. Once an antitrust risk is triggered, companies will face severe consequences. For example, immediate intervention into behaviours that are regarded as monopolistic; confiscation of illegal gains; imposition of fines ranging from 1% to 10% of the sales amount in the last year; business and assets stripping; being forced to open up their network, platform and other infrastructures as well as license key technologies; significant levels of civil compensation and loss of company reputation. Therefore, PwC recommends that companies should take identifying the antitrust risks and key compliance issues as a starting point, and then manage and mitigate the potential losses and other impacts that could result from a breach. PwC Anti-Trust Service
When providing anti-trust services, we start from identifying and analysing the anti-trust risks to mainly focus on compliance work at an operational level, while taking full consideration of the client’s industry status, stakeholder factors etc. In practise, we utilise the PwC Risk Management Framework
to help a company to identify and respond to anti-trust risks in three dimensions: Before, During and After. At the same time, our services are also beneficial to other clients who are playing different roles in an anti-trust investigation. Anti-Trust Compliance Supervision or Monitoring
Ms. Sadina Wu then introduced a few practical examples of our anti-trust supervision services. At present, PwC has been appointed by Ministry of Commerce of the People’s Republic of China as the Supervising Trustee in two supervising anti-trust cases, which demonstrates our professional expertise and experience in this field.
Together with Sadina, panellists include Mr. Nie Ying, Vice Chairman of the China Law Society Aviation Law Institute; Mr Luo Lifan, General Manager of the Legal Department in Microsoft (China); Mr. You Yong, Minister of the Legal Department from China Minmentals Corporation. The other Legal professionals participated actively in the discussion sharing their points of view on this subject.