1. be engaged in or has the reputation of engaging in Corrupt, Fraudulent, Collusive, Coercive, Unethical or Obstructive Practices; or
2. in respect of any Bids or other Business Dealings with MDEC, be engaged in or has engaged in Corrupt, Fraudulent, Collusive, Coercive, Unethical or Obstructive Practice in securing that Bid or other Business Dealing with MDEC or in relation to or in the course of its Business Dealings with MDEC has engaged in such practices with third parties; or
3. where the Supplier/Recipient/Participant/Clients has had or has current Business Dealings with MDEC, that Supplier/Recipient/Participant/Clients: –
   1. has breached any confidentiality obligation towards MDEC; or
   2. has breached any material term in the relevant contract, agreement, option, arrangement or Project with MDEC or committed any material misrepresentation resulting in the relevant contract, agreement, option, arrangement or Project being terminated; or
   3. is in litigation with MDEC, either as plaintiff or defendant or has arbitration proceedings with MDEC; or
4. where the Supplier/Recipient/Participant/Clients has breached any provision in this Code of Conduct including without limitation Clause 2 below.

1. the Supplier/Recipient/Participant/Clients (or any of its directors, shareholders, officers or partners, as the case may be) has a close business or family relationship with a member of the Senior Management or member of the Procurement Committee or member of such other committees of MDEC as part of the procurement process, Bid/Application process and blacklisting process of MDEC or a director on the Board of Directors of MDEC or any other Employee who is directly or indirectly involved in the preparation of the bidding documents or is involved in the bid evaluation process or in the implementation or supervision or operation or enforcement of the Project; or
2. the Supplier submits more than one Bid, either individually or as a joint venture partner in another Bid or where an Immediate Family member of the Supplier or of a Person Associated with the Supplier or a Person Associated with the Supplier, whether directly or indirectly is in another Bid; or
3. the Recipient/Participant submits more than one Application, either individually or as a joint venture partner in another Application or where an Immediate Family member of the Recipient/Participant or of a Person Associated with the Recipient/Participant or a Person Associated with the Recipient/Participant, whether directly or indirectly in another Application.

1. fix prices or terms related to pricing; or
2. engage in any anti-competitive activity; or
3. rig a competitive bidding process; or
4. engage in any money-laundering activity.

For purposes of this Code of Conduct, the following terms and expressions shall have the following meaning save where the context otherwise requires or is separately defined: –

“Application” shall mean an application to MDEC for cash grant or sponsorship or for participation in a programme operated or undertaken by MDEC, as the context may require

“Bid” shall include a tender, proposal in respect of a contract, award or Project.

“Business Dealings” shall include but not limited to: –

1. the supply of goods or services to or by MDEC or the submission for Bids for the supply of goods or services to or by MDEC, whether directly or indirectly;
2. the receipt of cash grants or sponsorship from MDEC; and/or
3. participation in any of the programmes launched or undertaken by MDEC.

“Coercive Practice” shall mean an act which impairs or harms or which threatens to impair or harm, directly or indirectly, any Person or the property of the Person to influence improperly the actions of that Person.

“Collusive Practice” shall mean an arrangement between two or more Persons designed to achieve an improper purpose, including to influence improperly the actions of another Person.

“Complaint” shall have the meaning ascribed to it in Clause 9 above.

“Complainant” shall mean the Person making the Complaint.

“Corrupt Practice” shall mean any act offering, giving, receiving or soliciting, directly or indirectly, any type of Gratification to influence improperly the actions of another Person.

“Employee(s)” shall mean the person(s) engaged by MDEC under an employment contract or contract for services, as the case may be.

“Fraudulent Practice” shall mean any act or omission, including a misrepresentation, that knowingly or recklessly misleads, or attempts to mislead, a Person to obtain a financial or other benefit or to avoid an obligation.

“Gifts” shall mean any gift of a substantial value or of a cash or non-cash nature or the offer of gratuitous services whether actual or potential and whether offered/made directly or indirectly or whether made to an Employee or to his/her Immediate Family. “Gifts” shall exclude any gifts of a festive seasonal nature, which are consumable or a “souvenir” items such as calendars, diaries, desk diaries, which have no monetary value or of low monetary value (less than RM250).

“Gratification” shall mean: –

1. Gifts;
2. any office, dignity, employment, contract of employment or services; and agreement to give employment or render services in any capacity;
3. any payment, release, discharge or liquidation of any loan, obligation or other liability, whether in whole or in part;
4. any valuable consideration of any kind other than Gifts, any discount, commission, rebate, bonus, deduction or percentage;
5. any forbearance to demand any money or money’s worth or valuable thing;
6. any other service or favour of any description, including protection from any penalty or disability incurred or apprehended or from any action or proceedings of a disciplinary, civil or criminal nature, whether or not already instituted and including the exercise or the forbearance from and exercise of any right or any official power or duty; and
7. any offer, undertaking or promise, whether conditional or unconditional, of any gratification, within the meaning of any of the preceding clauses (a) to (f).

“Immediate Family” shall mean: –

1. in respect of a Supplier/Recipient/Participant/Clients who is an individual or a Person Associated with that Supplier/Recipient/Participant/Clients who is an individual for example, a director or an officer or shareholder shall mean the spouse, parent, child (including adopted child or step-child), brother or sister, spouse of his/her child, brother or sister of that individual; and
2. in respect of an Employee or a director or other officer of MDEC shall mean the spouse, parent, child (including adopted child or step-child), brother or sister, spouse of his/her child, brother or sister of that Employee or director or other officer of MDEC.

“Obstructive Practice” shall mean any action which: –

1. deliberately destroys, falsifies, alters or conceals evidence material to the investigation or makes false statements to investigators in order to materially impede the investigation into allegations of a corrupt, fraudulent, coercive or collusive practice and/or threatens, harass or intimidates any Person to prevent it from disclosing its knowledge of matters relevant to the investigations or from pursuing the investigation; or
2. are engaged in acts intending to materially impede the exercise of any inspection and audit rights.

“Participant” shall mean a Person who/which participates in a programme operated or undertaken by MDEC.

“Person” shall mean individuals, firms, partnerships, corporations, organisations, regulatory authorities or public bodies.

“Persons Associated with the Supplier/Recipient/Participant/Clients” shall mean the directors, shareholders, partners, officers or Immediate Family of the Supplier/Recipient/Participant/Clients (if an individual) or the Immediate Family of its directors, shareholders, partners, officers or the agents, sub-consultants, sub-contractor or service providers of the Supplier/Recipient/Participant/Clients.

“Procurement Committee” shall mean the committee within MDEC which is involved in procurement activities including but not limited to the submission of bids.

“Project” shall mean the undertaking, task, job, scheme, plan, development, endeavour, grant, sponsorship, programme, assignment or purpose which is the subject matter of the Business Dealing.

“Recipient” shall mean a recipient of a cash grant or sponsorship from MDEC.

“Senior Management” shall mean Employees holding the post of Director/Head of Division and above.

“Unethical Practice” shall mean the submission by the Supplier/Recipient/Participant/Clients of more than one Bid or Application (whether directly or indirectly), non-disclosure of material or incorrect information in respect of the bid or during a Business Dealing, involvement in price fixing practices (whether in relation to a bid, during the Business Dealing or otherwise), permitting or allowing a conflict of interest situation to arise in a bid or during a Business Dealing which may adversely affect or adversely affects the potential Business Dealing or Business Dealing.

In this Code of Conduct: –

1. words importing the singular include the plural and vice-versa, words importing a gender include every gender.
2. references to Clauses are to clauses in this Code of Conduct. The headings to the Clauses do not affect the interpretation of this Code of Conduct.