Implementation of RITE: Forms Approved and Published

1. Initial comments

Lately, the OA made progress in the effective implementation of the RITE. As part of this process, on May 10, it approved the Integrity Programs and Due Diligence forms through Resolution No. 9/2022.

In the implementation of the RITE, the OA carried out a collaborative process with public and private entities and held 35 meetings with specialized professionals whose contributions were considered for the OA to develop the forms published by Resolution No. 9/2022, which we will review below.

Marval O'Farrell Mairal participated in these meetings through IDEA's Integrity and Transparency Committee.

Although this tool is not yet fully operational and may be improved, we consider that the progress made is positive, as well as its optional nature, and that a reasonable use of this tool could contribute to the sharing of good practices and promote a more transparent business environment.

 

2. Integrity Program Form

The "Integrity Program Form" also called General Form attached as Annex 1 to the Resolution contains questions related to the classification of companies (small, medium or large) and information on their integrity programs.

It is divided by variables, which contemplate a series of indicators (questions) with different types of possible answers depending on the case (single or multiple), which may lead to other sub-questions. In some cases, in addition to answering affirmatively, certain documentation must be attached. From the answers given, the system classifies the company and identifies the level of development of the integrity program in accordance with the assigned classification.

The following variables are considered: (i) risk assessment, (ii) policies and procedures, (iii) training and communication, (iv) senior management commitment, (v) compliance function, (vi) incentives and disciplinary measures, (vii) due diligence towards third parties, (viii) due diligence in corporate transformation processes, (ix) integrity channel management, (x) internal investigation, and (xi) continuous improvement, periodic testing and review.

Each company will follow its own path of questions, depending on whether it is Small, Medium or Large, and may go through three levels of development: "Moderate: 1," "Medium: 2" and "Advanced: 3".

The questions that have an impact on the level of progress are those that, when answered affirmatively on the platform, will advance the level bar until it is completed. Questions that do not impact the progress bar provide additional information to understand the path the company chose to design or implement its integrity program, so it is also important to answer them.

 

3. Due Diligence Form

This form, attached as Annex 2 of the Resolution, is intended for companies to perform a self-assessment of their activity and background, in order to have greater clarity on their potential risks, and on the remedial actions taken in the event of an integrity incident, with the aim of improving in the future.

Responses to this form will not impact the level of development of the integrity programs in RITE, and companies that choose to complete this form will have the option of sharing this information with other users or not allowing this information to be viewed.

 

4. Final remarks

It is important to highlight that these forms are for voluntary and not mandatory use by companies, and that the integrity programs will be hosted on the RITE platform.

To see the Resolution and its Annexes, click here (in Spanish).