Military Procurement Compliance does not end with winning a tender. During the contract execution, the company is obliged to adhere to a wide range of regulations regarding anti-corruption policies, quality standards, reporting, and transparency. Defense agencies conduct constant monitoring, and any misconduct can become grounds for contract termination, fines, or placement on the "Black List." Requirements are particularly strict in projects funded by international donors (e.g., within NATO partnership frameworks). Legal.ge offers compliance services, implying constant legal audits of your company's activities and full harmonization with defense procurement regulations.
What does this service cover?
Our service ensures your business always stays in the "White Zone":
- Regulatory Audit: Checking existing processes for compliance with the Law on State Procurement and internal normative acts of the Ministry of Defense.
- Anti-Corruption Compliance: Prevention of conflict of interest, gift policies, and implementation of a code of ethics within the company.
- Reporting Documentation: Legal structuring of reports to be submitted to state agencies.
- "Black List" Prevention: Identifying risks that could lead to registration in the registry of dishonest suppliers and taking preventive measures.
- Inspection Management: Legal support during inspections by the State Audit Office or the General Inspection of Defense.
- NATO Standards: Consulting on compliance with STANAG (Standardization Agreement) standards if stipulated by the contract.
Common Scenarios and Needs
Compliance services are needed by:
- Long-term Contractors: Companies with multi-year contracts for army supply (food, fuel).
- International Companies: Wishing to ensure their local operations comply with both Georgian and international (FCPA, UK Bribery Act) legislation.
- Subcontractors: Small companies performing work for a major defense contractor and obliged to adhere to the same standards.
Georgian Legal Framework
The field is regulated by the Law on State Procurement, the Law on Conflict of Interest and Corruption, and the General Administrative Code of Georgia. Important are the Normative Acts of the State Procurement Agency regarding the maintenance of the "Black List" and "White List." In the defense sphere, Orders of the Minister of Defense regarding procurement monitoring and control additionally apply.
Step-by-Step Process
The process begins with risk assessment (Due Diligence). The lawyer checks contract terms and actual performance. Internal policy documents (e.g., Code of Ethics) are created. Reporting is done periodically. If a state agency initiates an inspection, the lawyer attends the process and protects the company's interests to avoid sanctions.
Why Legal.ge?
In defense procurement, there is no room for error. Even the smallest misconduct can lead to criminal prosecution or the destruction of business reputation. Legal.ge connects you with compliance officers and lawyers specializing in relations with the public sector, helping you maintain an impeccable reputation and stable contracts.
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