The common rules of origin and cumulation of the Pan-Euro-Mediterranean (PEM) Convention are a central instrument in the facilitation of trade and the integration of supply chains by way of preferential tariff treatment within the PEM zone, which stretches across the European Union to the other 24 contracting parties (EFTA countries, the Faroe Islands, Turkey and the Mediterranean countries of the Western Balkans, North Africa and the Middle East, including some of their neighbouring countries). The Contracting Parties have been negotiating a revision of the convention since 2012, in order for it to better reflect changing economic realities.

Roland M. Stein was one of the speakers of the webinar: The Importance of Compliance Programs in World Bank Projects, hosted by the Brazilian Association of Infrastructure and Basic Industries (ABDIB) on 26 July 2021. The panel also had as key speaker Lisa Miller, Integrity Compliance Officer at The World Bank and as a mediator Thiago Jabor Pinheiro, partner at the Brazilian law firm Mattos Filho.

Roland Stein and Bruno Galvão will be editing a column at the Brazilian legal journal JOTA. JOTA is a leading specialised legal journal in Brazil, with an average of one million readers each month.

As of 1 July 2021, BLOMSTEIN has appointed Florian Wolf as the firm’s first counsel.

Florian Wolf (36) has been an integral part of the BLOMSTEIN team since the firm was founded in spring 2016. He advises international clients on all public procurement and foreign trade issues. Highlights of his public procurement practice to date include advising the successful bidding consortium Kapsch TrafficCom and CTS EVENTIM in the public procurement procedure of the German Federal Ministry of Transport for the collection of car tolls as well as representing German Naval Yards Kiel and FSG in various maritime procurement review proceedings. He has also represented one of the largest European construction companies before various higher regional courts. His foreign trade law practice is characterised by advising various IT, high-tech and industrial companies on sanctions and export control law with regard to the import and export of goods and technology as well as the provision of services abroad.

BLOMSTEIN advised OMR on public procurement law questions regarding the establishment and operation of Germany’s biggest vaccination centre located in Hamburg.

On 4 and 5 March 2021, this year’s Forum Contracting Annual Conference 2021 took place digitally for the first time. BLOMSTEIN partner Roland M. Stein gave a presentation on external audits in the field of energy and electricity tax. A recording of the presentation is now available online.

Blomstein has advised the Allianz for Development and Climate Foundation on a procurement procedure for the selection of an asset manager. The foundation conducted a competitive selection procedure. In accordance with its foundation philosophy, it placed a special focus on sustainable investment strategies and the integration of ESG (Environment, Social, Governance) investment criteria.

In the past years, the Inter-American Development Bank (IDB) and the World Bank have increased their investigations in Brazil, sanctioning two Brazilian construction companies on grounds of corruption in projects financed by them. In 2020, Andrade Gutierrez, one of the companies involved in Operation Car Wash (codenamed Lava Jato), was prohibited from participating in public procurement projects financed by the IDB and the World Bank until the end of 2022. The sanction was reduced due to a Negotiated Resolution Agreement (NRA) with the IDB. Given that an NRA is conditional on presenting relevant information to the IDB, it is expected that Brazil will remain under the IDB’s scrutiny.

With the draft of the Corporate Liability Act (VerSanG), the Federal Government has implemented its long-cherished plan to introduce corporate sanctions. The background to the amendment is that companies currently have their misconduct only sanctioned as an administrative offence. This means, among other things, that authorities have discretion to decide whether to prosecute such misconduct. In addition, the fines that can be imposed under the Administrative Offences Act are capped at 10 million EUR, irrespective of the size of the company.

With the draft of an Association Sanctions Act (VerSanG), the federal government has realised its long-cherished plan to introduce corporate sanctions. The introduction was deemed necessary as currently, companies can only be prosecuted for their misconduct under administrative offences law. This means, inter alia, that the authorities have discretion whether to prosecute such misconduct. In addition, the fines that can be imposed under the Administrative Offences Act are capped at 10 million EUR, no matter how large the company is.