AN ENGLISH COURSE FOR STUDENTS OF FINANCE. Учебно-методический комплекс

Reading Training for Additional Practice

accounts in Switzerland. The company rejected these allegations and they were later withdrawn. Nevertheless, at this time, there were people in the motor industry in Britain who were prepared to say in private: 'Look, we're in a wheeling-dealing business. Every year we're selling more than a £1,000 million worth of cars abroad. If we spend a few million greasing the palms of some of the buyers, who's hurt? If we didn't do it, someone else would'.

It is difficult to resist the impression that bribery and other questionable payments are on the increase. Indeed, they seem to have become a fact of commercial life. To take just one example, the Chrysler Corporation, third largest of the US motor manufacturers, disclosed that it made questionable payments of more than $2.5 million between 1971 and 1976. By making this revelation, it joined more than 300 US companies who had admitted to the US Securities and Exchange Commission that they had made dubious payments of one kind or another — bribes, facilitating payments, extra discounts, etc. — in recent years. For discussion purposes, we can divide these payments into three broad categories.

The first category consists of substantial payments made for political purposes or to secure major contracts. For example, the US conglomerate ITT (International Telephone and Telegraph Corporation) offered a large sum of money in support of a US presidential candidate at a time when it was under investigation for possible violations of the US anti-trust law. This same company, it was revealed, was ready to finance efforts to overthrow the Marxist government of Chile whose President was Salvadore Allende.

In this category, we may also include large payments made to ruling families or their close advisers in order to secure arms sales or major petrochemical and construction contracts. In a court case involving an arms deal with Iran, a witness claimed that £1 million had been paid by a British company to a 'go-between' who helped clinch a deal for the supply of tanks to that country. Other countries have also been known to put pressure on foreign companies to make donations to party funds.

The second category covers payments made to obtain quicker official approval of some project; to speed up the wheels of bu-

171

AN ENGLISH COURSE FOR STUDENTS OF FINANCE

reaucracy. An interesting example of this kind of payment is provided by the story of a sales manager who had been trying for some months to sell road machinery to the Minister of Works of a Caribbean country. Finally, he hit upon the answer. Discovering that the minister was a bibliophile, he bought a rare edition of a book, slipped $20,000 within its pages, then presented it to the minister. This man examined its contents, then said: 'I understand there is a two-volume edition of this work. The sales manager, who was quick-witted, replied: 'My company cannot afford a twovolume edition, sir, but we could offer you a copy with an appendix!' A short time later, the deal was approved.

The third category involves payments made in countries where it is traditional to pay people to facilitate the passage of a business deal. Some Middle East countries would be included on this list, as well as certain Far Eastern countries.

The payment may be made by a foreign company to ensure a tender is put on a selective contract list or the company may pay so that an import licence for essential equipment is approved. Sometimes an expensive gift may be necessary to soften up a government official.

A common type in this category is the 'facilitating payment'

— usually a smaller sum of money — made to certain customs officials to clear cargoes. One businessman has told the story of a delivery of 10,000 bottles of sterile penicillin at the airport of a Far Eastern country. It was apparently customary to pay customs officials about $250 upon arrival of each shipment to 'get them out of the sun'. In this case, the company was not prepared to make such a payment, so no money changed hands. The Minister of Health of that nation then ordered that each phial be opened for inspection, thereby destroying the whole shipment.

Is it possible to formulate a code of rules for companies which would outlaw bribery in all its forms? The International Chambers of Commerce (ICC) favours a code of conduct which would ban the giving and seeking of bribes. This code would try to distinguish between commissions paid for real services and padded fees. A council has been proposed to administer the code.

172

Reading Training for Additional Practice

Unfortunately, opinions differ among members of the ICC concerning how to enforce the code. The British members, led by Lord Shawcross, would like the system to have enough legal teeth to make companies behave themselves. 'It's no using having a dog without teeth', they argue. However, the French delegates think it is the business of governments to make and impose law; the job of a business community like the ICC is to say what is right and wrong, but not to impose anything.

In a well-known British newspaper, a writer argued recently that 'industry is caught in a web of bribery' and that everyone is 'on the take'. This is probably an exaggeration. However, today's businessman, selling in overseas markets, will frequently meet situations where it is difficult to square his business interests with his moral conscience.

Language Notes

Taking business courses: a person takes, follows or goes on a course of study.

Break into a market: one could also say get a foothold in.

Stand by your principles: stick to or maintain your high standards of behaviour.

Slush fund: a fund used to make illegal or questionable payments. Slush is literally melting – often dirty - snow.

Padded commissions: commissions which are in excess of the normal or 'going' rate.

Greasing the palms: paying bribes.

Clinch a deal: conclude a deal successfully. On the take: receiving bribes.

Square with: reconcile; equate with.

173

Final Test to Blocks

16. fixed assets 5. Claim against the assets of a business.

6.Anything of value owned or leased by a business.

7.Relatively permanent assets expected to be used for periods.

8.Expenses incurred in marketing and distributing goods and services.

Ккаждому английскому слову подберите русский эквива-

AN ENGLISH COURSE FOR STUDENTS OF FINANCE

Выберите из правой колонки существительное, которое может следовать за данным глаголом.

Выберите из каждой строчки два слова, наиболее близкие по значению

Выберите правильный перевод данного термина

46. capital losses а) капитальныепотери в) убытки капитала с) убыточныйкапитал

176

Подберите к нижеследующимопределениям термины.

a) cash card b) cash dispenser с) credit card d) home banking e) loan. f) mortgage g) overdraft h) standing order i) current account j) deposit account

50. an arrangement by which a customer can withdraw more from a bank account than has been deposited in it, up to an agreed limit.

51.a card which guarantees payment for goods and services purchased by the cardholder, who pays back the bank or finance company at a later date.

52.a computerized machine that allows bank customers to withdraw money, check their balance, and so on.

53.a fixed sum of money on which interest is paid, lent for a fixed period, and usually for a specific purpose.

54.an instruction to a bank to pay fixed sums of money to certain people or organizations at stated times.

55.a loan, usually to buy property, which serves as a security for the loan a plastic card issued to bank customers for use in cash dispensers.

56.doing banking transactions by telephone or from one's own personal computer. linked to the bank via a network.

57.one that generally pays little or no interest, but allows the holder to withdraw his or her cash without any restrictions.

58.one that pays interest, but usually cannot be used for paying cheques and on which notice is often required to withdraw money.

177

AN ENGLISH COURSE FOR STUDENTS OF FINANCE

Grammar

Выберите форму глагола, соответствующую данным предложениям.

1. While I.... the loan application somebody knocked at the door.

1. filled 2. have filled 3. has filling 4. was filling

2.We would have helped you with a loan if we .... you were in trouble

1.knew 2. have known 3. would know 4. had known.

3.Several problems about mortgage ... .by the committee yesterday.

1.were considered 2. considered 3. will consider 4. consider

4.She .... angry when she heard the news.

1.must be 2. must have been 3. should be 4. must to have been.

5.He said he .... bank statement.

1.has already received 2. had already received 3. already received 4. has already receiving.

6.There is .... you can do about it. It's hopeless.

1.something 2. anything 3. none 4. nothing

7.I hope .... a bank in this street.

1.there are 2. it is 3. there is 4. its

8.She ... money a moment ago.

1.had withdrawn 2. withdrew 3. has withdrawn 4. was withdrawn

9.It's already late and there is .... in the bank to solve your problem.

1.nothing 2. anybody 3. nobody 4. none.

10.A new branch .... opened in a month

1.had been 2. will have been 3. has 4. will be.

178

Final Test to Blocks

Выберите русское предложение, наиболее точно соот- ветствующее по смыслу английскому предложению.

11.This bank manager is known to have collected very interesting

material.

1.Этот банкир знал, что необходимо собрать очень интересный материал.

2.Этот известный банкир собрал очень интересный материал.

3.Известно, что этот банкир собрал очень интересный материал.

12.We want you to sign the contract immediately.

1.Мы хотим, чтобы контракт был подписан немедлен- но.

2.Мы хотим, чтобы вы подписали контракт немедлен- но.

3.Мы хотим подписать с вами контракт немедленно.

13. He,isn't likely to speak openly.

1.Вряд ли он говорил откровенно.

2.Он не любит говорить откровенно.

3.Вряд ли он будет говорить откровенно.

14. I'd like the results of your money investment to be presented at the conference in London.

1.Я бы хотел представить ваши результаты по инве- стициям на конференции в Лондоне.

2.Я бы хотел, чтобы результаты ваших инвестиций были представлены на конференции в Лондоне.

3.Я бы хотел, чтобы вы представили результаты по ин- вестициям на конференции в Лондоне.

179

AN ENGLISH COURSE FOR STUDENTS OF FINANCE

Glossary

This glossary explains how the words are used

in this book although they may have other meanings