Foreign bribery laws to face scrutiny

A Senate committee will continue its investigation of foreign bribery and whether Australian laws are adequate, with hearings in Sydney on Friday.

Many say they're not.

The International Bar Association, which is to give evidence at the hearings to be held in NSW parliament, says the situation in Australia was very mixed and could be substantially improved over many areas.

Foreign bribery laws were introduced in 1999 with the first prosecution launched in 2011 and the second only last year. Many more cases are under investigation.

Also giving evidence will be the Australian Federal Police and the Australian Securities and Investments Commission.

Among those making submissions is Fairfax investigative reporter Nick McKenzie who said Australia was facing a major corruption problem involving companies and organisations paying bribes to win contracts overseas.

"The two dozen or so foreign bribery cases involving Australian companies being investigated by the Australian Federal Police represent just a fraction of the actual bribery occurring," he said in his submission.

Equally concerning is the fact that most of the cases under investigation have not produced a prosecution, he said.

"Put simply, those strongly suspected of corruption by police have so far gotten away with it," he said.

In its submission, business consultancy firm KordaMentha said Australia's foreign bribery legislation has been in need of an urgent makeover for some time.

"Australia's low levels of enforcement and its apparent inability to commit to a co-ordinated enforcement approach have been openly and firmly criticised by the OECD," it said.