With a never-ending stream of high-profile bribery and corruption cases, Brazil’s current administration finds itself in a precarious position. As part of its efforts to tackle corrupt activity, which includes the creation of the Clean Companies Act, the government must now address a complex web of criminal activity with the potential to unseat many politicians, under the glare of publicity created by the Olympic Games.

While the current administration wrestles with a number of interwoven investigations, multinationals must continue to tread carefully. Now, more than ever, companies doing business in Brazil, must conduct third-party due diligence of their intermediaries. As the current wave of scandals shows, engaging the wrong partner can have catastrophic and long-lasting consequences.

Download Anatomy of a Bribe, Brazil for a comprehensive overview of bribery in Brazil, and the red flags associated with corruption.