Does your company have an Integrity Policy? If not, you could be facing million-dollar fines - MX

More and more companies are under scrutiny from authorities for potential corruption, fraud, or regulatory violations. If your company doesn't have a formal Integrity Policy in place, you're not only at a competitive disadvantage—you may also be exposed to serious financial sanctions. Did you know this policy can actually help shield your business from liability in legal proceedings? Here’s why implementing one is no longer optional.

What is an Integrity Policy and why is it mandatory?

Following the reform to Mexico’s General Law of Administrative Responsibilities (Ley General de Responsabilidades Administrativas), any legal entity contracting with the government or participating in public tenders must have a comprehensive Integrity Policy in place. However, even if your company doesn’t deal with public entities, implementing such a policy can significantly reduce your exposure to legal liability and reputational damage caused by misconduct from employees, partners, or representatives.

According to Article 25 of the law, a company can only claim to have an effective Integrity Policy if it includes at least the following 7 core elements:

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What happens if you don’t implement one?

Failing to implement a documented, operational, and well-communicated Integrity Policy can lead to serious consequences for your business, including:

• Hefty fines, especially in cases of serious administrative misconduct or corruption
• Joint liability for directors and managers
• Disqualification from public procurement processes
• Loss of investor and client trust
• Internal investigations, audits, and reputational damage

Moreover, in administrative or legal proceedings, having a properly implemented Integrity Policy can serve as a mitigating factor, which means it could reduce or even eliminate certain penalties.

How to implement it with full legal backing

At Singular Law, we offer a full-service Integrity Policy implementation package to ensure your company complies with all legal requirements while using the policy as a strategic risk-prevention tool. Our process includes:

• Legal and compliance risk assessment
• Tailored design of the organizational manual
• Drafting of the Code of Conduct and internal policies
• Establishment of anonymous whistleblower channels
• Training for executives and operational staff
• Hiring policies and background checks
• Guidance on launching and maintaining the system

Everything we deliver is legally grounded and tailored to your company’s operations and structure.

Corporate integrity is not a trend—it’s a legal and strategic necessity. Lacking a formal Integrity Policy exposes you to risks from employees, suppliers, or government regulators. At Singular Law, we help businesses comply with the law and protect themselves from legal and reputational risks. Contact us today to design and implement your company’s Integrity Policy.

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