Involved in the Oil Industry? How Well Do You Know Your Risk of Corruption?

Since the Iranian Nuclear Deal lifted sanctions, many people throughout the country have been looking for potential channels of revenue. In a land in which the oil industry alone is estimated to be well over 100 billion dollars, these lifted sanctions have promised to revitalize the struggling economy.

There are however those who remain cautious about companies jumping back into business in the region. The Iranian Oil Minister, Bijan Zanganeh, has been concerned about “industry middlemen” that have been ravaging oil contracts for quite awhile. According to an article published by Yahoo! News, the minister was quoted as saying, “I recommend foreign companies stay away from these corrupt individuals," he further stated that the corrupt individuals know nothing but "deceitfulness".

This has come at a time where Iran is starting to become a viable source of oil once again. The Iranian government is expected to hold a conference in Tehran from November 21st to November 22nd to showcase revitalized contract terms in an attempt to win back foreign company interests, according to Yahoo! News.

At this point in time, the financial uncertainty that Iran feels is also shared by major companies such as Shell. While the sanctions have been lifted, many industries are wary of jumping back into business with Iran. Adding to this uncertainty, was the rash of recent corruption scandals in the oil industry that the oil minister has been addressing to resolve.

Corruption issues are a major source of image jeopardization for companies and governments alike. This can disrupt supply chains by halting production and leading to losses in revenue and social favor. To find out how Source Intelligence can help you safeguard against such disastrous consequences, click here.