For a while in UK, there has been an increase in the issues of potential corporation criminalization. In the late 80s and early 90s there have been a series of well documented pitfalls in terms of potentially lethal corporate activity, which brought public attention and highlighting to the legal community the possible use of criminal law in such issues. In September 1997, a debate was held at the University of Glamorgan’s Law School on Issues of Corporate Crime, which was done with the idea of bringing together those who were at the forefront of this debate.
The issue here is whether corporations should be criminalized or not and if they are criminalized then on what basis are they to be acted upon.
This issue today in the corporate world speaks of growing tolerance of individuals towards corporate crime, in the review of 1996 on the Law of Manslaughter, legislating this criminal code was toned down to Law Com 237 - Involuntary Manslaughter.
On a Judicial level it is argued that there is greater corporate liability on the doctrine of elsewhere liability rather than on the identification process. It is also argued that that the identification doctrine needs to be made more detailed on the same matter.
Further to question, if corporations can be blamed as a result of their activities then will criminal law be more appropriate than civil law for these transgressions and if criminalization is preferred then should the corporation by itself be targeted or the individuals who work for it . There are some who argue that criminalization will increase corporate responsibility and reduce wrongdoing.
Today’s courts appear to be particularly short sighted in terms of the practical and social implications of corporate liability. The decisions made in the courts have drawn analogies between humans who act as the board of directors and corporate entities. Here recognitions may need to be given to the collective thought and morality of the board, which may be unique, and not exactly the idea of just one member.
Finally if corporations are to be subject to criminal law, then there should be an appropriate system in place to pass the sentence. Passing a sentence cannot be considered separate from this argument. According to the current regime, there is a need to recognize a rational feature in corporate life in the light of any penal response. Currently sentencing is approached, in terms on corporations paying a fine. Hence it would be even beneficial if financial incentives could be provided, not only for corporations that comply with the standards but also if they report their own violations by policing their activities proactively.


In case that a company does not have enough funds to pay their employees, an exclusive insolvency agreement is made according to the Insolvency Act 1986. Basically, the law deals with the insolvency of individuals and companies in the