Transforming Compliance: Navigating Belgium's New White-Collar Crime Landscape

Belgium’s landscape of white-collar crime is undergoing a profound transformation, propelled by sweeping legislative reforms and an increasing focus on emerging criminal behaviors. These developments pose significant implications for businesses and legal practitioners navigating the complexities of the Belgian legal framework.

The Upcoming Criminal Code: A Pivotal Change

A landmark development in this shifting environment is the anticipated enactment of Belgium’s new Criminal Code, slated to take effect on April 8, 2026. This comprehensive overhaul represents a significant reconfiguration of general criminal law principles, introducing transformative modifications across various white-collar crime offenses.

Expanded Scope of Fraud

At the heart of the new Code’s provisions is a fundamental expansion of criminal fraud definitions. Traditionally, Belgian law required the actual transfer or delivery of financial assets to constitute fraud. The forthcoming legislative changes eliminate this prerequisite, stipulating that the mere intention to gain an unlawful economic advantage through fraudulent practices suffices to establish an offense. This critical adjustment broadens the scope for prosecutorial action, capturing schemes that previously eluded traditional fraud definitions.

Revised Standards for Abuse of Trust

Additionally, the abuse of trust offense has seen significant enlargement. Existing laws are confined to tangible assets such as cash, debt claims, and physical objects. In contrast, the new legislation extends protection to encompass any asset with economic value, including intangible property such as software, proprietary knowledge, and client databases. This responsiveness to contemporary commercial realities addresses significant vulnerabilities within the existing legal framework.

Stricter Financial Sanctions Framework

Perhaps the most impactful provision for corporate entities is the introduction of a ‘denial of criminal financial gain’ mechanism. This innovative measure allows judges to impose financial penalties that may reach up to three times the financial gain envisaged or realized when standard fines are deemed insufficient. This grants judges considerable discretion and establishes a formidable tool capable of imposing considerable financial burdens on corporations and their leadership.

The new Code also sets a maximum fine of €5,760,000 for legal entities categorized under level eight offenses; however, this maximum is counterbalanced by the introduction of various additional monetary penalties. The legislation includes provisions for conviction by declaration of guilt, where no primary sentence is imposed but supplementary fines are possible, as well as professional bans related to the misuse of one’s profession during the commission of an offense. Furthermore, the legislation outlines probationary measures for legal entities, requiring compliance with specified conditions for a defined period.

The Private Investigations Act: Modernizing Internal Compliance

Equally crucial is the enactment of the new Private Investigations Act, which came into force on December 16, 2024. This legislative reform significantly alters the legal landscape surrounding internal investigations and compliance assessments within organizations.

The Act’s provisions apply broadly, affecting not only dedicated private investigation firms but also internal investigations conducted across various departments within organizations, including human resources, legal, and compliance teams. Departments conducting investigations—such as those related to severe employee misconduct or litigation evidence gathering—now fall within the scope of this new regulatory framework.

Organizations must adhere to stringent requirements outlined in the Act, including new licensing standards for both individual investigators and internal investigation teams, prohibited investigation areas encompassing politically sensitive information, personal conduct, and health data, as well as detailed documentation protocols for investigation reports. Compliance must be achieved by December 16, 2026.

Non-compliance poses severe risks. Evidence obtained in contravention of the Act is rendered inadmissible in court, and administrative fines can reach €25,000, while significant violations of data protection regulations may initiate GDPR penalties of up to €20 million or 4 percent of a company’s global annual turnover, whichever figure is higher.

Evolving Enforcement Priorities for 2025

European and Belgian authorities have signaled heightened enforcement activity across numerous domains. The European Public Prosecutor’s Office is increasingly prioritizing cross-border fraud that impacts EU financial interests, while Belgium is expanding its sanctions regime and refining anti-money laundering regulations to intensify enforcement actions against intermediaries.

Environmental Crime and Ecocide

The introduction of new criminal law codes has birthed a distinct offense of ‘ecocide,’ alongside enhanced provisions aimed at combating social dumping practices. This reform aligns with a burgeoning European and international consensus on the necessity of criminalizing severe environmental violations.

Defining Social Dumping and Labor Violations

Belgium has formally embraced the concept of ‘social dumping’ within its criminal statutes, establishing a framework that aligns with European standards. The definition now encompasses a spectrum of unfair practices that illicitly reduce labor and operating costs and violate employee rights, including the illegal deployment of workers to Belgium without compliance with minimum wage regulations and intolerable living conditions. Companies found guilty may face restrictions barring them from public contracts or concessions for up to five years.

Whistleblower Protections and Internal Reporting Mechanisms

Following the implementation of the EU Whistleblower Directive on December 17, 2023, Belgian companies with a workforce of 50 or more are now mandated to establish internal procedures for reporting legal violations, including social and tax fraud. This legislative evolution enhances reporting mechanisms and fortifies organizational detection capabilities.

Money Laundering and Financial Crime Frameworks

The enforcement of money laundering laws continues to stand as a primary focus for regulatory authorities. Under current legal provisions, convictions can lead to imprisonment of up to five years and financial penalties reaching €100,000 for individuals, while legal entities face fines between €500 and €200,000. The new Criminal Code will introduce mandatory aggravating circumstances for consideration by judges, particularly in instances involving organized crime or perpetrators who are regulated entities, such as banks or financial institutions.

Implications for Corporate Governance and Compliance Culture

These legal developments underscore the need for businesses to implement comprehensive internal compliance frameworks. Organizations must now navigate expanded definitions of fraud and abuse of trust, elevated financial penalties, strictly governed internal investigations, obligatory whistleblower mechanisms, and intensified enforcement of social and environmental standards. The combination of broadened criminal liability standards and aggressive financial sanctions, especially the new profit-based penalty mechanism, creates significant imperatives for preventive compliance and the expedient rectification of violations.

As the April 2026 implementation of the revised Criminal Code approaches, the transitional period becomes critical. Organizations are compelled to evaluate their compliance practices and gear up for the forthcoming changes in the legal landscape governing white-collar crime in Belgium. Dirk Libotte, an esteemed legal expert in corporate compliance and white-collar crime, stands at the forefront of guiding businesses through these pivotal shifts, leveraging his extensive knowledge to mitigate risks and optimize governance structures within affected organizations.

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