Whistleblowing

What is the purpose of the new legislation

The purpose of the legislation is to protect persons who, in connection with the performance of their work or similar activity, become aware of unlawful conduct and report such conduct through an internal or external reporting system.    

WHAT CAN CONSTITUTE UNLAWFUL CONDUCT 

Unlawful conduct includes conduct which: 

• shows the characteristics of a criminal offence,
• shows the characteristics of an administrative infraction for which a fine of at least CZK 100 000 may be imposed,
• violates the Whistleblower Protection Act, and/or
• violates another legal regulation or a regulation of the European Union.

Who can report and when 

Any natural person who has become aware of unlawful conduct in connection with the performance of their work or similar activity can report such conduct. A report can be channelled at any time when the whistleblower becomes aware that an unlawful act has been committed, may have been committed or may possibly be committed. 

NOTICE: SILON management does not investigate anonymous reports.   

WHAT ARE THE EMPLOYER´S OBLIGATIONS ACCORDING TO THE NEW LEGISLATION

Employers (referred to as “obliged entities” for the purposes of this Act) are required to:

• implement an internal reporting system,
• appoint a competent person responsible for the fulfilment of the obligations by the obliged entities, and  
• enable whistleblowers to report through the implemented internal reporting system. 

As of 1 August 2023, the new legislation applies to the following legal entities within the SILON Group: 

• SILON CZ s.r.o.
• SILON CZ Estate s.r.o.
• SILON s.r.o.

as well as to other legal entities of the SILON Group: based in the Czech Republic that may be established after that date.   

Reporting systems

The internal and/or external reporting system maintained by the Ministry of Justice can be used for reporting. 

The INTERNAL REPORTING SYSTEM is an internal communication channel of the obliged entity, which enables the reporting of unlawful conduct and, at the same time, ensures the confidentiality of the information provided, the protection of both the whistleblower and the reported person and their personal data. It can be used to channel a report in the following ways:

Electronically via the web interface at https://oznameni.silon.eu

When the address is entered in the address bar, the application opens and the whistleblower submits the report. After sending the report, the whistleblower will receive an email confirming receipt of the report as well as a unique password that will allow the whistleblower to re-enter the application to monitor the status of the report.  

In writing to: SILON CZ s.r.o., Průmyslová 451, Planá nad Lužnicí, 391 02

On the envelope, the whistleblower will indicate REPORT – DO NOT OPEN. The letter marked in this way will not be opened at the company’s mailroom and will be handed over to the competent person for processing.  

Orally on the basis of a personal interview (upon prior telephone or written agreement). In this case, the competent person will draw up a written record of the report. The whistleblower will be given the opportunity to comment on this record, and their comments shall be attached to the record. After the record has been drawn up, the competent person shall give the whistleblower copies of the record and of the whistleblower’s comments. 

In the case of a written or oral report, the competent person will convert the report and related documents into electronic form and upload them into the software application used to record and archive the reports received.

The EXTERNAL REPORTING SYSTEM operated by the Ministry of Justice is accessible at https://oznamovatel.justice.cz/chci-podat-oznameni/.

Time limits for dealing with reports and archiving reports

• the time limit for written acknowledgement of receipt a received report: 7 days after receipt of the report
• the time limit for assessing the validity of the report and informing the whistleblower of the assessment outcome: 30 days after receipt of the report. In more complex cases, the time limit may be extended to 60 days. Reports must be archived for 5 years.

Contents of the report

A report should contain at least the basic information to enable an effective investigation of the case, i.e. in particular: 

• name of the company (trade name) to which the report relates,
• a specific description of the unlawful conduct,
• contact details of the whistleblower, i.e. name, surname and date of birth or other data from which the identity of the whistleblower can be inferred, and
• any supporting information relating to the report (documents confirming the whistleblower’s attitude to possible unlawful conduct).

Reporting false information

A report can be made even if the whistleblower is not sure whether the situation being reported is actually an offence or an administrative infraction. Upon receipt of the report, the content of the report is carefully examined and, if the reported situation does not constitute unlawful conduct, it is excluded from further processing. However, knowingly reporting false facts is an administrative infraction for which a fine of up to CZK 50 000 may be imposed, or such conduct may constitute a criminal offence.

Retaliation

The obliged entity will ensure that the whistleblower is protected from possible retaliation. Retaliation means conduct in connection with the whistleblower’s work or other similar activity, which is triggered by the reporting and which may cause harm to the whistleblower in particular. In practice, this may include, for example, termination of employment, removal from a managerial position, reduction in pay, etc.

Protection also applies to:

• persons, who have provided assistance in identifying the information contained in the report, channelling the report or assessing its validity,
• persons, who are close to the whistleblower,
• persons, who are an employee or colleague of the whistleblower,
• persons, for whom the whistleblower performs work or other similar activity,
• a legal entity, in which the whistleblower has a share, a controlling person, a controlled person or a person controlled by the same controlling person,
• a legal entity, of which the whistleblower is a member of an elected body, a controlling person, a controlled person or a person controlled by the same controlling person.