What is a Security Measure Regarding Legal Entities (TCK 111)? Conditions and Consequences

TCK 111, as a result of the commission of certain offenses if an unfair benefit has been provided in favor of the legal entity, for the legal entity "security measures specific to legal entities" governs that they may be applied.

The important distinction here is:

• Legal entities are not subject to criminal penalties (e.g., imprisonment).
• However, in cases explicitly stipulated by law, a security measure may be imposed.

Which Crimes Are Associated with TCK 111?

TCK 111 aims to ensure the provision of if an unfair benefit has been provided as a result of the commission of the following offenses:

1) Threat

Actions that can be summarized as coercing a person into a certain behavior or creating fear through intimidation.

2) Blackmail

Exercising pressure to compel a person to provide a specific benefit.

3) Coercion (Force)

Compelling a person to do or not to do something through the use of physical force.

4) Deprivation of Liberty

Unlawfully detaining a person in a place or preventing them from going to a place.

Why these crimes?

Since these offenses frequently arise in practice within the context of business world / corporate activities with the motivation of "obtaining benefits", the legislator has also stipulated measures against legal entities in the event that a benefit is provided for the benefit of the legal entity.

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What Does "Legal Entity" Mean? Who Falls Within the Scope?

The legal entities referred to in Article 111 of the TCK predominantly include in practice:

• Companies (Joint Stock Co., Ltd. Co., etc.)
• Associations
• Foundations
• Cooperatives
• Other private law legal entities

may be.

 What Are the "Security Measures Specific to Legal Entities"?

TCK 111 refers to "security measures specific to these." In practice, this expression Security measures within the scope of TCK Art. 60 is evaluated together with.

Court of Cassation precedents summarize the framework of TCK m.60 as follows:

• For private law legal entities operating based on the permission of a public institution, if the conditions are met revocation of the permit
• Furthermore, of the provisions regarding confiscation (particularly proceeds of crime / property) being applicable also with respect to legal entities
• In certain cases, the judge may refrain from ruling on a security measure if it would entail "more severe consequences" relative to the act committed

What does TCK 111 provide in practice?

• While criminal proceedings are being conducted against the individual perpetrator,
• If the crime for the benefit of the legal entity committed,
• Also with respect to the legal entity, revocation of license / confiscation such security measures may come into question.

Frequently Asked Questions (FAQ)

1) What is a security measure regarding legal entities (TCK Art. 111)?

As a result of the offense of threat, extortion, coercion, or deprivation of liberty unjust benefit for the benefit of the legal entity in favor of the legal entity, for the legal entity security measures specific to legal entities is the provision governing their applicability.

2) Can the company receive a criminal penalty?

As a rule in Turkish criminal law, criminal sanctions cannot be imposed on legal entities. However, in cases prescribed by law, a security measure they may be applied (this principle is also emphasized in Court of Cassation decisions).

3) For TCK 111, must it "necessarily be committed by a company executive"?

The text of TCK 111 focuses on the criterion of "providing unjust benefit in favor of the legal entity." In practice, discussions regarding measures mostly arise in allegations that the act was committed within the scope of the company's activity/organization and in favor of the company. In the specific case, the perpetrator's relationship with the company (organ/representative/employee/subcontractor) and the connection to the benefit are important.

4) How is "unjust benefit" proven?

Generally:

• money/transfer records,
• contract and invoice flow,
• messages, e-mails,
• camera footage,
• witness statements,
• internal company instructions,
• are debated over evidence such as the tangible economic advantage obtained by the company after the crime.

5) What are the applicable security measures?

In practice, TCK Article 111 is mostly evaluated together with the measures set forth in TCK Article 60. In the rulings of the Court of Cassation (Yargıtay), the framework for its applicability, particularly revocation of the permit and of the provisions regarding confiscation regarding legal entities, is explained.

6) Is the judge obliged to impose a security measure in every case?

Within the framework set forth by the Court of Cassation (Yargıtay), it is possible for the judge not to rule on a security measure in certain cases where the measure may entail excessively severe consequences relative to the act (discussed within the systematic of TCK Article 60).

Conclusion / Summary

• TCK 111, as a result of the crimes of threat, blackmail, coercion, or deprivation of liberty, unjust benefit for the benefit of the legal entity in favor of the legal entity, for the legal entity security measures regulates their application.
• As a rule, it is not possible to impose "penalties" such as imprisonment/judicial fines on legal entities; however, security measures stipulated by law may be imposed.
• The most critical threshold: "Unfair benefit" in favor of the legal entity is the ability to prove this element in the specific case. If this element is absent, the application of TCK 111 becomes highly debatable.

Atty. Batın YILMAZ