Learn when foreign business owners, shareholders, directors, and managers may face personal criminal liability for corporate crimes in Turkey, available defenses, and legal protections.

Foreign investors frequently establish companies, subsidiaries, representative offices, and joint ventures in Turkey. While Turkish company law generally recognizes the separate legal personality of corporations, criminal liability does not always remain limited to the company itself. Directors, shareholders, managers, and foreign business owners may, under certain circumstances, face personal criminal investigations.

Understanding when personal liability arises is essential for protecting both individual assets and commercial investments.

This guide explains when a foreign business owner may be personally liable for corporate crimes in Turkey and how to minimize legal risks in 2026.

Does Turkey Recognize Corporate Criminal Liability?

Under Turkish criminal law, criminal liability is primarily personal.

This means that individuals—not companies—are generally held criminally responsible for criminal offences.

However, companies may still face legal consequences such as:

• Security measures
• Asset confiscation
• License cancellation
• Business restrictions
• Administrative sanctions

Meanwhile, responsible individuals may face criminal prosecution.

Can a Foreign Business Owner Be Prosecuted?

Yes.

Foreign business owners may become personally liable if prosecutors believe they:

• Personally committed a criminal offence
• Ordered illegal conduct
• Approved unlawful transactions
• Knowingly participated in criminal activities
• Assisted criminal conduct
• Failed to prevent offences where legally responsible

Ownership alone is not sufficient to establish criminal liability.

Does Being a Shareholder Automatically Create Liability?

No.

Simply owning shares in a Turkish company does not automatically make a shareholder criminally responsible for corporate misconduct.

Prosecutors generally must establish an individual’s own criminal conduct or legal responsibility.

Can Company Directors Be Personally Liable?

Yes.

Directors have greater exposure because they often:

• Manage company operations
• Sign contracts
• Approve financial transactions
• Supervise employees
• Make compliance decisions

Their conduct is therefore more likely to be examined during criminal investigations.

Can General Managers Face Criminal Charges?

Yes.

General managers and executives may be investigated where they allegedly:

• Authorized illegal transactions
• Concealed criminal conduct
• Failed to comply with legal obligations
• Participated in fraudulent schemes

Responsibility depends on the facts of each case.

Which Corporate Crimes Commonly Lead to Personal Liability?

Common investigations include:

• Tax fraud
• Customs offences
• Money laundering
• Commercial fraud
• Bribery
• Corruption
• Accounting fraud
• Bankruptcy offences
• Environmental crimes
• Consumer protection offences
• Cybercrime
• Intellectual property crimes

Large corporate investigations often involve multiple individuals.

Can Foreign Investors Be Investigated Even If They Live Abroad?

Yes.

Foreign residence does not automatically prevent Turkish prosecutors from opening criminal investigations where alleged offences relate to activities carried out in Turkey.

International cooperation mechanisms may also be used in cross-border investigations.

Can a Director Be Liable for Employee Misconduct?

Not automatically.

A director is not criminally responsible merely because an employee committed an offence.

However, liability may arise where prosecutors allege that the director:

• Ordered the offence
• Approved the conduct
• Knowingly ignored illegal activities
• Participated in the criminal scheme

Each case requires an individual assessment.

Can Personal Assets Be Seized?

Potentially.

During criminal investigations, authorities may seek to freeze or seize personal assets where legal requirements are satisfied.

Possible measures may affect:

• Bank accounts
• Real estate
• Vehicles
• Company shares
• Cryptocurrency
• Investment accounts

Such measures are subject to judicial review.

What Evidence Do Prosecutors Examine?

Investigators frequently review:

• Company records
• Emails
• Financial statements
• Accounting books
• Contracts
• Bank transfers
• Board resolutions
• Digital communications
• Internal correspondence

Electronic evidence often plays a significant role.

What Defenses Are Available?

Possible defenses may include:

• Lack of personal involvement
• Absence of criminal intent
• Compliance with legal obligations
• Good faith reliance on professional advice
• Insufficient evidence
• Procedural violations
• Lack of authority over the alleged conduct

The appropriate defense strategy depends on the specific allegations.

Can Foreign Owners Leave Turkey During an Investigation?

This depends on the circumstances.

Some investigations may involve:

• Judicial control measures
• Travel restrictions
• Passport-related measures

Others may proceed without limiting international travel.

Each case should be evaluated individually.

What Happens If the Company Is Acquitted?

If no criminal offence is ultimately established, responsible individuals may also benefit from the outcome.

However, each person’s liability is assessed independently based on the available evidence.

Can a Criminal Investigation Affect Business Operations?

Yes.

Investigations may result in:

• Frozen bank accounts
• Asset seizure
• Customs delays
• Regulatory inspections
• Commercial disruption
• Reputational damage

Prompt legal representation can help minimize operational risks.

How Can Foreign Companies Reduce Criminal Risk?

Effective compliance measures include:

• Internal compliance programs
• Anti-corruption policies
• Employee training
• Financial audits
• Customs compliance
• Tax compliance
• Data protection procedures
• Internal reporting systems
• Legal due diligence

Preventive compliance significantly reduces exposure to criminal investigations.

How Can a Criminal Defense Lawyer Help?

An experienced lawyer can:

• Represent directors and shareholders
• Attend police interviews
• Challenge seizure and freezing orders
• Protect company operations
• Coordinate internal investigations
• Advise on regulatory compliance
• Defend foreign investors before prosecutors and criminal courts
• Develop an effective defense strategy from the earliest stage

Early legal advice is often critical in reducing both personal and corporate risks.

Frequently Asked Questions (FAQ)

1. Can a foreign shareholder be criminally liable in Turkey?

Not merely because of share ownership. Prosecutors must establish personal involvement or another legal basis for liability.

2. Can company directors be prosecuted?

Yes. Directors may face criminal liability if they personally participate in or authorize criminal conduct.

3. Can personal bank accounts be frozen?

Yes. Personal assets may be frozen where legal requirements are satisfied.

4. Can foreign investors be investigated while living abroad?

Yes. Turkish authorities may investigate offences connected with activities in Turkey, even if the individual resides overseas.

5. Does corporate criminal liability automatically extend to owners?

No. Turkish criminal law is based on the principle of personal criminal responsibility.

6. Can employee misconduct create director liability?

Not automatically. Liability generally requires personal involvement, authorization, or another legally recognized basis.

7. Can compliance programs reduce criminal risk?

Yes. Strong corporate compliance systems often help prevent violations and demonstrate good governance.

8. Should foreign business owners seek legal advice immediately?

Yes. Early legal representation is essential to protect personal rights, business operations, and corporate assets.

Client-Focused Legal Support

If you are a foreign shareholder, company director, executive, investor, or business owner facing a criminal investigation in Turkey, obtaining immediate legal advice is essential. Fırat Fesih Kaya Law Office represents foreign companies, multinational corporations, international investors, directors, shareholders, and executives in corporate crime investigations, financial crime cases, compliance matters, and criminal proceedings throughout Turkey.

Our legal team assists clients with internal investigations, defense before prosecutors and criminal courts, protection of personal and corporate assets, and strategic compliance solutions designed to minimize criminal exposure.

Phone: +90 312 434 22 22

Mobile: +90 532 769 22 22

Email: info@firatfesihkaya.av.tr

Address: Mevlana Boulevard No:221, Yıldırım Tower No:148, 06520 Balgat, Çankaya, Ankara, Turkey