Prepared for the Anti-Corruption Agencies Workshop Washington, DCMarch 25, 2010

Dr.jur. Aleksejs LoskutovsFormer Director of Bureau for Prevention and Combating of

Corruption (KNAB)Latvia

Origins of the KNABThe KNAB was established in October, 2002 when very first director was appointed by the Saeima (Parliament of Latvia).

The Bureau was created to play a central and leading role in prevention and combatting corruption.

The work of the Bureau is based on the the Law on Corruption Prevention And Combatting Bureau.

According to the Law the Bureau is an institution of the State administration under the supervision of the Cabinet of Ministers.

Mandate of the KNAB Mandate of the Bureau is formulated on the basis of three pilars:

Prevention of corruption Combatting of corruption Education of the society on corruption issues.

Bureau has been fully operational since 1th February 2003 and now Bureau employs almost 150 people.

Structure of the KNAB The KNAB was created as new institution.

There were not offices or units included in the KNAB.

According to the mandate the KNAB consists of administrative divisions, subordinated to the Director; divisions subordinated to the Deputy Director for Combating of Corruption and divisions, subordinated to the Deputy Director for Prevention of Corruption.

Accountability of the KNAB The KNAB reports about its activities to the

Government and the Parliament twice per year

The KNAB elaborates Annual Public Report as well

Problems of transparency

The KNAB relationship with the executive The PM legally can not influence activity of

the Bureau, he/she has right to press the Director to act in case of illegal omission as well as has right to cancel illegal decision of the Director.

The KNAB relationship with the legislative Reporting The Parliamentary control Work on draft laws

The KNAB relationship with the judiciary Recommendations on anti-corruption Presentation of non-criminal proceedings to

court Prosecutor office control over preliminary

investigation and criminal intelligence

Financing of the KNAB The Bureau doesn't enjoy fiscal/budgetary

autonomy The budget of the KNAB is part of the State

Budget and therefore financing of the Bureau depends on economical situation of the country as well as on commitment of the Director.

There are restrictions of donation for needs of state agencies and municipalities in Latvia. Still there were donations for the KNAB as part of technical assistance of foreign countries, before all from the US.

Functions of the KNAB in prevention

The KNAB drafts the state strategy on corruption prevention and combating, and a national program on corruption prevention and combating. Both documents have to be adopted by the Government.

Co-coordinates the co-operation of the agencies mentioned in the state strategy through the national program.

Drafts the methodology to prevent and combat corruption within the public and private sector.

Provides analysis of the legislation.

Functions of the KNAB in prevention

It is one of specific duties of KNAB to control whether activities of any kind of public officials fit with the requirements of Law on Prevention of Conflict of Interests in Activity of Public Officials.KNAB charges public officials with administrative liability and impose appropriate punishment.More than 700 public officials including were administratively punished for violation of the Law. Only in 2008 KNAB punished 8 Parlamentarians, 8 directors of schools, 11 heads of other institutions.

Functions of the KNAB in prevention

One of most politically sensitive duties of KNAB is to monitor political parties` compliance with party financing and election campaign regulations.

Director of KNAB asks political parties to return to the state budget illegally acquired funding.

In cases of illegal disobedience Director asks courts to stop activities of political parties or to liquidate political parties. Altogether there were taken 15 decisions to stop activity of political party and 8 decisions to liquidate political party.

Functions of the KNAB in combating

The KNAB carries out criminal intelligence and pretrial investigation to discover following offenses in the area of corruption (only public officials), as provided in the Criminal Law:

Exceeding Official Authority

Using Official Position in Bad Faith

Failure to Act by a State Official

Accepting Bribes, Misappropriation of a Bribe, Intermediation in Bribery, Giving of Bribes

Violation of Restrictions Imposed on a State Official,

Unlawful Participation in Property Transactions

Functions of the KNAB in education

Thousands of public officials are covered by the educational activities of the KNAB.

KNAB realized two social advertising campaigns: in 2005 to promote reporting of the possible acts of corruption and in 2007 to highlight the essence of corruption: buying and selling of the power entrusted to public officials for private gain.

KNAB was one of the most open to public law enforcement agencies in Latvia, informing society about activities of the KNAB, elaborated draft laws as well as educating wide public on evil of corruption.

The KNAB relationship with agencies with similar powers

There are other government agencies that has similar powers in combating of corruption. For example, the Security Police, the State Police, the Criminal Department of Custom have duties of combating of corruption, too.

The KNAB co-operates with such agencies for needs of criminal intelligence and on ad hoc basis for needs of pretrial investigation.

In order to increase effectiveness of the KNAB I would recommend to keep it mandate, to keep it transparency before public, to take more active position in initiating and protecting of anti-corruption laws and regulations.

I would wish to share the KNAB experience as itself, as working model of specialized anti-corruption authority with wide mandate and scope of activities.

Especially I would wish to stress successful control over financing of political parties that significantly has been improved when the KNAB has got the mandate.

Thank You!

Dr.jur. Aleksejs Loskutovs