United Nations Convention Against

Corruption: Ethiopia Compliance

International Anti-Corruption Day –

1
 Introduction
• International anti-corruption day
– Corruption is a global concern, a crime that affects
us all.
– There is no country or sector that is immune from
corruption, and it’s devastating effects cover every
facet of life: it hinders efforts to achieve
developmental targets such as the United Nations’
Millennium Development Goals, it undermines
democracy and the rule of law, it leads to human
rights violations, distorts markets, erodes quality
of life and allows organized crime, terrorism and
other threats to human security to flourish.
2
 Cont…
– Corruption is a complex social, political and
economic phenomenon that affects all countries.
Corruption undermines democratic institutions,
slows economic development and contributes to
governmental instability. Corruption attacks the
foundation of democratic institutions by distorting
electoral processes, perverting the rule of law and
creating bureaucratic quagmires whose only
reason for existing is the soliciting of bribes.
Economic development is stunted because foreign
direct investment is discouraged and small
businesses within the country often find it
impossible to overcome the "start-up costs"
required because of corruption 3
 Cont…
– Reflecting this attitudinal shift, the United Nations
Convention against Corruption was adopted on 9
December 2003. Ethiopia has adopted this
Convention (by proclamation No. 544/2007).
– As the only legally binding universal anti-
corruption instrument, the Convention marks a
critical move towards eradicating the scourge of
corruption through its covering of prevention,
criminalization and law enforcement measures,
international cooperation, asset recovery, and
technical assistance and information exchange.

4
 Cont
– General Assembly also designated 9 December as
International Anti-Corruption Day, to raise
awareness of corruption and of the role of the
Convention in combating and preventing it. The
Convention entered into force in December 2005.
– 2012 Theme: Act Against Corruption Today

5
 THE UNITED NATIONS CONVENTION
AGAINST CORRUPTION
BACKGROUND
• The question of a convention against
corruption was raised for the first time in
connection with the negotiations for the
United Nations Convention against
Transnational Organized Crime.
• The Ad Hoc Committee that carried out those
negotiations debated whether corruption
should be covered by that Convention.
6
 Cont….
• The view that prevailed was that corruption was
too complex and broad an issue to be covered
exhaustively by a convention dealing with
transnational organized crime.
• However, it was also evident to all negotiators
that that Convention would not be complete
without provisions on corruption, because
corruption was both a criminal activity in which
organized criminal groups often engage and a
method used by those groups to carry out other
criminal activities.

7
 Cont….
• The Ad Hoc Committee agreed on the inclusion of
limited provisions on corruption in the United
Nations Convention against Transnational
Organized Crime on the understanding that a
separate instrument would be envisaged to cover
corruption in an appropriate manner.
• The United Nations Convention against
Transnational Organized Crime, which was
adopted by the general assembly in 2000 and
entered into force in 2003, includes provisions
related to corruption.

8
 Cont….
• The Convention envisages criminalization of;
• Active and passive bribery involving a public
official (Article 8 para. 1) or a foreign public
official or international civil servant(Article 8
para. 2),
• participation as an accomplice in corruption-
related offences (Article 8 para.3).
• States Parties are required to adopt measures
designed to promote integrity and to prevent,
detect and punish the corruption of public
officials (Article 9).
9
 Cont….
• Following the successful conclusion of the
negotiations for the United Nations
Convention against Transnational Organized
Crime and its three Protocols, and the
establishment of the new Ad Hoc Committee,
the issue of fully realizing the commitment
taken during those negotiations to pursue the
development of an independent instrument
against corruption came to centre stage.

10
 Cont….
• At the beginning, there was some brief debate
about whether the new instrument should be a
separate convention, or the objective could be as
effectively achieved through the development of
a protocol to the United Nations Convention
against Transnational Organized Crime.
• The argument about the multifaceted nature of
the problem of corruption necessitating a
separate and comprehensive approach proved to
be convincing enough that the question was laid
to rest at the early stages of the debate.

11
 Cont….
• In its resolution 55/61, the General Assembly
established an Ad Hoc Committee for the
Negotiation of a Convention against
Corruption.
• That resolution also outlined a preparatory
process designed to ensure the widest
possible involvement of Governments through
intergovernmental policy-making bodies.

12
 Cont….
• In that resolution, the General Assembly decided
that the Ad Hoc Committee established pursuant
to resolution 55/61 should negotiate a broad and
effective convention, which, subject to the final
determination of its title, should be referred to as
the “United Nations Convention against
Corruption”.
• The General Assembly requested the Ad Hoc
Committee, in developing the draft convention,
to adopt a comprehensive and multidisciplinary
approach and to consider, inter alia, the following
indicative elements:

13
 Cont….
• definitions; scope; protection of sovereignty;
preventive measures; criminalization; sanctions
and remedies; confiscation and seizure;
jurisdiction; liability of legal persons; protection
of witnesses and victims; promoting and
strengthening international cooperation;
preventing and combating the transfer of funds
of illicit origin derived from acts of corruption,
including the laundering of funds, and returning
such funds; technical assistance; collection,
exchange and analysis of information; and
mechanisms for monitoring implementation.
14
 Cont….
• The Ad Hoc Committee began its work in
January 2002. It held seven sessions and
completed the negotiations successfully on 1
October 2003.

15
 OVERVIEW OF THE CONVENTION
• A. General Provisions (Chapter I, Art. 1-4).
• The first article of the Convention states that its
purposes are the promotion and strengthening of
measures to prevent and combat corruption
more efficiently and effectively; the promotion,
facilitation and support of international
cooperation and technical assistance, including in
asset recovery; and the promotion of integrity,
accountability and public management of public
affairs and public property.

16
 Cont…
• The Convention then includes an article on the
use of terms. In addition to such definitions as
“property”, “proceeds of crime” and
“confiscation”, the most significant innovation of
the new Convention are the definitions of “public
official”, “foreign public official” and “official of a
public international organization”.
• The Convention contains a broad and
comprehensive definition of “public official” that
includes any person holding a legislative,
executive, administrative or judicial office and
any person performing a public function,
including for a public agency or public enterprise,
or providing a public service.
17
 Cont…
• During the negotiation process significant
debate revolved around whether there was a
need for a definition of “corruption” and,
should the answer to that question be
affirmative, what the content of such a
definition would be. In the end, negotiators
decided that attempting to define in legal
terms, i.e., in terms that would stand scrutiny
in a wide array of legal systems around the
world and would add value to the rest of the
text of the Convention was neither feasible
nor desirable.
18
 B. Preventive Measures (Chapter II,
Art. 5-14)
• The Convention contains a compendium of
preventive measures which goes far beyond
those of previous instruments in both scope
and detail, reflecting the importance of
prevention and the wide range of specific
measures which have been identified by
experts in recent years.

19
 Cont…
• More specifically, the Convention contains
provisions on developing and implementing
anti-corruption policies and practices,
preventive anti-corruption bodies;
• specific measures for the public sector
including measures to enhance transparency
in recruitment, hiring, retention, promotion,
and retirement of civil servants.
• To apply code of conducts for public officials;

20
 Cont…
• To establish measures and systems requiring
public officials to make declarations to
authorities regarding , their out side activities,
employment, investment, assets and gifts
from which conflict of interest may result with
respect to their function as public officials;
• comprehensive measures to ensure the
existence of appropriate systems of
procurement, based on transparency,
competition and objective criteria in decision-
making;
21
 Cont…
• Public reporting regarding public
organizations, functioning and decision
making process; periodic reports on the risk of
corruption;
• measures related to the judiciary and
prosecution services (take measures to
strengthen integrity and to prevent
opportunities for corruption among members
of the judiciary);
• measures to prevent corruption involving the
private sector (enhance accounting and
auditing standards in the private sector);

22
 Cont…
• participation of society (to promote the active
participation of individuals and groups outside
the public sector, such as civil society, NGO
and community based organizations, in
prevention and fighting against corruption and
to raise public awareness regarding the
existence, causes and gravity of and the threat
posed by corruption);
• Measures to prevent money laundering
(institute a comprehensive domestic
regulatory and supervisory regime for banks
and non-bank financial institutions)
23
 Cont…
• The chapter on prevention has been
structured in a way that would establish the
principle of what needs to be put in place, but
allows for the flexibility necessary for
implementation, in recognition of the
different approaches that countries can take
or their individual capacities.

24
 C. Criminalization and Law
Enforcement (Chapter III, Art. 15-44)
• While the development of the Convention
reflects the recognition that efforts to control
corruption must go beyond the criminal law,
criminal justice measures are still clearly a
major element of the package.
• The Convention would oblige States Parties to
establish as criminal offences:-

25
 Cont…
• Bribery of national public officials;
• Giving bribery of foreign public officials and
officials of public international organizations;
• Embezzlement, misappropriation or other
diversion of property by a public official;
• money laundering;
• and obstruction of justice.
• Further, States Parties would establish the
civil, administrative or criminal liability of legal
persons.
26
 Cont…
• In recognition of the fact that there may be
other criminal offences which some countries
may have already established in their
domestic law, or may find their establishment
useful in fighting corruption, the Convention
includes a number of provisions asking States
Parties to consider establishing as criminal
offences such forms of conduct as:-
• Trading influence
• concealment, conversion or transfer of
criminal proceeds.
27
 Cont…
• Abuse of functions;
• Acceptance of bribes by foreign and
international public officials,
• Illicit enrichment;
• Bribery in the private sector;
• Embezzlement of property in the private
sector;

28
 Cont…
• Chapter III also covers other issues related to
enforcement and prosecution, including
protection of whistleblowers and witnesses in
corruption cases, as well as remedies for
corruption, such as freezing assets and
compensating victims.
• Other measures found in Chapter III include
the establishment of jurisdiction to prosecute
(Art. 42), the seizing, freezing and confiscation
of proceeds or other property (Art. 31),
protection of witnesses, experts and victims
and cooperating persons (Art. 32-33) and
other matters relating to investigations and
prosecutions(Art. 36-41).
29
D. International Cooperation (Chapter
IV, Art. 43-49)
• The core material in Chapter IV deals with the
same basic areas of cooperation as previous
instruments, including the extradition of
offenders, mutual legal assistance and less-
formal forms of cooperation in the course of
investigations and other law-enforcement
activities.
• A key issue in developing the international
cooperation requirements arose with respect
to the scope or range of offences to which
they would apply. 30
 Cont…
• The broad range of corruption problems faced by
many countries resulted in proposals to
criminalize a wide range of conduct.
• This in turn confronted many countries with
conduct they could not criminalize (as with the
illicit enrichment offence discussed in the
previous segment) and which were made
optional as a result.
• Many delegations were willing to accept that
others could not criminalize specific acts of
corruption for constitutional or other
fundamental reasons, but still wanted to ensure
that countries which did no criminalize such
conduct would be obliged to cooperate with
other States which had done so. 31
 Cont…
• The result of this process was a compromise,
in which dual criminality requirements were
narrowed as much as possible within the
fundamental legal requirements of the States
which cannot criminalize some of the offences
established by the Convention.
• This is reflected in several different principles.
Offenders may be extradited without dual
criminality where this is permitted by the law
of the requested State Party.
32
 Cont…
• Cooperation in criminal matters is mandatory. In
civil and administrative matters, it must be
considered.
• Extradition
• Mutual legal assistance in investigations,
prosecution and legal proceedings
• Mutual legal assistance may be refused in the
absence of dual criminality, but only if the
assistance requested involves some form of
coercive action, such as arrest, search or seizure,
and States Parties are encouraged to allow a
wider scope of assistance without dual criminality
where possible. 33
 Cont…
• The underlying rule, applicable to all forms of
cooperation, is that where dual-criminality is
required, it must be based on the fact that the
relevant States Parties have criminalized the
conduct underlying an offence, and not
whether the actual offence provisions
coincide.
• Transfer of sentenced persons
• Transfer of criminal proceedings
• Law enforcement cooperation
• Joint investigations
• Special investigation techniques 34
E. Asset Recovery (Chapter V, Art. 51-
59)
• A ‘fundamental principle’ of the Convention,
and one of its main innovations, is the right to
recovery of stolen public assets.
• According to many observers, Chapter V is the
main “selling point” of the Convention, and
the reason why so many developing countries
have ratified.
• The UNCAC provisions lay a framework for
countries to adapt both their civil and criminal
law in order to facilitate tracing, freezing,
forfeiting, and returning funds obtained
through corrupt activities. 35
 Cont…
• The requesting state will in most cases receive
the recovered funds as long as it can prove
ownership.
• In some cases the funds may be returned directly
to individual victims.
• Return of assets:
– Embezzled public funds Return to requesting
Party
– Proceeds of other offences of corruption
Return to requesting Party
– Confiscated property  Returned to the
requesting Party or for compensating victims36
 F. Technical Assistance and
Information Exchange (Chapter VI,
Art. 60-62)
• Generally, the forms of technical assistance
under the Convention against Corruption will
include established criminal justice elements
such as investigations, punishments and the
use of mutual legal assistance, but also
institution building and the development of
strategic anti-corruption policies.

37
 Cont…
• Also called for is work through international
and regional organizations (many of who
already have established anti-corruption
programmes), research efforts, and the
contribution of financial resources both
directly to developing countries and countries
with economies in transition and to the
United Nations Office on Drugs and Crime;

38
 G. Mechanisms for Implementation
(Chapter VII, Art. 63-64)
• The decision on a mechanism for review of
implementation of the UNCAC was taken at
the Third Conference of States Parties in Doha,
Qatar, in November 2009.
• The States Parties decided to set up a multi-
staged peer review mechanism involving the
review of each State Party by two peers.
• The review process is supposed to take no
more than six months for any given country at
any given stage of the process;
39
 Cont…
• To cover all countries, the process will be divided
in two five-year cycles.
• UNCAC chapters III and IV will be reviewed in the
first cycle, while compliance with chapters II and
V will be assessed during the second.
• Critically, the review process consists of a desk
review based on the self-assessment report of
the reviewed party but only intends country visits
if requested by the reviewed country.
• Only the executive summaries of the country
review reports will be published, unless a
reviewed country chooses otherwise.
40
 H. Final Provisions (Chapter VIII, Art.
65 - 71)
• Key provisions include those which ensure
that the Convention requirements are to be
interpreted as minimum standards, which
States Parties are free to exceed with
measures which are “more strict or severe”
than those set out in the specific provisions,
and the two articles governing signature and
ratification and coming into force.

41
 Implementation of the Convention:
the Ethiopian Case
• The ratification of the United Nations
Convention against Corruption (UNCAC) by
the Federal Government of Ethiopia in August
2007 has been a significant and symbolic step,
expressing our Government’s commitment to
taking swift and effective reform measures
necessary to promote good governance and
fight corruption in compliance with
international standards. (Proclamation No.
544/2007)
42
 Prevention of Corruption (Chapter II
UNCAC)
• With regard to preventive measures, there
exists a comprehensive legal regime in place
that includes the following anti-corruption
laws:
the Revised Federal Ethics and Anti-corruption
Commission Establishment proclamation
No.433/2005, which established an independent
anti-corruption body;
Revised Anti-corruption special Procedure and
Rules of Evidence Proclamation No. 434/2005;
 Disclosure and Registration of Assets
Proclamation No. 668/2010;
43
 Cont…
• Furthermore, a comprehensive procurement regime
exists with the Ethiopian Federal Government
Procurement and Property Administration
Proclamation No. 649/2009 and the Public
Procurement Directive, 2010.
• Furthermore, establishment of institutions such as the
constitutionally sanctioned Office of Auditor General
and additional mechanisms that ensure greater
transparency and accountability in public procurement
and public finance has also contributed to the anti-
corruption struggle its fair share.
• Federal Civil Servant Proclamation No. 515/2007 and
other Directive that serves to promote public sector
integrity, governing issues of public sector recruitment,
hiring, retention, promotion and retirement is also
helpful in the prevention of corruption.
44
 Cont…
• The convention requires our country as a state
party to develop and implement anti-
corruption policies, in accordance with
fundamental principles of its legal system;
• Currently Ethiopia is in the process of
developing a national anti-corruption policy;
• Similarly the Convention requires the
establishment of institutional and legal
frameworks, codes of conduct for the correct,
honorable and proper performance of public
function;
45
 Cont…
• At present Ethiopia has codes of conduct for
public officials at different institutions or
government offices;
• However, more effort is needed to speed up
finalization of the draft national code of conduct
for public officials;
• Simplifying access to information to the public,
including obtaining information, simplifying
administrative procedures and publishing
information still requires more effort;

46
 Cont…
• In reference to improving the management of
public finance, internal audit units could play
important role within Ministries to
complement the functions and roles of the
offices of Auditor General and FEACC.
• Preventive Measures in Private Sector may be
given more attention with special emphasis to
– Enhanced Accounting and Auditing Standards;
– Effective, Proportionate and Dissuasive Civil,
Administrative or Criminal Penalties;
– Prohibition of Off-the-Book Account and other Acts;
47
 Cont…
• FEACC works in collaboration with
– Civil society,
– Non-governmental organizations
– Community-based organizations and
– Other individuals.
– Therefore, Ethiopia is in compliance as to
participation of the society in the fight against
corruption.
• As to Prevention of Money-Laundering, Ethiopia
has established comprehensive regulatory and
supervisory regime. More attention is needed in
implementing these laws; 48
Criminalization and Law Enforcement
(Chapter III UNCAC)
• With regard to criminalization and law
enforcement, States Parties are required to
criminalize a wide range of acts of corruption
(articles 15-27) and to establish a series of
procedural measures and mechanisms to
support such criminalization (articles 28-41).

49
 Cont…
• Criminalization obligations encompass bribery
of national public officials, bribery of foreign
public officials and officials of public
international organizations, embezzlement,
misappropriation or diversion of property by
public officials, trading in influence, abuse of
function, illicit enrichment, laundering of
proceeds of crime, concealment and
obstruction of justice.

50
 Cont…
• Other than bribery in the private sector and
embezzlement of property in private sector, all
offences are criminalized as corruption offences
in the existing domestic laws of Ethiopia.
However, the Ethiopian criminal code considers
undue advantage in private sector and
embezzlement of private property as ordinary
crimes, not as corruption offences.
• Consequently, it can be said that the existing
laws of Ethiopia are largely in compliance with
the requirements set forth in articles 15 to 27 of
the UNCAC.

51
 Cont…
• Law enforcement obligations of the UNCAC
encompass certain procedural steps meant for
detection, prosecution, punishment and
reparation. Almost all the law enforcement
mechanisms are available in our the domestic
legal regime.
• However, mechanisms for protection of
witnesses, experts and victims need to be
implemented.

52
International Cooperation (Chapter IV
UNCAC)
• With regard to international cooperation, the
UNCAC requires States Parties to provide the
widest measure of mutual assistance
necessary for the prevention, investigation
and prosecution of offences mentioned in the
Convention.

53
 Cont..
• A draft Directive on international cooperation
was prepared by the Ministry of Justice in 2011 in
collaboration with stakeholders, including the
Federal Ethics and Anti-Corruption Commission.
The Directive sets out detailed procedures to be
followed by Ethiopia in extradition and mutual
legal assistance cases. As of September 2012, the
directive was still a draft but was expected to
become effective soon through codification in the
Criminal Procedure Code. Ethiopia is encouraged
to take all steps to give the Directive a binding
effect under Ethiopian law, including through
codification.

54
 Cont..
• In addition to its domestic laws and treaties, Ethiopia
cooperates in extradition cases on the basis of
reciprocity. Reciprocity is recognized in Ethiopia as a
basis for international criminal cooperation for the
exchange of information and extradition.
• Ethiopia has 3 bilateral treaties in place on
international cooperation. The agreements are signed
with Sudan, Djibouti and Yemen. The Sudan treaty
covers, inter alia, mutual legal assistance (termed
judicial cooperation) in civil and criminal matters, while
the treaties with Djibouti and Yemen cover extradition.
Negotiations are underway to enter into further
treaties on international cooperation with India and
South Africa.
55
 Cont…
• At the regional level, Ethiopia has recently ratified
the Inter-Governmental Authority on
Development (IGAD) Conventions on extradition
and mutual legal assistance. IGAD brings together
seven countries in East Africa that include all of
Ethiopia's neighbours. The member States are
Djibouti, Eritrea, Ethiopia, Kenya, Somalia, Sudan
and Uganda. The IGAD Conventions, once ratified
and in force, will provide a framework for
international cooperation between Ethiopia and
other regional States with which Ethiopia is likely
to have a close relationship.

56
 Cont..
• Even though, there are scattered provisions
for international cooperation in Ethiopian
legal system, more work is needed in
introducing laws on extradition and mutual
legal assistance , so that Ethiopia will meet the
requirements of UNCAC.

57
 Asset Recovery (UNCAC V Chapter)
• With regard to asset recovery, the UNCAC
requires that States Parties criminalize the
conversion or transfer of proceeds of crime
done for the purpose of concealing or
disguising the illicit origin of the property.
• Money laundry is a criminal offence according
to Ethiopia criminal code.
• A Financial Intelligence Unit (FIU) has also
been formed to coordinate and investigate
matters related to money laundry and
financial terrorism.
58
 Cont…
• Ethiopia needs to work more in Measures for
Recovery of Property through International
Cooperation;

59
Technical Assistance and Information Exchange
(UNCAC VI Chapter)
• To combat corruption, States Parties are
obligated to take a comprehensive approach that
involves reforms of law and the enhancement of
practical capabilities related to the prevention
and detection of, and recovery from, acts of
corruption. The UNCAC specifically obligates
States Parties to undertake training, technical
assistance, monitoring, and efforts at
international cooperation for the purposes of
successfully implementing anti-corruption laws
and policies, and increasing capacity to take
efficient and appropriate measures. Domestic law
expressly provides for anti-corruption training.
60
 Cont…
• Despite laws in place , compliance with the UNCAC
training requirements is lacking. One major obstacle
to implementing training programs is lack of
resources and the absence of training bodies
specializing in anti-corruption. Undoubtedly, to
overcome this, Ethiopia must prioritize providing or
securing adequate funding for training programs.
Once funding is secured, problems in
implementation will be easier to address.
Furthermore, entering into bilateral and multilateral
agreements with regard to technical assistance is
recommended as Ethiopia could benefit from the
experience and knowledge of other nations.
61
 Conclusions and recommendations
• The legal regime of Ethiopia is largely
compatible with the standards and principles
of the UNCAC.
• However, a number of government initiatives
in critical areas of governance are necessary to
address weaknesses with regard to gaps in law
and practice.
• Consequently, development of a time bound
action plan to address challenges and improve
practices is recommended.
62
 Cont…
• Finalizing and adopting the drafted anti-
corruption policy is essential to the fight against
corruption;
• The draft establishment proclamation of the
commission and its draft special procedure and
Rules of evidence and special procedure
proclamation need to be completed and
implemented. Since Ethiopia has not yet
criminalized bribery and embezzlement of
property in the private sector as corruption
offence, it has to do so sooner than later;
• The need for adopting national code of conduct
for public officials should also be given priority.
63
 Cont…
• So far as law enforcement measures are
concerned, more attention should be paid to the
practical application of legal standards in a more
consistent manner. For example, the protection
of witnesses and whistleblowers of criminal
offence proclamation No. 699/2010 should be
implemented through better establishment of
institutional setups.
• Ethiopia has gaps in domestic legislations in
relation to international cooperation, especially
in extradition and Mutual legal assistance.
Therefore, Ethiopia should consider revising its
domestic laws on this issue. 64
 Cont…
• The FIU is entrusted with receiving, analyzing and
disseminating information to detect suspicious
transactions, as well as tracing and referring cases for
prosecution to the Anti- Corruption Commission. However,
its effectiveness will be largely enhanced once Ethiopia
acquires membership into the ESAAMLG Group. Ethiopia
has already taken few steps to fulfill the requirements for
becoming a member, which includes enactment of the
Money Laundering and the Anti- Financial Terrorism
proclamation This provision contains provisions
criminalizing terrorist financing. Ethiopia should now take
the last few steps to becoming a member of the ESAAMLG
Group. In addition, the National Bank of Ethiopia has
undertaken efforts to prevent and detect the proceeds of
crime, although for its actions to be more effective,65
Thank you for your
kind attention

66