The RUSSIAN CUSTOMS ACADEMY State Customs Committee of the Russian Federation 0.1

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Leonid Lozbenko Head of the Russian Customs Academy Professor of Sociology Major-General of Customs Service «Fight Against Corruption In The Sphere Of Customs As Trade-Promoting Factor» 0.3

Dynamics of crime growth in foreign economic activity in Russia 1

Acts of corruption in Russia are committed by: - customs officers (4,6%) - officers of internal affairs agencies (22.5%) - officials of other law enforcement agencies (5,3%) - officials of other state services (67,6%) 2

Control Promoting trade ? ? Corruption 3

Customs-FILTER Illegitimate barrier Optimum filter Real flow Conventionally legitimate flow 100% Conventional barrier Illegitimate component 4

Matrix of attitudes of the customs toward trade Zone of responsible trading business Zone favorable for trading business Zone of aggressive trading business Zone of high trade risk low high BARRIERS Effective Ineffective FILTER 5

Factors Driving Corruption Corruption Excess government intervention in the economy Inadequate control systems Hyper- centralized decision- making process Lack or deficiency of reporting Excess rights or authority in resolving issues arising in “contingencies” 6

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CorruptionCorruption Factors defining quality of performance of the customs’ functions Functions of the customs The uniform customs quality management system based on the ISO 9000 standards Block-diagram showing the impact of the customs service on corruption level 8

Stages of assimilation of ISO 9000 standards in the customs activity “the customs version” of ISO 9001:2000 Model of administration system and teaching recommendations Training of executive staff of customs bodies Certification system Motivation system Monitoring of assimilation of standards 9

Conclusions Preventing corruption in the customs system and foreign trade requires comprehensive, systematic and coordinated work of all international and regional organizations and national governments. In the work against corruption, priority should be given to enhancing the quality of customs administration and methods to improve work ethic. It is advisable to establish one or several specialized international research and methodology centers for customs service quality management. An inter-governmental program of combating corruption in foreign trade should be developed. 10

THANK YOU FOR YOUR ATTENTION 11