THE 9TH INTERNATIONAL ANTI-CORRUPTION CONFERENCE GENERAL SECRETARIAT OAS

THE INTER-AMERICAN CONVENTION AGAINST CORRUPTION

The OAS: Characteristics and Realities n n A regional Organization – –Consisting of 34 Member States n n An organization that is more political and legal than economic n n Founded on common principles (to strengthen the peace and security of the continent; promote and consolidate democracy; and common action)

A Region of Contrasts n n These contrasts should be taken into account in order to understand the content and scope of decisions adopted by the States within the OAS Framework, such as the Inter- American Convention Against Corruption

POPULATION OF SELECTED MEMBER STATES OF THE OAS (IN THOUSANDS)

TOTAL GEOGRAPHIC AREA: IN THOUSANDS OF KM 2

GDP PER CAPITA

LITERACY RATES

CIVIL LIBERTIES (1 = FREE 7 = NOT FREE)

POLITICAL RIGHTS (1 = FREE 7 = NOT FREE)

Why the sudden international interest in the fight against corruption? What are the reasons for the incorporation of this subject area into the international framework, especially the Inter-American agenda? n n Convergence of political will to fight corruption n n Differences in emphasis and the reasons that have motivated one state or another to make progress in this area

Industrialized Nations: n n Greater importance attached to the collapse central planning systems, the opening of new markets, changes in the role of the State and privatization n n According to a recent study: Measures that eliminate commercial barriers and privatize state monopolies have opened a new area for international contracts worth more than 200 billion dollars. These contracts will determine who builds the economies of the future.

A Difference: Transnational Bribery n n A Study by the Department of Commerce of the United States: between April 1994 and May 1995, American firms have lost around 100 contracts abroad because of bribery by their competitors from other countries. These contracts were worth approximately 45 billion dollars.

Countries on the path to development in the Americas n n Emphasis: – – Strengthening democracy and the rule of law – –Creating better conditions for economic and social growth and development

n n Studies by North, Tanzi and Mauro: – –Greater Corruption = Less Investment and Economic Growth n n World Bank Report 1997: – –Corruption is one of the major obstacles for business in Latin America – –A group of countries in the region have the worst comparative indices in this area

The Inter-American Convention Against Corruption n n Background – –Convergence of Interests – –Initiative: Venezuela – –A participatory process in the development and negotiation of the Convention

Characteristics n n First treaty in this area n n United Nations 1975 n n OECD 1977 n n Council of Europe 1994

n n The Inter-American Convention takes a broad approach to the fight against corruption (compare with: the OECD Convention: Transnational Bribery; Council of Europe: Criminal Matters; European Union: Transnational Bribery) – –International judicial cooperation and national reforms – –Punishment and preventive measures – –A process – –Shared Responsibility: States, the private sector, civil society and the international community

– –Bank Secrecy: Advances in avoiding its use to hide assets and protect persons engaged in corruption – –Right to Asylum: Balancing the principles protected by asylum and those that fight corruption – –Transnational Bribery: Development of a legislative and regulatory framework – –Illicit Enrichment: Development of a legislative and regulatory framework

ENTRY INTO FORCE OF THE CONVENTION

THE INTER-AMERICAN CONVENTION AGAINST CORRUPTION: SIGNATURES

THE INTER-AMERICAN CONVENTION AGAINST CORRUPTION: RATIFICATIONS

COUNTRIES THAT HAVE RATIFIED THE CONVENTION n ARGENTINA n BOLIVIA n CHILE n COLOMBIA n COSTA RICA n DOMINICAN REPUBLIC n ECUADOR n EL SALVADOR n HONDURAS n MEXICO n NICARAGUA n PANAMA n PARAGUAY n PERU n TRINIDAD AND TOBAGO n URUGUAY n VENEZUELA

ADVANCES SINCE THE ADOPTION OF THE CONVENTION n I. n I. GENERAL ASSEMBLY AND PERMANENT COUNCIL – –Inter-American Program of Cooperation to Fight Corruption – –Symposium on the Enhancement of Probity in the Hemisphere – –Working Group on Probity and Public Ethics

– –Model Legislation on Transnational Bribery and Illicit Enrichment II. II.Inter-American Juridical Committee

III. III. GENERAL SECRETARIAT n n Workshops for the dissemination and incorporation of the Inter-American Convention Against Corruption into domestic legislation n Colombia n Costa Rica n Venezuela

OAS/IDB Initiative: Assisting countries with the incorporation into national legislation of the criminal measures set out in the Inter-American Convention Against Corruption n Argentina n Bolivia n Chile n Dominican Republic n Ecuador n El Salvador n Guatemala n Honduras n Nicaragua n Panama n Paraguay n Peru

n n Assisting countries of Central America in incorporating the preventive measures set out in the Convention into their internal legislation n n Support for a project to assist in the modernization and institutional development of legislatures in Central America n n Assisting the Andean Parliament in the development of policies that promote and facilitate cooperation to combat corruption n n The role of journalists in the fight against corruption

n n Inter-American Network of Institutions and Experts in the Fight Against Corruption – –56 participating institutions – –19 participating countries n n Anti-Corruption Information System

The Convention: The Road Ahead n n The Convention: An instrument against corruption; not a magic solution n n The Convention: A good navigational chart

– –Signatures: 8 countries have yet to sign the Convention – –Ratification: 17 countries have yet to ratify the Convention – –Incorporation into internal legislation – –Application STEPS THAT STILL NEED TO BE TAKEN

n n Complimentary legal developments at the Inter-American level n n Ratification, incorporation into internal legislation, and application of other international conventions (e.g. The Inter-American Convention on Mutual Assistance in Criminal Matters, Inter- American Convention on Extradition) n n Legal Developments to Combat Money Laundering

THE 9TH INTERNATIONAL ANTI-CORRUPTION CONFERENCE GENERAL SECRETARIAT O.A.S.