Tuesday 21 February 2012

Uganda: Enact Asset Confiscation Law to Fight Graft


Posterity demands that public servants who amass wealth which is disproportionate to their known source of income, should have their wealth confiscated and declared government property.
Chapter V of the United Nations Convention against Corruption (2003) provides for "International Asset Recovery" against corruption.
It refers to when governments repatriate wealth of corruption hidden abroad. "Asset recovery" refers to recovering the proceeds of corruption, vis-à-vis terms such as "asset confiscation" or "asset forfeiture" which refer to recovering illegal wealth or instrumentalities of crime in general.
"International asset recovery" includes numerous processes such as the tracing, freezing, confiscation, and repatriation of proceeds stored in foreign jurisdictions. It, often, emphasises the 'multi-jurisdictional' or 'cross-border' aspects of a corruption investigation, thus making it one of the most complex fields of law. Arguably, although potential rewards in developing countries make it an attractive undertaking there are structural bottlenecks patent in, especially, formative nations like Uganda.
Concededly, finance techniques, transportation, and communications technologies have made it easier to conceal loots in offshore banks. Conflicting laws, high costs of investigations, lack of international cooperation, and bank secrecy policies in some recipient countries have enabled corrupt officials to conceal much of their ill-gotten gains.
There are some countries which have tried to fight corruption with some apparent challenges. Uganda has been characterised by pacifying commissions of inquiry, parliamentary action committees, political influence and pseudo-police investigations, which mask and condor the status-quo.
Vladmiro Lenin Montesinos Torres
He was the right hand man of President Alberto Fujimori of Peru, whose presidency lasted till November 2000. Montesinos was officially head of Peru's secret service and de facto presidential adviser and national security adviser. The Swiss Supreme Court ordered that Peru receives legal assistance and bank documents from Switzerland to assist in Montesinos corruption case. A bank account containing $6.5 million was frozen. On May 14, 2006 Montesinos was sentenced to 10 years in jail and a fine of approximately euros11.8 million for illegal enrichment in addition to a sentence of 15 years for corruption.
Jean-Claude "Baby Doc" Duvalier
He plundered Haiti for 15 years having taken over after his father's death in 1971. He lived lavishly while his mother ran the government. In addition to his father's loot, his wealth came from a pre-existing governmental tobacco monopoly which he expanded to include other parastatals as personal property.
In 1985 the citizens revolted against his gluttonous excesses and he fled to France in 1986 with his family. In 1986 Haiti requested for legal assistance from the Swiss government as the proceedings against him and his family had already commenced in Haitian Courts. In February 2010, the Swiss Federal Court decided to maintain the seizure of the assets. The assets are still confiscated in the Swiss Banks due to conflict of laws.
Pavlo Ivanovych Lazarenko is a former Ukrainian politician and former Prime Minister who, in August 2006, was convicted and sentenced to prison in the United States for money laundering, wire fraud and extortion. According to the official count by United Nations, approximately $200 million was looted by Lazarenko during 1996-1997 from the government of Ukraine.
Dieprieye Alamieyeseigha
Was accused of owning multi-million dollar mansions in Nigeria and abroad and pleaded guilty to embezzlement and money laundering. A Lagos high court sentenced this former Nigerian governor to two years in prison for money laundering as Nigeria battles to shed its reputation for corruption. Five other former governors are currently facing sundry charges of corruption, theft and money laundering in courts in Abuja and Lagos.
Hendra Rahardja was a corrupt Indonesian banker who served under President Suharto's regime. He fled Indonesia in September 1997 following the liquidation of Bank Harapan Sentosa (BHS) and Bank Guna International (BGI) where he served as President. In 2002, an Indonesian court sentenced him to life in prison in absentia for misusing $216.7 million, and required him to pay indemnities worth $280 million. So far, Indonesia has been able to recover $3 million from Australia. In spite of negotiations to repatriate $800 million from Hong-Kong back to Indonesia, the bulk of $9.3 billion remain un-recovered.
Ao Man Long was Secretary for transport and public works of the Macau Special Administrative Region of the People's Republic of China, from December 20, 1999 to December 6, 2006. On December 8, 2006, Long was arrested basing on Corruption. He had allegedly offered government works projects to his favoured individuals, and had amassed assets. In 2008, Long was found guilty of bribe-taking, amongst others, and was sentenced to 27 years in prison. His four family members were also jailed for 10 to 18 years.
Sani Abacha
Abacha was listed as the world's fourth most corrupt leader by Transparency International in 2004. Abdulsalam Abubakar transitional government's report, of 1998 described how Abacha solicited fake funding requests, which he approved. The funds were usually sent in cash or travellers' cheques by the Central Bank of Nigeria then to Abacha's house. His son, Mohammed Abacha, then laundered the money to offshore accounts.
A total of £5 billion was traced to Abacha, his family and cronies. This includes monies derived from systematic plunder from the Central Bank of Nigeria, and bribes from foreign companies. The Swiss Federal Court rejected the Abachas appeal against the repatriation of approximately $468 million frozen in Switzerland.
The Nigerian government agreed with the Abacha family to return $2.1 billion, and the Abachas would keep the rest, but it was rejected by Mohammed Abacha. Nonetheless, approximately $1.2 billion has been repatriated to Nigeria (from Switzerland, Luxembourg, Jersey, Liechtenstein, Belgium and the UK) due to pressure from court proceedings.
Ferdinand Emmanuel Edralin Marcos, Sr.
He was a former Philippine president (1917-1989). Some believe his entire life was based on fraud, deceit, and plunder, and his two decades as president became epitomised by excessive autocratic rule. In 1983, after being accused of being involved in the assassination of Benigno Aquino, Jr. the public was enraged, hence the People Power Revolution of February 1986 that led to his exile.
He and his wife Imelda Marcos had moved billions of dollars of embezzled public funds to the US, Switzerland, and other countries. Marcos' frozen bank accounts in Switzerland were said to have $475 million. The government merely auctioned off three jewelry collections $13 million.
Shiv Shankar Verma , an Indian Civil Servant, his three-storey house was confiscated and turned into a government primary school for slum children while he was on trial for corruption, after Bihar's State Vigilance Unit raided Verma's house in July 2007 and found large amounts of gold and foreign currency. The state lodged corruption cases against nearly 20 other government officials, including a former state police chief.
Verma had accumulated more than $335,000 in illegal wealth. The Bihar Special Courts Act 2009 empowers government to confiscate the property of any official charged with corruption - even while the trial is ongoing, which he may reclaim if found innocent. This is what Uganda needs.
The above case studies may manifest themselves upon regime in Uganda. In law school my trial advocacy professor, Mark Oring, often cautioned us: "concede if it is so obvious that a blind person can see it, otherwise court will perceive you as unreasonable and/wasting court's time".
I am pleading with my beloved President Gen. Yoweri Museveni to let them go before they tarnish your name. People won't stop corruption unless they have something to lose. Let us enact a law that confiscates ill-gotten gain. Impunity has reached its highest! Lastly, I propose a sort of Bishop Tutu's 'Truth and reconciliation Commission', amnesty for the corrupt fraternity, if they confess, but enact a confiscation law rather than relying on foreign laws. Let's stop the anti-corruption façade and walk the talk.
The author is a practicing lawyer and a non-violence advocate

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