The NACP Is Unable to Uncover Complex Asset-Hiding Schemes, Says the Verkhovna Rada’s Temporary Investigation Commission
7 July 19:35
The National Agency for Corruption Prevention (NAZK) is unable to effectively detect complex schemes used by officials to conceal assets, as the system for verifying asset declarations remains largely formal and is based on automated algorithms. This conclusion was reached by the Verkhovna Rada’s Temporary Investigative Commission on the Investigation of Possible Corruption in Law Enforcement Agencies, Courts, and Judicial Authorities in its final report. This was reported by
The document notes that the current model of financial control is capable of detecting mainly arithmetic errors and formal discrepancies in declarations, but is virtually powerless against more sophisticated mechanisms for concealing assets.
“The Commission concluded that the existing model for verifying declarations remains largely formal and technical. The NACP relies heavily on automated algorithms that can detect only those violations that are already embedded in the system’s code,” the report states.
The Temporary Investigation Commission emphasized that this approach does not allow for the effective detection of asset concealment through straw men, registering property in the names of relatives, or the use of corporate structures.
READ ALSO: How the NACP uncovers hidden assets: an expert explains
Separately, lawmakers drew attention to the extent of monitoring the lifestyles of officials in law enforcement and judicial bodies. According to the TSK, this tool is used on an extremely limited scale and does not correspond to the level of corruption risks.
“The figures obtained are critically low and do not meet the needs of a state where thousands of law enforcement officers have access to significant powers and are exposed to heightened corruption risks. In fact, this indicates that one of the key anti-corruption tools is being used to a minimal extent,” the report states.
Another point raised by the commission was the NACP’s insufficient response to journalistic investigations containing information about possible illicit enrichment by officials.
“The anti-corruption system should not be limited to analyzing declarations and state registries alone, but must actively use open sources of information, conduct in-depth analytical research, and verify the actual lifestyles of officials in law enforcement and judicial bodies,” the TSC emphasized.
Based on the results of its work , the commission recommended reforming the financial control system, strengthening monitoring of officials’ lifestyles, and improving mechanisms for detecting hidden assets. According to the report’s authors, only a comprehensive overhaul of these tools will make it possible to increase the effectiveness of anti-corruption policy and the level of trust in the financial control system.
As reported by "Komersant Ukrainian", the Verkhovna Rada’s Temporary Special Commission declared a systemic crisis in the anti-corruption system.
Watch us on YouTube: important topics – without censorship
