venerdì 21 marzo 2014

-The CBA- [Article]


Anti-Corruption Efforts in Poland
-The CBA-

Review by Alessandro D’Alessio



The Central Anti-Corruption Bureau (CBA) is a polish special service that has the specific objective to combat corruption in public and economic life, especially in local and public government institutions as well as fighting against actions that can have a negative impact to the State’s economic interest. The Act of 9 June 2006 on the Central Anti-Corruption Bureau regulates its activities. The Head of the CBA, appointed for a term of 4 years, is the central authority of the government administration; the Prime Minister appoints him after a consultation with the President of the Republic of Poland, the Special Services Committee and the Parliamentary Committee for Special Services; the Head of the CBA may be reappointed only once.

The main objective of the CBA is to fight corruption where the public sector meets the private one. According to the article 2 of the Act on the Central Anti-Corruption Bureau, the CBA deals with prevention, identification and detection of crimes and offences, prosecution of perpetrators as well as control, analytical, preventive, operational and pre-trial activities.

The operational and pre-trial activities consist of preliminary investigations aiming to disclose corruption offences. The Bureau performs also investigations under the Penal Code with a special regard to those offences against activities of public institutions and local government, administration of justice, financing of political parties, fiscal obligations as well as donation and subvention settlements.

Control activities are control measures that can be disposed by the CBA only. The main goal of these activities is to detect abuse of power by persons performing public functions, corruption in public institutions as well as activities detrimental to the State’s economy. Controls are performed on the basis of the annual control plan, approved by the Head of the CBA. Control activities also cover detection and prevention of non-compliance as well as “control of accuracy and veracity of asset declarations or statements on conducting business activities by persons performing public functions”[1].

Informative and analytical activities are focused on the identification of threats and irregularities to the economic interest of the State and transmitting them to the Prime Minister and other important state officials. These analyses are useful to pre-detect potential threats and formulate a complete evaluation of the situation.

The CBA action is also focused on educational and preventive activities. On the one hand there are the CBA websites, www.cba.gov.pl along with the Bureau’s sites on Facebook and Twitter, which provide information about its tasks and structures as well as other educational websites, like www.antykorupcja.edu.pl, which contain important legal information along with news on the activities of Polish and foreign government institutions and NGOs engaged in fight against corruption. On the other hand there are the CBA publications available in the form of e-books too. Some of them are translated in English and it’s important to briefly analyse them in order to give a wider comprehension of the prevention activities carried out by the CBA towards different sectors of the polish society.

“The Anti-Corruption Handbook for Entrepreneurs” provides two corruption definitions: a substantive criminal law and a socio-economic one. The first is concerned with criminal law and requires a more precise language while for the second one, being used for preventive purposes, a broader definition is sufficient. Then the handbook describes in depth, citing polish Penal Code articles, legal regulations on corruption offences like venality and bribery, abuse of trust/mismanagement, economic corruption, corruption in sports, money laundering, frustration or obstruction of public procurements and other provisions.

The document provides also a description of non-punishable forms of corruption like nepotism, the abuse of one’s position by backing one’s relatives, and cronyism, favouritism based on social relationships, as well as the problem of conflicts of interests.

Legal consequences of corruption are also provided to complete the framework related to the legal aspects of the problem.

The most important paragraph concerns the anti-corruption policies in business. The handbook suggests all companies the use of codes of ethics since a lot of behaviour regarded as reprehensible are not unlawful. The model code for entrepreneurs, in Poland, is an element of ethics in business developed by the “Institute for Private Enterprise and Democracy” Foundation on request of the National Chamber of Commerce. The document also underlines the importance of anti-corruption programmes that refer particularly to the System of Prevention of Corruption Threats developed by the Chamber of Commerce and the Centre for Testing and Certification. Such system has the goal to support the performance of institutions and companies that want to increase the confidence in their fairness and can help to disclose those “places”, inside an enterprise, that can be endangered by corrupt activities. One of the last paragraphs describes how to behave in a corrupt situation. The CBA specifies that there are not ideal algorithms but only general principles of behaviour for entrepreneurs and provides also some useful examples of risk of corruption symptoms.

Another important document is the “Anti-Corruption Recommendations On Public Procurement Procedures”. Since public procurements constitute the largest market in Poland, the CBA tries to control irregularities that can take place while spending public funds on purchasing services or supplies.

The recommendations included in the publication “aim to introduce the participants to the procurement procedure and provide support to the managers of procuring entities in conducting public procurement by identifying frequently occurring irregularities and suggesting the methods of preventing them”[2]. Through the description of many different cases where threats can appear, the CBA suggests the use of the “specification of essential terms of the contract” (SETC) especially for the transparency of procedures during the preparation of a public procurement procedure. Indeed, the manager of the procuring entity is “recommended to introduce the requirement to create two SETCs within one procedure, one outside SETC and the other one for the procedure documentation (the internal documentation of the procuring entity), indicating the names and surnames of the persons involved in the development of different parts of the specification”[3].
The CBA provides also some guidelines to follow at each stage of the procurement like openness, fair competition, equal treatment of entities applying for the public procurement, elimination of situations indicating the conflict of interests, elimination of discretion when taking decisions, responding by the manager of the unit to symptoms of corruption.

Another CBA publication that is worth mentioning is “Anticipated Corruption Threats in Poland”. This document describes which areas in the country are exposed to corruption threats.
In the infrastructure sector threats may be related with public procurements for modernisation of rolling stock and railway infrastructure. The report then analyses the process of informatisation of public administration; in this case corruption threats may lead to the collapse of public IT projects, many of which have an important impact on the security of the State too. Moreover corruption causes the most affordable and innovative entities to lose while the ones that have a better informal access to the representatives of the public authorities win.

The section about the use of EU funds explains how much this specific area is particularly endangered by crime because of the amount and importance of the funds for public finances.  

The defence sector seems to be extremely endangered too. In the dedicated paragraph the CBA explains that, because of some peculiarities like free market restrictions and frequent exclusions from the application of the Public Procurement Law, there are great opportunities for corruption in this area.

In the final summary of the document the CBA suggests a series of activities that should be undertaken like “the creation of anti-corruption policy of the State aiming to implement uniform anti-corruption solutions in institutions, implementation of solutions oriented at cooperation, including the exchange of information between state institutions, law enforcement agencies and services responsible for combating crime, protection of legislative works over regulation projects of particular importance to the economic interest of the State”[4].

The activities carried out by the CBA aren’t concerned with prosecution and repression of the phenomenon only but also through an important prevention strategy. This two-sided approach seems to be very successful if we consider the levels of corruption measured through the Corruption Perception Index (CPI) of the last years.  

The CPI published by Transparency International (TI) in 2005 showed that Poland was the most corrupt of the eight new Central and Eastern EU member states. However after the creation of the Bureau, in 2006, the levels of corruption have systematically decreased. In 2005 the score was 3.4 while in 2006 was 3.7. The perception of corruption decreased even more in the following years reaching 4.2 in 2007 and 60/100 in 2013. This improvement is related to the activities conducted by the CBA and by international institutions too.

After the fall of the Soviet Union, Poland faced the transition from market socialism to free market economy. However this process occurred without clear rules and property was often accumulated in unfair and illegal ways. The polish public opinion became more and more interested in the corruption phenomenon; during the years of the post-communist Democratic Left Alliance government the media disclosed a series of political scandals involving members of this party. The anti-corruption rhetoric brought the Law and Justice party to power in 2005 and the CBA was established the year later; however the anti-corruption slogan soon became a tool to fight political opponents.

International institutions wanted Poland to adjust their legal system in order to limit corruption. The country ratified numerous conventions like the OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions (ratified on 20 December 2000), the Council of Europe Civil Law Convention on Corruption (ratified on 11 September 2002), the Council of Europe Criminal Law Convention on Corruption (ratified on 11 December 2002), the Council of Europe Convention on Laundering, Search, Seizure and Confiscation of the Proceeds from Crime and on the Financing of Terrorism (ratified on 8 August 2007), the EU Convention on the Fight against Corruption involving Officials of the European Communities or Officials of the EU Member States (ratified on 25 January 2005) and the UN Convention against Corruption (ratified on 15 September 2006).

On its side the World Bank, in cooperation with the European Bank for Reconstruction and Development, has been undertaking a continuous monitoring of corruption in the region through periodic Business Environment and Enterprise Surveys, looking specifically at the quality of the interactions between the state and the private sector.

The United Nations Convention Against Corruption (UNCAC), ratified by Poland in 2006, requires that countries create institutions to prevent corruption and to enact specialised anti-corruption legislative measures.

In Poland there are many public institutions involved in tackling corruption like the police, the Ministry of Interior and Administration, the Ministry of Defence, the Ministry of Finance, the CBA, the Internal Security Agency and many others.

Anti-corruption activities are carried out by domestic non-governmental organisations too. Transparency International, Batory Foundation and the Anti-corruption Coalition of Non-governmental Organisations conduct operational strategies like the “Anti-Corruption Programme” consisting in a number of projects and initiatives aiming at reducing the scale of corruption in Poland by fostering attitude shifts among citizens with respect to everyday corruption, advocating new legislation to ensure transparency of decision-making and organising permanent community pressure on the government to enforce anti-corruption laws and regulations[5].

In the end CBA activities are just a part of a wider anti-corruption strategy involving several governmental and non-governmental actors in Poland. If we consider the Corruption Perception Index as a reliable indicator, Poland is facing a huge reduction of the problem due to the implementation of policies and actions that can be considered to be very successful. However this could be only partially true since sometimes perceptions don’t coincide precisely with reality.

REFERENCES


Anticipated Corruption Threats In Poland (PDF), (2013), Warsaw

Anti-Corruption Recommendations On Public Procurement Procedures (PDF), (2011), Warsaw

Kaja Gadowska (2010) National and international anti-corruption efforts: the case of Poland, Global Crime, 11:2, 178-209

The Anti-Corruption Handbook for Entrepreneurs (PDF), (2012), Warsaw

The Central Anti-Corruption Bureau Guidebook (PDF), (2012), Warsaw





[1] The Central Anti-Corruption Bureau Guidebook (PDF), (2012), pag.5, Warsaw. 
[2] Anti-Corruption Recommendations On Public Procurement Procedures (PDF), (2011), pag.5, Warsaw
[3] Anti-Corruption Recommendations On Public Procurement Procedures (PDF), (2011), pag.8, Warsaw
[4] Anticipated Corruption Threats In Poland (PDF), (2013), pag.51, Warsaw
[5] Kaja Gadowska (2010) National and international anti-corruption efforts: the case of Poland, Global Crime, 11:2, 178-209

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