British expertise for Romania’s public purse

I took part earlier last week in the launch of a workshop designed to help the justice system here respond to an ever-increasing challenge: recovering illicitly acquired assets. The project is part of the UK’s wider effort to help tackle cross-border and organised crime.

The workshop followed the UK Justice Secretary, Kenneth Clarke’s visit to Bucharest last September when he asked Justice Minister Predoiu if we could help. Minister Predoiu’s response was “yes”: Romania needed help on asset recovery and so the project received the green-light.

Ten years ago we had a system for asset recovery in the UK that really wasn’t fit for purpose. We found, for example, that our tax rules were allowing drug dealers to register with the tax authorities and pay tax on their criminal income but the tax authorities didn’t have the authority to tell the police.  That has now changed but it has taken time and a new legislation, it has taken a sustained effort.

During the workshop Minister Predoiu said that in 2010 alone DNA imposed interim measures worth approx. €74 million, which is equivalent to 0.7 % of Romania’s 2010 GDP. This is a great start!

It is crucial to nail this problem: taking away the criminals’ assets is what hurts them most. If you need further proof watch the movie Veronica Guerin. So I was delighted that British experts, alongside their American and Europol counterparts, have been able to offer their expertise to the Ministry for Justice’s newly created Office for Asset Recovery (ARO).

Romania’s capacity for asset recovery is going to be an important tool for joint operations between the UK and Romanian police in tackling cross-border crime.

I am also convinced that a fully functioning and effective active asset recovery system will show that Romania means business in tackling corruption.