“If assigning state property to shell companies is not stopped, there will be nothing left in Russia”
Deputy Head of Yabloko Centre for Anti-Corruption Policy on the case of officials Obnosov and Prikhodko
Alexei Karnaukhov’s blog post on Ekho Moskvy website, 9.11.2018
The cases of officials Obnosov and Prikhodko and the commercial interest of their families in space industry revealed by Novaya Gazeta have clearly shown three major problems of anti-corruption policy in our country.
The first problem is the merger of business and government. Family members of public officials gain profit being heads of corporations. Such a merger of interests leads to the loss of budget and money laundering to French chalets – this has been investigated by Novaya Gazeta.
The vicious practice is spread at all levels of government in Russia. For example, last years we told you that the wife of Malakhovka Mayor, the Moscow Region, earns millions of roubles from budget funds for garbage disposal. From thousands of municipalities to heads of military corporations – the problem is the same.
The second problem is legal corruption. The Federal Anti-Corruption law does not concern the persons named in the investigation. Russia’s legislation is written in such a way that a large number of state owned companies are considered to be private.
This way, AO “VDNKh” transferred 35 hectares of land to the sons of a United Russia MP and billionaire Zelimkhan Mutsoyev without a tender with the purpose of building squirrel nest boxes.
The Tactical Missiles Corporation is an AO [JSC]. Despite the fact that it is a state owned company, it does not publish reports about the income of its top managers and does not solve the conflict of interests, although state structures must do it. They are bad at it. Sometimes they do not want to do it at all, as in case with Rogozin and his children. However, it is ncececcery to have a legal framework. It allows for the start of any anti-corruption campaign.
And here we face the main problem – the lack of political will to fight corruption.
Internal monitoring of public authority does not work in cases with Obnosov and Prikhodko because those who monitor them have their own private interests. There is no one to show their political will: will Medvedev with his low approval rating and corruption scandals oppose his loyal colleague Prikhodko? How can Putin dismiss heads of military corporations for money laundering when his friend Roldugin keeps his millions, the origin of which is unknown, in offshores?
One hand is washing the other, and high-ranking officials are interested in covering up for each other. Although the kinship of Zorikova and Obnosov still needs to be proved, there are certain things between the lines.
If assigning state property to shell companies is not stopped, there will be nothing left in Russia. There will not even be people like Obnosov and Prikhodko – they will be in their cosy chalets.
Posted: November 14th, 2018 under YABLOKO against Corruption.