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17.08.2005 | Volodymir Yavorskiy, Kyiv

Law-enforcing organs, courts, penitentiary organs and other power organs live for charitable contributions, that is official bribes


An interesting paradox situation has formed in Ukraine, when bribery among officials is tightly connected with the official “bribery” of power organs in the form of getting charitable contributions for their special funds. It is also interesting that the sum of the bribes obtained by officials is included in their income and is taxed by the rate of 13% according to the law about taxing of citizen’s income. At the same time, the “bribes” received by power organs are not taxed and their use is usually not controlled because these are not costs of the state budget.

Thus the usual scheme is observed, when a power organ recommends to pay a charitable contribution to its special fund for the fulfillment or non-fulfillment of some actions in the competence of this organ.

Moreover, neither the Control-revision department nor the Calculation chamber of Ukraine control the ways of use of these funds, since formally this money does not belong to the costs of the state budget, so the law does not regulate its use and responsibility for the improper use.

However, the Calculation chamber established the amount of these funds and it appeared that sometimes such contributions formed the noticeable part of the total financing of the power organs from budget.

For example, as a result of check of the fulfillment of state budget-2004 the Calculation chamber of Ukraine drew the conclusion that every year round sums of money and material values, in the form of “charitable contributions”, presents, grants and financial aid, are passed to the accounts of ministries, agencies, organs subordinated to them, as well as to various “charity agencies” created by them.

According to the reports of the State Treasury, in 2004 the Ministry of Interior obtained 229.4 million hryvnas of such costs, the Ministry of education and science – 100.9 million hryvnas, Ministry of health protection – 56.8 million hryvnas, Academy of medical sciences – 49.2 million hryvnas, State department of penitentiaries – 27.6 million hryvnas. The expenditures of some main managers of budget costs at the expense of such funds were from 42 to 98% of the amount of special funds appointed for them. So, the State court administration reported in 2004 on the expenditures at the expense of the obtained grants, presents and sums for the fulfillment of concrete errands to the sum of 8.5 million hryvnas, that is 92.3% of the total expenditures of the special fund, the General Prosecutor’s office – 20.3 million hryvnas or 96.5%, Administration of the state frontier service – 20.3 million hryvnas or 64.3%, Academy of medical sciences – 49.2 million hryvnas or 65.3%, State custom service – 7.1 million hryvnas or 49.4%.

According to part 1 of Article 130 of the Constitution of Ukraine, the state provides financing and proper conditions for functioning of courts. The list of authorities of local and appeal courts, established by Articles 22 and 26 of Law of Ukraine “On judicial system of Ukraine” No. 3018-III of 7 February 2002, is exhaustive and does not envisage obtaining by courts of aid from other organizations in any form, as well as disposal of such aid. Yet, contrary to the demands of the operating laws, during 2004 general and specialized courts obtained 7.5 million hryvnas of charitable aid.

It is obvious that the state budget allots the sums, which do not conform to the real expenditures of the power organs. For instance, courts are financed for about 50% of their real needs. However, by the data of the Calculation chamber, the power organs regularly use irrationally or illegally the state means allotted to them.

For example, according to the results of the check conducted by the Calculation chamber, the system of use of budget and material-technical resources, introduced by the State department of penitentiaries, was uneconomical, unprofitable and not transparent. The budget means in the sum of 150.8 million hryvnas, assigned for development and improvement of the system, in 2004 were mainly spent for the support of its vital functions. In spite of the deficit of 5018 places in investigatory isolation wards, none of 1250 planned places were created in 2004. The Department ineffectively spent 9 million hryvnas of budget allocation. In particular, the cost of the uncompleted constructions of the industrial objects to the sum of 3.8 million hryvnas was written off, 4.6 million hryvnas were expended for long lasting building, 0.1 million – for salaries of the staff of the weekly “Zakon i obovyazok”, 0.5 million hryvnas – for purchase of the production at too high prices through the company “Departamentservis”.

As a result of inefficient management of the production activity, the financial state of enterprises of penitentiary establishments is unsatisfactory. The measures for development of industry, new types of production, modernization and monitoring of situation at the market of the production made by the enterprises were realized improperly for many years. As a result of non-fulfillment by administration of the enterprises for more than 9 years of the demands of subitem 7 of item 1 of resolution of the Cabinet of Ministers of Ukraine No. 352 of 4 June 1994 concerning the creation of vacancies for employment of every convict and providing him with job sufficient for compensation of the worth of his upkeep, in 2004 the deficiency of income to the special fund was not less than 233 million hryvnas.

As a result of irrational use of available labor resources, more than 3000 representatives of the criminal-penitentiary system worked at the enterprises, which were not penitentiary establishments. The posts occupied by them were not connected with the activities of the organs and establishments of penitentiary system, so had to be staffed with civilians. According to the operating laws, these persons and members of their families obtained certain privileges, in particular, the right of free use of all kinds of city public transport, the 50% allowance for rent, payment for communal services, fuel, etc. The work of such persons at enterprises of the Department resulted to the irrational use of budget costs because of rendering them the privileges, as well as gratuitous distribution of material property to the sum of 164.2 thousand hryvnas and paid pensions to the sum of 277.4 thousand hryvnas.

It is obvious that citizens pay in such charitable contributions for certain activity or passivity of these organs. Such officially established system of state bribing is inadmissible, and its liquidation should become the first step toward extermination of corruption in our country.

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