Title

Combating Corruption in the OSCE Region: The Link between Security and Good Governance

Wednesday, November 19, 2014
U.S. Capitol Visitor Center, Room SVC 203/202
Washington, DC 20515
United States
Official Transcript: 
Members: 
Name: 
Hon. Ben Cardin
Title Text: 
Chairman
Body: 
Commission on Security and Cooperation in Europe
Name: 
Hon. Chris Smith
Title Text: 
Co-Chairman
Body: 
Commission on Security and Cooperation in Europe
Witnesses: 
Name: 
Anders Åslund
Title: 
Senior Fellow
Body: 
Peterson Institute for International Economics
Name: 
Dr. Halil Yurdakul Yigitgüden
Title: 
Co-ordinator of OSCE Economic and Environmental Activities
Body: 
Organization for Security and Cooperation in Europe
Name: 
Khadija Ismayilova
Title: 
Host of "Isden Sonra" ("After Work")
Body: 
RFE/RL Azerbaijani Service
Name: 
Shaazka Beyerle
Title: 
Senior Advisor
Body: 
International Center on Nonviolent Conflict

Combating corruption is increasingly recognized as the critical factor in ensuring long-term security, because corruption creates fertile ground for social upheaval and instability. The change in government in Ukraine in 2014 was a prime example of how corruption can fuel legitimate popular discontent.

Although the Organization for Security and Cooperation in Europe (OSCE) has created new tools to address corruption, tackling the problem requires more than raising awareness and sharing best practices. In many OSCE participating States, systemic issues including lack of media freedom, lack of political will, and lack of an independent judiciary contribute substantially to persistent high-level and low-level corruption.

The hearing drew attention to the work of the OSCE in combating corruption in all 57 participating States, with a particular emphasis on the need to build effective institutions and the important role played by civil society in combatting corruption.

Relevant issues: 
Leadership: 
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Estonia has come a long way since it reestablished its independence from the Soviet Union almost 20 years ago, making the visit quite rewarding for those of us on the Helsinki Commission who tried to keep a spotlight on the Baltic States during the dark days of the Cold War.  During the course of the meeting, the U.S. delegation also had bilateral meetings with the delegation of the Russian Federation and a visiting delegation from Kyrgyzstan to discuss issues of mutual concern and interest.  U.S. engagement in the OSCE Parliamentary Assembly sends a clear message to those who are our friends and to those who are not that we will defend U.S. interests and advance the causes of peace and prosperity around the world.

  • A Decade of the Trafficking in Persons Report

    Senator Benjamin L. Cardin convened a standing-room only hearing centered on the diplomatic impact of the Trafficking in Persons (TIP) Report.  The hearing focused on the ten years that the annual TIP report has been prepared by the State Department. Improvements to TIP-related efforts were suggested, such as working more closely with the Tier 2 Watch List countries in the OSCE Region, – Azerbaijan, Moldova, the Russian Federation, Tajikistan, Turkmenistan, and Uzbekistan – helping them to implement the changes necessary to meet the minimum standards and to avoid statutory downgrades which will otherwise be required in next year’s TIP report. Witnesses testifying at this hearing – including Luis CdeBaca, Ambassador at Large of the U.S. Department of State Office to Monitor and Combat Trafficking in Persons; Maria Grazia Giammarinaro, Special Representative and Coordinator for Combating Trafficking in Human Beings of the Organization for Security and Cooperation in Europe; Jolene Smith, CEO & Co-Founder of Free the Slaves; and Holly J. Burkhalter, Vice President for Government Relations of the International Justice Mission – explored ways to potentially create extra-territorial jurisdiction for trafficking cases.  They also focused on ways to deter demand for trafficking victims in all countries, including Tier 1 countries.

  • American Consumers

    One of the major factors that creates failed and corrupt governments around the world is us -- Americans -- and our insatiable consumption of oil. As the largest petroleum consumers in the world, we are the driving force of a global energy market in which the suppliers are often corrupt regimes maintaining power in part through the revenues they extract from our consumption. If we want to fix the problem of failed states, we must start by reforming our own approach to energy: adopting smart-growth policies, driving less, and creating alternative energy sources. Until then, we are just fueling the very corruption we condemn. Sen. Benjamin L. Cardin of Maryland chairs the Commission on Security and Cooperation in Europe (U.S. Helsinki Commission).

  • The Risk and Rewards in Afghanistan's Resources

    The New York Times, in a front-page story last week, reported that $1 trillion worth of minerals was buried in the mountains of Afghanistan. Geologists, Afghan officials and mining companies stand ready to launch a modern-day gold rush. Before everyone charges in, however, we need to recognize the risks and rewards inherent in these resources. This story ran soon after major news outlets noted that the U.S. military wants to fight corruption in Afghanistan’s government as a key to winning the war. In principle, these deposits mean resources for Afghanistan to build its economy as the “Saudi Arabia of lithium.” But expanding Afghanistan’s economy from the current $12 billion to potentially $1 trillion will be a boon only if these resources are managed properly. Many other countries already have proved that resource revenue often leads to corruption and instability. For example, roughly 60 developing countries are rich in natural resources yet home to more than two-thirds of the world’s poorest people. Despite billions of dollars per year in oil, gas or mineral revenue, these countries rank among the worst when it comes to economic growth, authoritarian governance, poverty and political instability. The Afghan reports should spur immediate action in Congress to ensure transparency in how U.S. and international companies tap these resources. Transparency in the oil, gas and mining sectors has been endorsed for years by the G-8, the International Monetary Fund, the World Bank and regional development banks. It is clear to financial leaders that transparency is key to holding governments accountable for the needs of their citizens — and for greater energy security overall. If citizens and international organizations know how much money a country is paid for oil access, it is harder for its leader to claim the government would happily build roads, schools and hospitals but cannot afford them. Transparency will help those who want to follow the money to combat corruption, poverty and violence. In countries with rival ethnic groups, like Afghanistan, it also helps ensure that revenues are distributed equitably. Afghanistan has made a good first step by joining the Extractive Industries Transparency Initiative, a voluntary international standard designed to promote transparency in the oil, gas and mining sectors. This group has made tremendous strides in changing the culture of secrecy that surrounds the extractive industries. But too many countries and companies remain outside this system. It is time to create an international standard for transparency in law. Secrecy of extractive payments carries real risks for citizens — and investors. We introduced the Energy Security Through Transparency Act to require most extractive industries — including oil, gas and mining companies — to disclose what they pay local governments for access to natural resources. This simple step, adding information to filings already required by the Securities and Exchange Commission, could help promote civil society and combat corruption in countries both blessed and cursed with natural resources. The extractive industries face unique material and reputational risks in the form of country-specific taxes and regulations. Challenges are compounded by the substantial capital companies need and the importance of natural resource access to the national security and strategic objectives of the United States and other major energy and mineral consumers. Creating a reporting requirement with the SEC can capture a larger portion of the international extractive corporations than any other single mechanism — thereby setting a global standard for transparency and promoting a level playing field. Our bill could help in following the money trail, making it harder to hide corruption and easier to bring the reforms needed to ensure that the blessing of natural resources does not turn into a curse. Afghanistan is at a crossroads. If we want to leave Afghanistan with a viable economy and a stable government, we have to help the nation get this right. Our bill could be the linchpin in a far larger U.S. and international effort, at all levels of government, to promote transparency and open the books in Afghanistan. The newfound resources would then lead to a new era of prosperity — and not be squandered through corruption. Afghanistan’s future — and the success of U.S. and NATO men and women serving in Afghanistan — are at stake. Sens. Ben Cardin (D-Md.) and Dick Lugar (R-Ind.) serve on the Senate Foreign Relations Committee.

  • Chairman Cardin and Senator Wicker Colloquy on Russia

    Mr. WICKER. Mr. President, I am appreciative that I am able to join today with my friend and colleague, Senator Cardin. I appreciate his joining me today to discuss an issue of great concern to both of us and to human rights advocates around the world. That is the ongoing trial in Russia of Mikhail Khodorkovsky and his business partner Platon Lebedev. In June of last year, Senator Cardin joined me in introducing a resolution urging the Senate to recognize that Khodorkovsky and Lebedev have been denied basic due process rights under international law for political reasons. It is particularly appropriate, I think, that Senator Cardin and I be talking about this this afternoon because in a matter of days, Russian President Medvedev will be coming to the United States and meeting with President Obama. I think this would be a very appropriate topic for the President of the United States to bring up to the President of the Russian Federation.  I can think of no greater statement that the Russian President could make on behalf of the rule of law and a movement back toward human rights in Russia than to end the show trial of these two individuals and dismiss the false charges against them.  Since his conviction, Khodorkovsky has spent his time either in a Siberian prison camp or a Moscow jail cell. Currently, he spends his days sitting in a glass cage enduring a daily farce of a trial that could send him back to Siberia for more than 20 years. Amazingly, Mikhail Khodorkovsky remains unbroken.  I think it appropriate that President Obama and Secretary of State Clinton have committed to resetting relations with the country. I support them in this worthwhile goal. Clearly, our foreign relations can always stand to be improved. I support strengthening our relations, particularly with Russia. However, this strengthening must not be at the expense of progress on the issue of the rule of law and an independent judiciary. The United States cannot publicly extol the virtues of rule of law and an independent judiciary and at the same time turn a blind eye to what has happened to Khodorkovsky and Lebedev.  I urge President Obama and Secretary Clinton to put the release of these two men high on the agenda as we continue to engage with Russia, and high on the agenda for President Medvedev's upcoming meeting here in Washington, DC.  Mr. CARDIN. Mr. President, I thank Senator Wicker for taking this time for this colloquy. He has been a real champion on human rights issues and on bringing out the importance for Russia to move forward on a path of democracy and respect for human rights. He has done that as a Senator from Mississippi. He has done that as a very active member of the Helsinki Commission. I have the honor of chairing the Helsinki Commission, which I think is best known because of its fight on behalf of human rights for the people, particularly in those countries that were behind the Iron Curtain—particularly before the fall of the Soviet Union, where we were regularly being the voices for those who could not have their voices heard otherwise because of the oppressive policies of the former Soviet Union.  So in the 1990s, there was great euphoria that at the end of the Cold War, the reforms that were talked about in Russia—indeed, the privatization of many of its industries—would at last bring the types of rights to the people of Russia that they so needed. But, unfortunately, there was a mixed message, and in the 1990s, I think contrary to Western popular opinion at the time, Russia did not move forward as aggressively as we wanted with freedom and democracy.  It is interesting that Mikhail Khodorkovsky, who was part of the Communist elite, led the country into privatization in the right way. He took a company, Yukos Oil Company, and truly made it transparent and truly developed a model of corporate governance that was unheard of at the time in the former Soviet Union and unheard of in the Russian Federation, and he used that as a poster child to try to help the people of Russia. He started making contributions to the general welfare of the country, which is what we would like to see from the business and corporate community. He did that to help his own people. But he ran into trouble in the midst of the shadowy and violent Russian market, and his problems were encouraged many times by the same people who we thought were leading the reform within the Russian Federation.  By 1998, with the collapse of the ruble, the people of Russia were disillusioned; they found their prosperity was only temporary. The cost of imports was going up. The spirit of nationalism, this nationalistic obsession, became much more prominent within the Russian Federation, and the move toward privatization lost a lot of its luster.  The rise of Mr. Putin to power also established what was known as vertical power, and independent companies were inconsistent with that model he was developing to try to keep control of his own country. Therefore, what he did under this new rubric was to encourage nationalization spirit, to the detriment of independent companies and to the detriment of the development of opposition opportunity, democracy, and personal freedom. We started to see the decline of the open and free and independent media.  All of this came about, and a highly successful and independent company such as Yukos under the leadership of Mikhail Khodorkovsky was inconsistent with what Mr. Putin was trying to do in Russia. As a result, there was a demise of the company, and the trials ensued. My friend Senator Wicker talked about what happened in the trial. It was a miscarriage of justice. It was wrong. We have expressed our views on it. And it is still continuing to this day. I thank Senator Wicker for continuing to bring this to the Members' attention and I hope to the people of Russia so they will understand there is still time to correct this miscarriage of justice.  Mr. WICKER. I thank my colleague.  I will go on to point out that things started coming to a head when Mr. Khodorkovsky started speaking out against the Russian Government, led by President Putin, and his company that he headed, Yukos, came into the sights of the Russian Federation.  Mr. Khodorkovsky visited the United States less than a week before his arrest. He was in Washington speaking to Congressman Tom Lantos, the late Tom Lantos, a venerated human rights advocate from the House of Representatives, who had seen violations of human rights in his own rights. Mr. Khodorkovsky told Congressman Lantos that he had committed no crimes but he would not be driven into exile. He said: "I would prefer to be a political prisoner rather than a political immigrant." And, of course, a political prisoner is what he is now.  Shortly after his arrest, government officials accused Yukos Oil of failing to pay more than $300 billion in taxes. At the time, Yukos was Russia's largest taxpayer. Yet they were singled out for tax evasion. And PricewaterhouseCoopers had recently audited the books of Yukos, and the government tax office had approved the 2002 to 2003 tax returns just months before this trumped-up case was filed.  The Russian Government took over Yukos, auctioned it off, and essentially renationalized the company, costing American stockholders $7 billion and stockholders all around the country who had believed Russia was liberalizing and becoming part of the market society. A Swiss court has ruled the auction illegal. A Dutch court has ruled the auction illegal. But even more so, they tried these two gentlemen and placed them in prison. Mr. Khodorkovsky apparently had the mistaken impression that he was entitled to freedom of speech, and we discovered that in Russia, at the time of the trial and even today, he was not entitled, in the opinion of the government, to his freedom of speech.  A recent foreign policy magazine called Khodorkovsky the "most prominent prisoner" in Vladimir Putin's Russia and a symbol of the peril of challenging the Kremlin, which is what Mr. Khodorkovsky did.  I would quote a few paragraphs from a recent AP story by Gary Peach about the testimony of a former Prime Minister who actually served during the Putin years:  A former Russian prime minister turned fierce Kremlin critic came to the defense of an imprisoned tycoon on Monday—  This is a May 24 article—  -- telling a Moscow court that prosecutors' new charges of massive crude oil embezzlement are absurd.  What we now find is that when Mr. Khodorkovsky is about to be released from his first sentence, new charges have arisen all of a sudden. After years and years of imprisonment in Siberia, new charges have arisen.  Mikhail Kasyanov, who headed the government in 2000-2004, told the court that the accusations against Khodorkovsky, a former billionaire now serving an eight-year sentence in prison, had no basis in reality.  This is a former Prime Minister of the Russian Federation.  Prosecutors claim that Khodorkovsky, along with his business partner [who is also in prison] embezzled some 350 million tons—or $25 billion worth—of crude oil while they headed the Yukos Oil Company.  That's all the oil Yukos produced over six years, from 1998 to 2003. I consider the accusation absurd.  He said that while Prime Minister, he received regular reports about Russia's oil companies and that Yukos consistently paid its taxes. Kasyanov, who served as Prime Minister during most of President Putin's first term, said that both the current trial and the previous one, which ended with a conviction, were politically motivated. So I would say this is indeed a damning accusation of the current trial going on, even as we speak, in Moscow.  Mr. CARDIN. Senator Wicker has pointed out in I think real detail how the dismantling of the Yukos Oil Company was done illegally under any international law; it was returning to the Soviet days rather than moving forward with democratic reform. As Senator Wicker has pointed out, the personal attack on its founders—imprisoning them on charges that were inconsistent with the direction of the country after the fall of the Soviet Union—was another miscarriage of justice, and it is certainly totally inconsistent with the statements made after the fall of the Soviet Union.  The early Putin years were clearly a return to nationalism in Russia and against what was perceived at that time by the popular Western view that Russia was on a path toward democracy. It just did not happen. And it is clearly a theft of a company's assets by the government and persecution, not prosecution, of the individuals who led the company toward privatization, which was a clear message given by the leaders after the fall of the Soviet Union.  This cannot be just left alone. I understand the individuals involved may have been part of the elite at one time within the former Soviet Union. I understand, in fact, there may have been mixed messages when you have a country that is going through a transition. But clearly what was done here was a violation of their commitments under the Helsinki Commission, under the Helsinki Final Act. It was a violation of Russia's statements about allowing democracy and democratic institutions. It was a violation of Russia's commitments to allow a free market to develop within their own country. All of that was violated by the manner in which they handled Mr. Khodorkovsky as well as his codefendant and the company itself. And it is something we need to continue to point out should never have happened.  The real tragedy here is that this is an ongoing matter. As Senator Wicker pointed out, there is now, we believe, an effort to try him on additional charges even though he has suffered so much. And it is a matter that—particularly with the Russian leadership visiting the United States, with direct meetings between our leaders, between Russia and the United States—I hope can get some attention and a chance for the Russian Federation to correct a miscarriage of justice.  Mr. WICKER. Indeed, the second show trial of Mr. Khodorkovsky has entered its second year. We have celebrated the anniversary of the second trial.  I ask unanimous consent to have printed in the Record an editorial by the Washington Post dated June 9, 2010, at this point.  There being no objection, the material was ordered to be printed in the Record, as follows:  [From the Washington Post, June 9, 2010]  Show Trial: Should Ties to Russia Be Linked to Its Record on Rights?  Russia's government has calculated that it needs better relations with the West to attract more foreign investment and modern technology, according to a paper by its foreign ministry that leaked to the press last month. Prime Minister Vladimir Putin has recently made conciliatory gestures to Poland, while President Dmitry Medvedev sealed a nuclear arms treaty with President Obama. At the United Nations, Russia has agreed to join Western powers in supporting new sanctions against Iran.  Moscow's new friendliness, however, hasn't led to any change in its repressive domestic policies. The foreign ministry paper says Russia needs to show itself as a democracy with a market economy to gain Western favor. But Mr. Putin and Mr. Medvedev have yet to take steps in that direction. There have been no arrests in the more than a dozen outstanding cases of murdered journalists and human rights advocates; a former KGB operative accused by Scotland Yard of assassinating a dissident in London still sits in the Russian parliament.  Perhaps most significantly, the Russian leadership is allowing the trial of Mikhail Khodorkovsky, a former oil executive who has become the country's best-known political prisoner, to go forward even though it has become a showcase for the regime's cynicism, corruption and disregard for the rule of law. Mr. Khodorkovsky, who angered Mr. Putin by funding opposition political parties, was arrested in 2003 and convicted on charges of tax evasion. His Yukos oil company, then Russia's largest, was broken up and handed over to state-controlled firms.  A second trial of Mr. Khodorkovsky is nearing its completion in Moscow, nearly a year after it began. Its purpose is transparent: to prevent the prisoner's release when his first sentence expires next year. The new charges are, as Mr. Putin's own former prime minister testified last week, absurd: Mr. Khodorkovsky and an associate, Platon Lebedev, are now accused of embezzling Yukos's oil production, a crime that, had it occurred, would have made their previously alleged crime of tax evasion impossible.  Mr. Khodorkovsky, who acquired his oil empire in the rough and tumble of Russia's transition from communism, is no saint, but neither is he his country's Al Capone, as Mr. Putin has claimed. In fact, he is looking more and more like the prisoners of conscience who have haunted previous Kremlin regimes. In the past several years he has written numerous articles critiquing Russia's corruption and lack of democracy, including one on our op-ed page last month.  Mr. Obama raised the case of Mr. Khodorkovsky last year, and the State Department's most recent human rights report said the trial "raised concerns about due process and the rule of law." But the administration has not let this obvious instance of persecution, or Mr. Putin's overall failure to ease domestic repression, get in the way of its "reset" of relations with Moscow. If the United States and leading European governments would make clear that improvements in human rights are necessary for Moscow to win trade and other economic concessions, there is a chance Mr. Putin would respond. If he does not, Western governments at least would have a clearer understanding of where better relations stand on the list of his true priorities.  Mr. WICKER. The editorial points out that Russia's Government is trying to think of ways to attract more foreign investment, and it juxtaposes this desire for more Western openness and investment with the Khodorkovsky matter and says that this trial has become a showcase for the Russian regime's cynicism, corruption, and disregard for the rule of law.  It goes on to say: The new charges are, as Mr. Putin's own Prime Minister testified last week, absurd. Mr. Khodorkovsky and his associate, Platon Lebedev, are now accused of embezzling Yukos Oil's production—a crime that, had it occurred, would have made their previously alleged crime of tax evasion impossible. So the cynicism of these charges is that they are inconsistent with each other. Yet, in its brazenness, the Russian Federation Government and its prosecutors proceed with these charges.  The article goes on to say: Mr. Khodorkovsky is looking more and more like a prisoner of conscience who haunted the previous criminal regime.  It says:  Mr. Obama raised the case of Mr. Khodorkovsky last year, and the State Department's most recent human rights report said the trial "raised concerns about due process and the rule of law."  I will say they raised concerns.  Let me say in conclusion of my portion—and then I will allow my good friend from Maryland to close—this prosecution and violation of human rights and the rule of law of Lebedev and Khodorkovsky has brought the censure of the European Court of Human Rights that ruled that Mr. Khodorkovsky's rights were violated. A Swiss court has condemned the action of the Russian Federation and ruled it illegal. A Dutch court has said it is illegal. It has been denounced by such publications as Foreign Policy magazine, the Washington Post, a former Prime Minister who actually served under Mr. Putin. It has been denounced in actions and votes by the European Parliament, by other national parliaments, by numerous human rights groups, and by the U.S. State Department.  I submit, for those within the sound of my voice—and I believe there are people on different continents listening to the sound of our voices today—it is time for the Russian President to step forward and put an end to this farce, admit that this trial has no merit in law, and it is time for prosecutors in Moscow to cease and desist on this show trial and begin to repair the reputation of the Russian Federation when it comes to human rights and the rule of law.  Mr. CARDIN. Mr. President, I thank Senator Wicker for bringing out the details of this matter. It has clearly been recognized and condemned by the international community as against international law. It is clearly against the commitments Russia had made when the Soviet Union fell. It is clearly of interest to all of the countries of the world. Originally, when Yukos oil was taken over, investors outside of Russia also lost money. So there has been an illegal taking of assets of a private company which have affected investors throughout the world, including in the United States. It has been offensive to all of us to see imprisoned two individuals who never should have been tried and certainly should not be in prison today. All that is offensive to all of us. But I would think it is most offensive to the Russian people.  The Russian people believed their leaders, when the Soviet Union collapsed, that there would be respect for the rule of law; that there would be an independent judiciary, and their citizens could get a fair trial.  We all know—and the international community has already spoken about this—that Mikhail Khodorkovsky did not get a fair trial. So the commitment the Russian leaders made to its own people of an independent and fair judiciary has not been adhered to. This is not an isolated example within Russia. We know investigative reporters routinely are arrested, sometimes arrested with violence against them. We know opposition parties have virtually no chance to participate in an open system, denying the people a real democracy. But here with justice, Russia has a chance to do so.  I find it remarkable that Mr. Khodorkovsky's spirits are still strong, as Senator Wicker pointed out. Let me read a recent quote from Mr. Khodorkovsky himself, who is in prison:  “You know, I really do love my country, my Moscow. It seems like one huge apathetic and indifferent anthill, but it's got so much soul. . . . You know, inside I was sure about the people, and they turned out to be even better than I'd thought.” I think Senator Wicker and I both believe in the Russian people. We believe in the future of Russia. But the future of Russia must be a nation that embraces its commitments under the Helsinki Final Act. It has to be a country that shows compassion for its citizens and shows justice. Russia can do that today by doing what is right for Mr. Khodorkovsky and his codefendant: release them from prison, respect the private rights and human rights of its citizens, and Russia then will be a nation that will truly live up to its commitment to its people to respect human rights and democratic principles.  Again, I thank Senator Wicker for bringing this matter to the attention of our colleagues. It is a matter that can be dealt with, that should be dealt with, and we hope Russia will show justice in the way it handles this matter.  Mr. WICKER. I thank my colleague and yield the floor.   

  • Global Threats, European Security and Parliamentary Cooperation

    From nuclear security to climate change, global terrorism to anti-corruption efforts, this hearing examined what parliamentarians can do to work together on some of the most significant challenges facing the world. Members addressed European and Central Asian security concerns, including unresolved conflicts in the Balkans and elsewhere, and considered how international parliaments can cooperate to address challenges related to trafficking, tolerance, and democratic development, including elections and media freedom.

  • OSCE Representative Cites Threats to Free Media

    Mr. HASTINGS of Florida. Madam Speaker, as Co-Chairman of the Helsinki Commission, I wish to draw the attention of colleagues to the timely and informative testimony of the OSCE Representative on Freedom of the Media, Dunja Mijatovic, who testified earlier today at a Commission hearing on ``Threats to Free Media in the OSCE Region.'' She focused on various threats to journalists and independent media outlets, including physical attacks and adoption of repressive laws on the media as well as other forms of harassment. Most troubling is the murder of journalists because of their professional activities. According to the U.S.-based Committee to Protect Journalists, 52 journalists have been killed in Russia alone since 1992, many reporting on corruption or human rights violations. Ms. Mijatovic also flagged particular concern over existing and emerging threats to freedom on the Internet and other communications technologies. She also voiced concern over the use of criminal statutes on defamation, libel and insult which are used by some OSCE countries to silence journalists or force the closure of media outlets. With respect to the situation in the United States, she urged adoption of a shield law at the federal level to create a journalists' privilege for federal proceedings. Such a provision was part of the Free Flow of Information Act of 2009, which passed the House early in the Congress and awaits consideration by the full Senate.  As one who has worked to promote democracy, human rights and the rule of law in the 56 countries that comprise the OSCE, I share many of the concerns raised by Ms. Mijatovic in her testimony and commend them to colleagues.    ORGANIZATION FOR SECURITY AND CO-OPERATION IN EUROPE REPRESENTATIVE ON FREEDOM OF THE MEDIA  (By Dunja Mijatovic) [From the Helsinki Commission Hearing on the Threats to Free Media in the OSCE Region, June 9, 2010]  Dear Chairmen, Distinguished Commissioners, Ladies and Gentlemen,  I am honored to be invited to this hearing before the Helsinki Commission at the very beginning of my mandate. I feel privileged to speak before you today. The Helsinki Commission's welcoming statement issued on the day of my appointment is a clear manifestation of the strong support you continuously show toward the work of this unique Office, and I assure you, distinguished Commissioners, that this fact is very much appreciated.  It will be three months tomorrow since I took office as the new Representative on Freedom of the Media to the OSCE. Even though three months may sound short, it has proved more than enough to gain a deep insight, and unfortunately also voice concerns, about the decline of media freedom in many of the 56 countries that today constitute the OSCE.  Although the challenges and dangers that journalists face in our countries may differ from region to region, one sad fact holds true everywhere: The freedom to express ourselves is questioned and challenged from many sides. Some of these challenges are blatant, others concealed; some of them follow traditional methods to silence free speech and critical voices, some use new technologies to suppress and restrict the free flow of information and media pluralism; and far too many result in physical harassment and deadly violence against journalists.  Today, I would like to draw your attention to the constant struggle of so many institutions and NGOs around the world, including your Commission and my Institution, to combat and ultimately stop violence against journalists. I would also like to address several other challenges that I want to place in the center of my professional activities, each of which I intend to improve by relentlessly using the public voice I am now given at the OSCE.  Let me first start with violence against journalists.  Ever since it was created in 1997, my Office has been raising attention to the alarming increase of violent attacks against journalists. Not only is the high number of violent attacks against journalists a cause for concern. Equally alarming is the authorities' far too-prevalent willingness to classify many of the murders as unrelated to the journalists' professional activities. We also see that more and more often critical speech is being punished with questionable charges brought against the journalists.  Impunity of perpetrators and the responsible authorities' passivity in investigating and failing to publicly condemn these murders breeds further violence. There are numerous cases that need to be raised over and over again. We need to continue to loudly repeat the names of these courageous individuals who lost their lives for the words they have written. I am sorry for all those whom I will not mention today; but the names that follow are on the list that I call ``the Hall of Shame'' of those governments that still have not brought to justice the perpetrators of the horrifying murders that happened in their countries.  The most recent murder of a journalist in the OSCE area is the one of the Kyrgyz opposition journalist Gennady Pavlyuk (Bely Parokhod), who was killed in Kazakhstan in December last year. It gives me hope that the new Interim Government of Kyrgyzstan has announced to save no efforts to bring the perpetrators to justice, as well as those involved in the 2007 murder of Alisher Saipov (Siyosat).  The Russian Federation remains the OSCE participating State where most members of the media are killed. Paul Klebnikov (Forbes, Russia), Anna Politkovskaya (Novaya Gazeta), Anastasia Baburova (Novaya Gazeta), are the most reported about, but let us also remember Magomed Yevloyev (Ingushetiya), Ivan Safronov (Kommersant), Yury Shchekochikhin (Novaya Gazeta), Igor Domnikov (Novaya Gazeta), Vladislav Listyev (ORT), Dmitry Kholodov (Moskovsky Komsomolets) and many others.  We also should not forget the brutal murders of the following journalists, some remain unresolved today:  Hrant Dink (Agos) Armenian Turkish journalist was shot in 2007 in Turkey.  Elmar Huseynov (Monitor) was murdered in 2005 in Azerbaijan.  Georgy Gongadze (Ukrainskaya Pravda) was killed in 2000 in Ukraine.  In Serbia, Slavko Curuvija (Dnevni Telegrat) was murdered in 1999, and Milan Pantic (Vecernje Novosti) was killed in 2001.  In Montenegro, Dusko Jovanovic (Dan), was shot dead in 2004.  In Croatia, Ivo Pukanic (Nacional) and his marketing director, Niko Franjic, were killed by a car bomb in 2008.  Violence against journalists equals violence against society and democracy, and it should be met with harsh condemnation and prosecution of the perpetrators. There can be no improvement without an overhaul of the very apparatus of prosecution and law enforcement, starting from the very top of the Government pyramid.  There is no true press freedom as long as journalists have to fear for their lives while performing their work. The OSCE commitments oblige all participating States to provide safety to these journalists, and I will do my best to pursue this goal with the mandate I am given and with all professional tools at my disposal.  We also observe another very worrying trend; more and more often the imprisonment of critical journalists based on political motivations including fabricated charges. Let me mention some cases:  In Azerbaijan, the prominent editor-in-chief of the now-closed independent Russian-language weekly, Realny Azerbaijan, and Azeri-language daily, Gundalik Azarbaycan, Eynulla Fatullayev was sentenced in 2007 to a cumulative eight-and-a-half years in prison on charges on defamation, incitement of ethnic hatred, terrorism and tax evasion. The European Court of Human Rights (ECtHR) found Azerbaijan in violation of Article 10 and Article 6, paragraphs 1 and 2 of the European Convention on Human Rights, so there is only one possible outcome--Fatullayev should be immediately released.  In Kazakhstan, Ramazan Yesergepov, the editor of Alma-Ata Info, is serving a three-year prison term on charges of disclosing state secrets.  Emin Milli and Adnan Hajizade, bloggers from Azerbaijan, are serving two and a half years and two years in prison respectively since July 2009 on charges of hooliganism and infliction of light bodily injuries.  In Uzbekistan, two independent journalists, Dilmurod Saiid (a freelancer) and Solijon Abdurahmanov (Uznews), are currently serving long jail sentences (twelve-and-a-half-years and ten years) on charges of extortion and drug possession.  I will continue to raise my voice and demand the immediate release of media workers imprisoned for their critical work.  I join Chairman Cardin for commending independent journalists in the Helsinki Commission's recent statement on World Press Freedom Day. These professionals pursue truth wherever it may lead them, often at great personal risk. They indeed play a crucial and indispensable role in advancing democracy and human rights. By highlighting these murder and imprisonment cases, by no means do I intend to neglect other forms of harassment or intimidation that also have a threatening effect on journalists. Let me just recall that, with the heightened security concerns in the last decade, police and prosecutors have increasingly raided editorial offices, journalists' homes, or seized their equipment to find leaks that were perceived as security threats. Suppression and restriction of Internet Freedom  Turning to the problems facing Internet freedom, we can see that new media have changed the communications and education landscape in an even more dramatic manner than did the broadcast media in the last half century. Under my mandate, the challenge has remained the same: how to safeguard or enhance pluralism and the free flow of information, both classical Helsinki obligations within the OSCE.  It was in 1998 that I read the words of Vinton G. Cerf in his article called ``Truth and the Internet''. It perfectly summarizes the nature of the Internet and the ways it can create freedom.  Dr. Cerf calls the Internet one of the most powerful agents of freedom: It exposes truth to those who wish to see it. But he also warns us that the power of the Internet is like a two-edged sword: it can also deliver misinformation and uncorroborated opinion with equal ease. The thoughtful and the thoughtless co-exist side by side in the Internet's electronic universe. What is to be done, asks Cerf.  His answer is to apply critical thinking. Consider the Internet as an opportunity to educate us all. We truly must think about what we see and hear, and we must evaluate and select. We must choose our guides. Furthermore, we must also teach our children to think more deeply about what they see and hear. That, more than any electronic filter, he says, will build a foundation upon which truth can stand.  Today, this foundation upon which truth could indeed so firmly stand is under continuous pressure by governments. As soon as governments realized that the Internet challenges secrecy and censorship, corruption, inefficiency and bad governing, they started imposing controls on it. In many countries and in many ways the effects are visible and they indeed threaten the potential for information to circulate freely.  The digital age offers the promise of a truly democratic culture of participation and interactivity. Realizing that promise is the challenge of our times. In the age of the borderless Internet, the protection of the right to freedom of expression ``regardless of frontiers'' takes on a new and more powerful meaning.  In an age of rapid technological change and convergence, archaic governmental controls over the media are increasingly unjust, indefensible and ultimately unsustainable. Despite progress, many challenges remain, including the lack of or poor quality of national legislation relating to freedom of information, a low level of implementation in many OSCE member states and existing political resistance.  The importance of providing free access for all people anywhere in the world cannot be raised often enough in the public arena, and cannot be discussed often enough among stakeholders: civil society, media, as well as local and international authorities.  Freedom of speech is more than a choice about which media products to consume.  Media freedom and freedom of speech in the digital age also mean giving everyone--not just a small number of people who own the dominant modes of mass communication, but ordinary people, too--an opportunity to use these new technologies to participate, interact, build, route around and talk about whatever they wish--be it politics, public issues or popular culture. The Internet fundamentally affects how we live. It offers extraordinary opportunities for us to learn, trade, connect, create and also to safeguard human rights and strengthen democratic values. It allows us to hear each other, see each other and speak to each other. It can connect isolated people and help them through their personal problems.  These rights, possibilities and ideals are at the heart of the Helsinki Process and the OSCE principles and commitments that we share. We must find the best ways to spread access to the Internet, so that the whole world can benefit from what it can offer, rather than increasing the existing gaps between those who have access to information and those who do not. And to those governments who fear and distrust the openness brought along by the Internet, let me emphasize over and over again:  The way a society uses the new communications technologies and how it responds to economic, political and cultural globalization will determine the very future of that society. Restrict access to information, and your chances to develop will become restricted. Open up the channels of free communication, and your society will find ways to prosper.  I was delighted to hear Secretary of State Clinton speak about a basic freedom in her January speech on Internet freedom in the ``Newseum''. This freedom is the freedom to connect. Secretary Clinton rightly calls this freedom the freedom of assembly in cyber space. It allows us to come together online, and shape our society in fundamental ways. Fame or money is no longer a requisite to immensely affect our world.  My office is rapidly developing a comprehensive strategy to identify the main problems related to Internet regulation in the 56 countries of the OSCE, and ways to address these issues. I will count on the support of the Helsinki Commission to advance the universal values that this strategy will attempt to extend to those countries where these values are still being questioned.  Let me also mention the importance to protect the freedom of other new technologies.  Only two weeks ago, my Office organized the 12th Central Asia Media Conference in Dushanbe, Tajikistan, where media professionals from all five Central Asian countries adopted a declaration on access to information and new technologies. This document calls on OSCE governments to facilitate the freer and wider dissemination of information, including through modern information and communication technologies, so as to ensure wide access of the public to governmental information.  It also reiterates that new technologies strengthen democracy by ensuring easy access to information, and calls upon state institutions with legislative competencies to refrain from adopting new legislation that would restrict the free flow of information. And only this spring my Office published a guide to the digital switchover, to assist the many OSCE countries where the switch from analogue to digital will take place in the next five years. The aim of the guide is to help plan the digitalization process, and help ensure that it positively affects media freedom, as well as the choice and quality available to the audience.  Besides advocating the importance of good digitalization strategies, I will also use all available fora to raise attention to the alarming lack of broadcast pluralism, especially television broadcast pluralism, in many OSCE countries. As television is the main source of information in many OSCE regions, we must ensure that the laws allow for diverse, high-quality programs and objective news to easily reach every one of us. Only well-informed citizens can make good choices and further democratic values. Whether we talk about Internet regulation, inventive ways to switch to digital while preserving the dominance of a few selected broadcasters, attempts to limit access to information or broadcast pluralism, we must keep one thing in mind: No matter what governments do, in the long run, their attempts to regulate is a lost battle.  People always find ways to obtain the rights that are denied to them. History has shown this over and over again. In the short run, however, it is very clear that I will intervene with governments which try to restrict the free flow of information. Defamation  Similar to fighting violence against journalists, my Office has been campaigning since its establishment in 1997 to decriminalize defamation and libel in the entire OSCE region.  Unfortunately, in most countries, defamation is still punishable by imprisonment, which threatens the existence of critical speech in the media. This is so despite the consistent rulings of the European Court of Human Rights in Strasbourg, stating that imprisonment for speech offences, especially when committed by criticizing public figures, is a disproportionate punishment.  Let us again remind ourselves of the journalists and bloggers I have mentioned above when discussing violence against journalists. They are currently in prison because their writing was considered defamatory. Their fate reminds us all of the importance of the right to freely speak our mind.  This problem needs urgent reform not only in the new, but also in the old democracies of the OSCE. Although the obsolete criminal provisions have not been used in Western Europe for decades, their ``chilling effect'' remained.  Furthermore, the mere existence of these provisions has served as a justification for other states that are unwilling to stop the criminalization of journalistic errors, and instead leave these offenses solely to the civil-law domain.  Currently, defamation is a criminal offence in all but ten OSCE countries--my home country Bosnia and Herzegovina, Cyprus, Estonia, Georgia, Ireland, Moldova, Romania, Ukraine, the United Kingdom and the United States.  Last year, three OSCE countries decriminalized defamation, which I consider to be an enormous success: Ireland, Romania and the United Kingdom; the last being the first among the Western European participating States to officially decriminalize defamation.  Some other countries, such as Armenia, are currently reforming their defamation provisions, and I hope that I can soon welcome the next country that carries out this important and very long overdue reform.   Concluding remarks  Dear Chairmen,  Dear Commissioners,  Ladies and Gentlemen,  The above problematic areas--violence against journalists, restrictions of new media including the Internet, lack of pluralism and resistance to decriminalize defamation--are among the most urgent media freedom problems that need our attention and concentrated efforts today. However, we will also not forget about the many other fields where there is plenty of room to improve. Of course, I will not miss the excellent opportunity that we are here together today to raise your attention to the topic that my distinguished predecessor, Miklos Haraszti, has already raised with you: the establishment and the adoption of a federal shield law in the United States.  As you know, my Office has been a dedicated promoter of the federal shield law for many years. If passed, the Free Flow of Information Act would provide a stronger protection to journalists; it could ensure that imprisonments such as that of Judith Miller in 2005, and Josh Wolf in 2006, could never again take place and hinder investigative journalism. But the passage of such legislation would resonate far further than within the borders of the United States of America. It could send a very much needed signal and set a precedent to all the countries where protection of sources is still opposed by the government and is still not more than a dream for journalists.  I respectfully ask all of you, distinguished Commissioners, to continue and even increase your efforts to enable that the Free Flow of Information Act soon becomes the latest protector of media freedom in the United States.  And of course I cannot close my speech without mentioning my home country, Bosnia and Herzegovina. As you know, not only Bosnia and Herzegovina, but also most of the emerging democracies in the Balkans enjoy modern and forward-looking media legislation. We can openly say that they almost have it all when it comes to an advanced legal and regulatory framework enabling free expression to thrive. But it is not that simple. I use this moment to pose several questions: if there are good laws, then why do we still face severe problems in relation to media freedom, why do we stagnate and sometimes even move backward? Where does the problem lie? And, more importantly, how can we solve it and move ahead?  What Bosnia and Herzegovina shows us is that good laws in themselves are not enough. Without their good implementation, they are only documents filled with unrealized potential. In countries that struggle with similar problems, we must stress over and over again: without the full implementation of valid legislation, without genuine political will, without a comprehensive understanding of the media's role in a functioning democracy, without the creation of a safe environment for journalists to do their work, and without true commitment by all actors, these countries risk falling far behind international standards.  Apart from unmet expectations and disillusioned citizens, we all know that the consequences of politicized and misused media could be very serious. In conclusion, let me assure you, dear Commissioners, that I will not hesitate to openly and vigorously remind any country of their responsibilities toward implementing the OSCE commitments to the freedom of the media.  I am also asking you to use this opportunity today and send a clear message to the governments of all OSCE countries to do their utmost to fully implement their media legislation safeguarding freedom of expression. The governments have the power to create an environment in which media can perform their unique role free of pressures and threats. Without this, no democracy can flourish.  Thank you for your attention.

  • Mitigating Inter-Ethnic Conflict in the OSCE Region

    This hearing, presided over by Sen. Benjamin Cardin, discussed the Helsinki Process’s role in mitigating inter-ethnic conflict in the OSCE region. The hearing discussed the situation in Kyrgyzstan, ethnic conflicts in the Caucasus, the still-lingering effects of the 1944 mass deportation of Crimean minorities, and ethnic cleansing in Bosnia. Witnesses at the hearing included Heidi Tagliavani, Ambassador and Under Secretary of State for Switzerland and head of the European Union investigation of the 2008 Russia-Georgia conflict; Peter Semneby, Special Representative for the South Caucasus for the European Union; and Mr. Soren Jessen-Petersen, former Special Representative for Kosovo for the United Nations.

  • U.S. Lawmaker Urges Action on Russian Lawyer's Death

    A U.S. senator is urging the State Department to deny entry to the United States for all Russian officials responsible for the prison death of a lawyer. Sergey Magnitsky died in November after spending nearly a year in jail. He was awaiting trial on tax-evasion charges linked to his work with a British investor barred from Russia because of allegations he was a security risk. Maryland Democratic Sen. Benjamin Cardin released a letter to Secretary of State Hillary Rodham Clinton on Monday asking her to deny entry of several senior officials from the Russian Interior Ministry, the Federal Security Service and the Federal Tax Service. Magnitsky's colleagues and attorney believe them to be involved in the death of Magnitsky.    

  • The Link Between Revenue Transparency and Human Rights

    This hearing focused on the lack of transparency within governments and the energy sector posing both a threat to energy exports and the ability of governments to properly manage revenue for their citizens. The hearing examined how such policies affect government accountability. Instead of serving their citizens, politicians often take advantage of the resources of the country in pursuit of their own self-interest. In particular, the continued assaults on freedom of speech and on civil society and how that bodes for the future of EITI implementation in Azerbaijan were discussed. The Commissioners and the witnesses looked into the present actions of the U.S. and what could be done within the OSCE process to address these issues.

  • Natural Resource Charter

    Mr. President, I am pleased to report to you and my colleagues on the excellent work that is being done to help developing countries capitalize on their natural resource wealth. This unique initiative is called the Natural Resource Charter, and it is designed to give countries the tools and knowledge they need to develop their natural resources for the good of their citizens in a transparent and accountable manner. As a collective work coordinated by established academics and development experts, the charter provides a set of policy principles for governments on the successful translation of natural resource wealth into fair and sustainable development. At the U.S. Helsinki Commission we monitor 56 countries, including the United States, with the mandate to ensure compliance to commitments made under the Helsinki Final Act with focus on three dimensions: security, economics and the environment, and human rights. The management of extractive industries has broad implications covering all three dimensions of the Helsinki process. We know that oil, gas, and mining are potential sources of conflict and their supply has a direct impact on our national security. The often negative economic consequences for resource rich countries are well documented and we see constant reminders of the environmental impact of extraction both at home and abroad. Finally, the resultant degradation of human rights in countries that are corrupted by resource wealth is a real concern that we must address. When the charter was launched last year, I was struck by how far we have come in terms of bringing the difficult conversation on extractive industries into the lexicon of world leaders. Only a few short years ago, the word "transparency'' was not used in the same sentence with oil, gas or mining revenue. After the launch of the Extractive Industries Transparency Initiative in 2002, we have seen a major shift in attitude. This was followed by G8 and G20 statements in support of greater revenue transparency as a means of achieving greater economic growth in developing countries. But it is clear that given the challenge ahead, more than statements are needed. The Natural Resource Charter is a concrete and practical next step in the right direction. Economists have found that many of the resource-rich countries of the world today have fared notably worse than their neighbors economically and politically, despite the positive opportunities granted by resource wealth. The misuse of extractive industry revenues has often mitigated the benefits of such mineral wealth for citizens of developing nations; in many cases the resources acting instead as a source of severe economic and social instability. In addressing the factors and providing solutions for such difficulties, the Natural Resource Charter aims to be a global public resource for informed, transparent decision-making regarding extractive industry management. The charter's overarching philosophy is that development of natural resources should be designed to secure maximum benefit for the citizens of the host country. To this end, its dialogue includes a special focus on the role of informed public oversight through transparency measures such as EITI in establishing the legitimacy of resource decisions and attracting foreign investment. On fiscal issues, the charter presents guidelines for the systematic reinvestment of resource revenues in national infrastructure and human capital with the goal of diminishing effects of resource price volatility and ensuring long-term economic growth. This week the commission will hold a public briefing on the Natural Resource Charter and I am pleased to say that there was a candid conversation between the audience and the panel that revealed much about how the charter could be used to promote human rights and good governance. The briefing also addressed ways that U.S. support of democratic and economically sensible extractive industry standards could have a powerful effect in securing the welfare and freedoms of citizens in resource-rich countries. In particular, it was noted that the Energy Security Through Transparency Act, S. 1700, a bipartisan bill I introduced with my colleague Senator Lugar and 10 other colleagues is consistent with the principles set out in the Natural Resource Charter. I look forward to working with my colleagues to ensure our continued progress on these issues.

  • Natural Resources, a National Responsibility

    The purpose of this briefing, which Commission Policy Advisor Shelly Han moderated, was two-fold: to come away with a good understanding of the Natural Resource Charter (i.e. its use, development, and trajectory) and to have a candid conversation on the gaps that remained and the steps the Commission itself, the U.S. Congress, the Department of State, international organizations, and others could take to address such gaps. The Natural Resource Charter is aimed at giving countries the tools they need to fully develop their natural resources for the good of the whole country. This is relevant to the Commission due to the interconnected issues of economics and the environment, as well as security and human rights.

  • Commemoration of the 70th Anniversary of Katyn

    Mr. Hastings of Florida. Madam Speaker, I rise today to commemorate the 70th anniversary of Katyn--a word that has come to symbolize the brutal murder of over 20,000 Polish military officers and other intellectual elite by Stalin's secret police in the spring of 1940 and the subsequent lies told about this horrific crime. These men, and one woman, were taken as prisoners by the Soviets in their undeclared war against Poland that began a mere 17 days after the Nazis invaded Poland and started World War II. The tragic crash this past Saturday that took the lives of so many of Poland's most senior leaders has focused worldwide attention on the Katyn massacre, which has come to symbolize Stalin's brutal repression of the Poles and others. People of goodwill everywhere extend the hand of sympathy and friendship to the Polish people who once again have suffered a great national tragedy, ironically in the very place where one of the last century's most sordid deeds was carried out. It is my hope that the victims--from President Lech Kaczynski and his wife Maria to prominent leaders of the armed forces, the parliament, other institutions, and relatives of those shot in 1940--will not have died in vain, that this horrible crash will somehow give strength to those in Poland who must go on and continue to lead their great nation, a nation that has been a stalwart ally of the United States and a beacon of freedom and prosperity in Eastern Europe. I also hope that these sad events may in some way help bring Russia and Poland a new and stronger relationship based on a shared history and suffering and characterized by mutual respect and trust. Further, I would like to express my admiration for the manner in which Russia's Prime Minister Vladimir Putin handled this disaster, flying immediately to Smolensk, the site of the crash and taking personal responsibility for the investigation. Mr. Putin acted decisively, but more than that he reinforced the positive signals he and Polish Prime Minister Donald Tusk had given at their joint ceremony in Katyn last Wednesday. No Russian Prime Minister--in fact no Russian of Mr. Putin's stature and standing--had ever been to Katyn. Mr. Tusk graciously expressed his appreciation to Mr. Putin by quoting the great Russian writer, Alexander Solzhenitsyn: "But let us not forget that violence does not live alone and is not capable of living alone: it is necessarily interwoven with falsehood. Between them lies the most intimate, the deepest of natural bonds. Violence finds its only refuge in falsehood, falsehood its only support in violence. Any man who has once acclaimed violence as his method must inexorably choose falsehood as his principle." I hope that Mr. Putin will also embrace these words in practical ways, most importantly by assisting the Poles in finding still missing information about those who were executed on Stalin's orders in 1940. 

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