Title

Uniting Against Corruption

Tuesday, December 07, 2021
11:00am
United States

At a virtual kickoff event on December 7, leaders of the U.S. Caucus against Foreign Corruption and Kleptocracy, the EU Parliament Anti-Corruption Intergroup, and the UK All-Party Parliamentary Group on Anti-Corruption and Responsible Tax formally launched the Inter-Parliamentary Alliance against Kleptocracy. Members of the alliance are politicians leading the fight in their respective parliaments against corruption and kleptocracy. 

The launch immediately preceded President Joe Biden’s December 9 – 10 Summit for Democracy, where approximately 110 countries committed to fighting corruption and renewing democratic values. Helsinki Commission Chairman Sen. Ben Cardin (MD), who has championed anti-corruption efforts throughout Congress, welcomed the formation of the alliance at the kickoff event.

The event began with opening remarks from Chairman Cardin, and then featured remarks from several other parliamentarians: U.S. Representatives Tom Malinowski (NJ-07) and Helsinki Commission Ranking Member Joe Wilson (SC-02); Members of the UK Parliament Margaret Eve Hodge (Barking) and Andrew John Bower Mitchell (Sutton Cornfield); and Members of the European Parliament Daniel Freund (Germany), Katalin Cseh (Hungary), and Lara Wolters (Netherlands). Helsinki Commission Senior Policy Advisor Paul Massaro moderated the discussion.

Chairman Cardin traced the history of successful anti-corruption legislation in the United States. He touched on the Foreign Corrupt Practices Act of 1977, the Money Laundering Control Act of 1986, and the Global Magnitsky Act of 2016 as examples both of bipartisan cooperation and of U.S. leadership in the international fight against corruption. 

The next step, he said, is dealing with enablers. “These are the accountants, the lawyers, the financial advisers. They allow kleptocrats to be able to do their corruption through the use of rule of law of other countries,” he noted.

Rep. Malinowski stressed the connection between corruption and authoritarianism: “Corruption is the reason for being for most authoritarian regimes. It sustains them. It profits them.” Nonetheless, he observed that corruption is also a vulnerability for such regimes, as citizens ultimately refuse to accept kleptocratic leaders. Rep. Malinowski then discussed the ENABLERS Act, which seeks to close loopholes that enable kleptocrats to hide their money.

MP Hodge echoed the need to address the enablers of corruption, the structures “through which the world’s crooks and kleptocrats take their stolen money and let it disappear.” 

She then explained her push, along with MP Mitchell and others, for a public register of beneficial ownership to combat the role of property in UK money laundering. MP Mitchell further discussed the push for a public register of beneficial ownership, a particularly important policy as the UK “may be responsible for up to 40 percent of the money laundering that goes on in the world.”

MP Freund continued the discussion of transparency, emphasizing that the European Parliament cannot see the final beneficiaries of EU-funded projects. He welcomed the possibility of working with the new U.S. administration and cited the success of the Magnitsky sanctions as an instance of effective U.S. leadership against kleptocracy and corruption.

Rep. Wilson echoed MP Freund’s enthusiasm for cooperation, calling corruption “a bipartisan and cross-border problem” that requires cooperative solutions. Like Rep. Malinowski, he noted the link between corruption and authoritarianism and suggested that closing the loopholes available to authoritarian governments requires international cooperation.

MP Cseh built on the previous discussion of authoritarianism, adding that corruption is inseparably linked with human rights abuses. 

“Autocrats and oligarchs oppress their people so that they can enrich themselves… and they are desperately holding onto power because they want to escape prosecution for corruption,” she said. She then drew on her experience as a Hungarian opposition politician to discuss the connection between corruption and democratic backsliding.

MP Wolters delivered the final remarks of the event on the new state of the EU in light of Hungary’s democratic backsliding. 

“I don’t think the EU was ever designed with the idea that we would end up with strange bedfellows internally within our system,” he said. This breach in EU sanctity entails new problems as these “strange bedfellows” have access to funding meant improve the lives of EU citizens.

The event concluded with questions from the audience. Chairman Cardin and Rep. Malinowski responded to question on the resources available to victims of corrupt and kleptocratic regimes, and MPs Freund and Cseh addressed the potential for proactive measures against interference by kleptocratic regimes in legislatures.

The Inter-Parliamentary Alliance against Kleptocracy aims to build a transparent and accountable global financial system; promote government transparency, allowing for effective public oversight; disable transnational corrupt networks, while deterring the movement of dirty money into democracies; support the role of free media and journalists in exposing the risks from kleptocracy; and advocate for strong anti-corruption standards for public officials and their enforcement. Planned projects include coordinating targeted sanctions and public visa bans, synchronizing anti-money laundering frameworks, harmonizing cross-border investigations into grand corruption, and promoting robust anti-corruption ethics frameworks for public officials.

Members of the Inter-Parliamentary Alliance against Kleptocracy subscribe to the principles that democratic states are based on the rule of law and must safeguard this system against the taint of corruption and illicit finance; that kleptocracy is an authoritarian governance model in which political leaders routinely engage in illicit self-enrichment, maintain power through corrupt patronage networks, exploit democracies to conceal and protect stolen assets, and use strategic corruption as a tool of foreign policy; and that kleptocracy poses the most profound challenge for democratic governance in the 21st  century as it corrodes the rule of law from within.

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  • It’s Time to Throw NATO’s Door Wide Open

    NATO was meant to be a harbor for the weak and imperiled. It should be again. June’s NATO summit in Madrid was by every account a historic event. In response to Russia’s invasion of Ukraine andbroader belligerence against Europe, NATO unveiled a muscular new strategic concept and invited Finland and Swedento join the alliance—an epochal moment for the two traditionally neutral countries and a major statement for thealliance’s “open door” policy. Yet looming over all of this are the uncertain fates of the two countries most suffering from Russian aggression: Ukraine and Georgia. Both nations were promised membership in the alliance during the 2008 NATO summit in Bucharest, Romania, yet bothremain outside of it. Now, the enormous human and material toll of Russia’s genocidal, neo-imperial war in Ukraine hasput NATO’s extended and unfulfi lled promises into sharp, indelible relief. Obscured by ambiguous technicalities, the alliance’s failure to provide Ukraine and Georgia with a concrete pathway to membership was clearly an unintentional but predictable invitation to Russian aggression. As Ukrainians desperately defend their homeland and count civilians and their children among those killed, the moraland strategic poverty of Ukraine’s deferred accession is laid bare. NATO and its members must now reckon with thewages of a passive approach and rethink the alliance’s founding purpose. The bloc was never meant as an exclusive country club of the rich and strong but rather a harbor for the weak and imperiled. It should be again. In April, while observing the Hungarian parliamentary elections, I saw for myself the heartrending humanitarian crisis on Ukraine’s borders with Hungary and Slovakia. I saw children who had traveled great distances with their families, clutching the meager mementos of home; I met Ukrainians who traveled back and forth across the borders, bringing supplies from the European Union into western Ukrainian cities; and I saw the humanity of volunteers giving some measure of comfort and welcome to weary refugees who had, at long last, reached the promise of safety at the European Union’s frontiers. But what I didn’t see were any great barriers or edifices of geography to suggest the line where, on one side, NATO would risk nuclear war in the people’s defense and on the other side—in Ukraine—it would not. In the United States and Europe, discussions about the borders between NATO and the rest of Europe are treated like immutable features of geography or acts of god, as though certain states and people are afforded divine predestination into the Euro-Atlantic’s rarefied elect. Decisions in the run-up to the war to withhold crucial assistance or provide security guarantees were often justified based on Ukraine’s non-membership in NATO, even though concrete pathways into the alliance have never been offered despite the 2008 declaration. The idea that Ukraine and Georgia were somehow unready or unable to meet NATO’s technical criteria has always been a problematic argument. At no point has NATO established hard, technical benchmarks for membership—clear, achievable standards for entry—and doing so might have risked Ukraine and Georgia passing muster, potentially embarrassing the countries that were categorically opposed to their accession. Realistically, NATO enlargement has always been a political decision. More recent fixations on technical “readiness” and process were introduced after the Cold War to amplify NATO’s turn from a Cold War bulwark to a carrier of Euro-Atlantic values and to manage booming Eastern European demand for membership. But today, Moscow’s threat to Europe’s peace is all too apparent again—and devastatingly so in Ukraine as well as in Georgia. In response, NATO should change with the strategic landscape—not with “retrenchment,” in which it builds its walls higher while Ukraine and other threatened partners burn, but with aggressive enlargement. NATO is generally considered something of a walled garden—a protected redoubt of relative peace, prosperity, and predictability. However, this reputation elides the seismic strategic revolution that founding and early expansion represented. Firmly in the nuclear age and facing Soviet expansionism after two horrific continental wars in the first half of the 20th century, the United States sought to create structures to arrest Europe’s ruinous cycles of great-power war. Against thevery real risk of Soviet imperialism and a potential third World War, NATO created a protected sanctuary around Europe’s most threatened, impoverished, and war-torn countries. “I am sure,” then-U.S. President Harry Truman said just a year before NATO’s founding, “that the determination of the free countries of Europe to protect themselves will be matched by an equal determination on our part to help them.” To create the rules-based paradise of modern Europe, the United States and its closest allies drew a line in the face of Soviet expansionism and said: No further. Despite war weariness and the steep task of reconstruction, the North Atlantic founders pooled their military power and political determination as well as risked a third World War in Europe’s defense. The countries that joined were hardly all first-rate military powers, economic dynamos, or stable democracies—manywere politically unstable, militarily sapped, and economically broken. Several, such as Portugal and Spain, were military dictatorships. The principal continental combatants in World War II—Germany, France, and Italy—were quite literally ruined by the war and took decades to recover. Yet the United States and the other original NATO members didn’t quibble interminably over the vagaries of a threatened partner’s democratic credentials or its uptake of various technical or military reforms, and they generally accepted European states that sought Washington’s protection and a Western orientation. This wasn’t because of Western indifference to democracy but rather a recognition that democratization under the shadow of an imminent Soviet threat was essentially impossible and that a country swallowed by Moscow’s imperial agenda had no chance of true self-determination—much less democracy. Speaking of NATO’s purpose, then-U.S. Secretary of State Dean Acheson described it as “designed to contribute to thestability and well-being of the member nations by removing the haunting sense of insecurity” posed by Soviet expansionism. It took time, but the strategy paid off. Under NATO and the United States’ nuclear umbrella, great-power war was avoided, Europe democratized and prospered, and the Soviet Union and its brand of colonialism was dismantled, freeing tens of millions of people. With Russia again in the throes of despotism and expansionist militarism, the conditions that accompanied NATO’s founding are all too familiar. Russian aggression in the heart of Europe is an incontrovertible reality—as Ukraine’s blood-soaked lands so clearly attest—and there is no reason to believe or expect Moscow to stop until and unless it is stopped. NATO must meet the moment. Dithering over peacetime technicalities defi es NATO’s original purpose to secure Europefrom the specter of Moscow’s violently imperial agenda. This is not a return to the Cold War, but it is no less a civilizational struggle against a military dictatorship in Moscow. This threat is particularly plain and present for the millions of Ukrainians and Georgians who have had no choice but to suffer on the wrong side of the geopolitical train tracks. NATO should return to its roots and fling open its doors to all those in Europe at risk of Russia’s predations. How can this be done? NATO decisions, including membership, require consensus. Transitioning to a wartime open door policy will require a major shift in thinking. For one, the United States, as the ultimate underwriter of NATO’s military might, should take steps to provide robust security assistance and assurances to threatened partners—such as those promises it has given Finland and Sweden until their accession is complete—and encourage other like-minded allies to do the same. Similarly, NATO handwringing over outstanding territorial disputes—almost always created or supported by Moscow—should officially become a nonissue. Russia should not be rewarded for cultivating and backing violent separatist movements that inoculate the parent countries from NATO accession. If anything, Russian meddling and aggression evinces the necessity of NATO’s protection. This is simple in principle but admittedly difficult in policy amid hot war. How can Ukraine join NATO without triggering a global conflict? First, the United States and its allies can all do more to ensure that Ukraine has military dominance overits own territory and win its war of independence. Mystifying gaps that undermine Western sanctions policies demand attention—such as continued European dependence on Russian energy, U.S. imports of Russian steel, and the growing role of China and other countries in the Middle East, Eurasia, and Asia (including friends and partners) to bypass or ease the impact of international trade sanctions. Likewise, U.S. hesitance over delivering heavy arms and munitions to Ukraine must end. The delivery of U.S. artillery and M142 High Mobility Artillery Rocket System (HIMARS) platforms have completely changed the momentum of the conflict in recent weeks; more longer-range munitions and Western fast-jet capabilities could help Ukraine expand the initiative against Russia’s high-mass but low-morale attacking force. Second, the United States could consider extending its nuclear umbrella over Ukraine to erase Russia’s nuclear advantage and any temptation it may have to use nuclear weapons as Russian conventional losses mount. Doing so would only be a stronger and clearer statement of current U.S. policy that Russia’s use of weapons of mass destruction against Ukraine would be “completely unacceptable” and “entail severe consequences,” as U.S. President Joe Biden has already said. Against such a horrifying possibility, the West could stand to be much clearer on the evident downsides of such a strategy, which would itself violate Russian nuclear doctrine. And third, the United States can and should have discussions about certain security guarantees for free areas of Ukraine, such as via the provision of the most advanced Western arms or direct Western air defense coverage. For Georgia, and even for a country like Moldova should it so choose, it is even clearer: Provide support and security guarantees over non-occupied regions. Finally, democratic principles should remain a core requirement for NATO. Although the exigencies of the moment maynot allow the luxury of waiting for perfect democratization to develop before entry, NATO can and should create more robust and independent internal mechanisms to monitor and highlight vulnerabilities, advise and assist all members with undertaking difficult reforms, and hold members accountable for sustained and significant democratic backsliding. As Ukraine’s brave people fight for survival and every inch of their homeland against Russia’s overwhelming and genocidal war, it is impossible not to wonder what might have been had NATO understood in 2008 in Bucharest or in 2014 in Wales what horrors could have been prevented if Ukraine had been spirited into the alliance, along with Georgia. Ukraine will win this war, and Russia will lose—but in many ways, it is already too late for Ukraine and Georgia, having been so thoroughly and persistently victimized by Russian aggression. Yet each moment they are left to fend for themselves only compounds the error—and the shame.

  • NATO Refocused, Europe Reinforced

    By Jessika Nebrat, Max Kampelman Fellow​ Following the escalation of Russia’s war against Ukraine, the North Atlantic Treaty Organization (NATO) is playing a role it has not filled in years. Forced to reconcentrate its attention to Europe’s defense, NATO allies are demonstrating persistent resolve in countering Moscow’s expansionist tendencies. In doing so, NATO returns to a core facet of its founding mission: the defense against Moscow’s militarism. While NATO represents just one facet of the Euro-Atlantic security infrastructure, it is perhaps the most robust organization bound by formal agreements, dedicated to peacekeeping, and capable of enforcement. Its mission to “guarantee the freedom and security of its members through political and military means” echoes the first dimension principles outlined by the Helsinki Final Act, and aligns NATO with the Organization for Security and Cooperation in Europe and the U.S. Helsinki Commission. In supporting each other’s work, these institutions mutually reinforce their shared values and bolster European security. History of NATO In the aftermath of the second World War, the United States, Canada, and several Western European nations sought to boost European economic reconstruction and protect themselves from Soviet domination. The 1947 Treaty of Dunkirk predated NATO in promoting Atlantic alliance and mutual assistance between France and the United Kingdom. The agreement was expanded in March 1948 as the Treaty of Brussels to engage Belgium, Luxembourg, and the Netherlands in military, economic, social, and cultural cooperation. In the same month, the United States hosted talks intended to unite both North American and Western European allies; as a result, NATO was officially signed into existence on April 4, 1949. The 12 founding member nations derived their legitimacy from United Nations (UN) Charter Article 51, which affirmed the right to collective defense. The foundational NATO Treaty mentioned collective defense only after declaring the parties’ commitments to finding peaceful resolutions of disputes, upholding UN principles, strengthening free institutions, and promoting economic collaboration. The Alliance formally defined its principal objectives to deter Soviet expansionism, oppose nationalist militarism on the continent, and bolster European political integration. Though it sought to deter military aggression, NATO’s original treaty did not provide any means of enforcing the agreed-upon principles. It was not until after the USSR’s 1949 detonation of an atomic bomb and the 1950 start of the Korean War that NATO approved a military command structure. In response, the Soviet Union established the Warsaw Pact in 1955. Though neither of the two ideologically opposed organizations used force during the Cold War, they engaged in an arms race that persisted until the Soviet Union dissolved in 1991. NATO after the Cold War Once NATO no longer had to defend against Soviet expansionism, the Alliance broadened the scope of its peacekeeping and security enforcement missions. In the 1990s, NATO forces were deployed: to Turkey during the Gulf Crisis; upon request to Russia and other Commonwealth of Independent States nations as part of a humanitarian mission after the fall of the USSR; to enforce a UN arms embargo and no-fly zone over former Yugoslavia; and in the Central Mediterranean during a period of tension with Libya. In the 21st century, NATO forces were also deployed during: the Second Gulf War; to the US and Afghanistan in the aftermath of the September 11, 2001 terrorist attacks, the only Article 5 invocation in NATO history; to mitigate rising ethnic tensions in North Macedonia; to counter terrorist activity in the Mediterranean; as counter-piracy escorts to UN World Food Programme ships transiting the Gulf of Aden; to train Iraqi security forces; to enforce a no-fly zone after the popular uprising in Libya; for peacekeeping in Sudan; and to provide disaster relief throughout Europe, the Middle East, and in the United States. NATO currently maintains active operations in Kosovo, the Mediterranean, Iraq, and throughout the African Union; it recently ramped up air policing as part of a peace-keeping response to the Russian Federation’s illegal annexation of Crimea in 2014, and the escalation against Ukraine this past February. Kremlin Narrative against NATO Over the years, Moscow has repeatedly resisted NATO enlargement – especially for countries it claims within its sphere of influence. Putin asserts that during a 1990 summit between President George H. W. Bush and President Gorbachev, the United States promised no further expansion of NATO; civil servants present at that meeting have refuted this claim, as has Mr. Gorbachev himself. In his conversation with Bush, Gorbachev repeatedly affirmed that nations have the right to make their own alliances. Though internal U.S. analyses of the 1990s suggested that expansion eastward may not be politically expedient, such positions never became official policy. The United States has remained resolute in its recognition of sovereign choice, and expansion has been driven by requests from former Soviet and Warsaw Pact states wary of Russian revanchism. The Kremlin has deployed an opposing narrative to justify Russian military engagements in Georgia in the early 2000s, and more recently in Ukraine. Putin sees the inclusion of either nation in NATO, and the political and economic liberalization that go with it, as threats to his regime’s stability. NATO membership would limit Russian interference in the internal affairs of either state. Additionally, if Russia’s neighbors and fellow post-Soviet states can become true democracies, provide higher quality of living, and ensure the rule of law, then why can’t Putin’s Russia? Any argument that NATO expansion threatens Russia misrepresents the organization, which is a diverse coalition dedicated to mutual defense and development. Moreover, such an assertion overlooks the efforts NATO has made to include and collaborate with Russia in the pursuit of cooperative security. NATO Back to its Roots By illegally and brutally invading Ukraine in February 2022 – a dramatic escalation of the grinding conflict started in 2014 – Putin has galvanized European and Western unity. Hearkening to its origins and returning attention to Eastern Europe, NATO is recommitting itself to “counter Russia’s attempts to destroy the foundations of international security and stability.” The international community is largely on board. In its collective attention beyond security, NATO – alongside other organizations – highlights not only the potential for, but the responsibility of the international community to condemn human rights violations, uphold the rule of law, and pursue economic health, all efforts that further challenge the Kremlin’s narrative that it can lead (or that there even needs to exist) an opposing bloc. Alarmed by Moscow’s renewed expansionism, Sweden and Finland have abandoned decades of neutrality in favor of NATO membership. They are on track towards the fastest accession process in history, and anticipate a smooth integration. Both already engage in the wider European community through membership in such organizations as the European Union and the Organization for Security and Cooperation in Europe. Their force structures are robust, and well-versed in NATO procedures following decades of partnership; their accession will secure northeast Europe, expand NATO’s border with Russia, and reinforce NATO presence in the Arctic and Baltic Sea. Although the Kremlin initially vowed “military and political repercussions” were Finland and Sweden to join NATO, such threats have dulled to warnings about the installation of NATO military infrastructure nearer Russia’s borders; as Finland and Sweden’s NATO membership neared finalization, Putin even expressed “no problem” with these states joining the Alliance. It remains to be seen how this change will play out. After decades of orientation towards international stabilization, humanitarian, and counterinsurgency mission sets, NATO has been refocused on European deterrence and defense following the Kremlin’s violent assault on Ukraine. In addition to condemning Russia’s invasion and supporting Ukraine via such measures as the Comprehensive Assistance Package, NATO plays a critical role in championing European collective defense and discouraging any expansion of conflict.    

  • Co-Chairman Cohen Calls for the Release of Political Prisoners in Belarus

    Washington – On the second anniversary of the sham presidential election in Belarus, the Helsinki Commission Co-Chairman and OSCE PA Special Representative on Political Prisoners Rep. Steve Cohen (TN-09) issued the following statement: “Two years ago today, Belarus’s autocrat Aleksander Lukashenko put up a show of an election that he had hoped would legitimize his unconstitutional power grab. Despite the many and well-documented cases of election abuse, the people of Belarus did not fall for the tricks of the one-man ruler of Belarus. They voted Lukashenko out, but, predictably, he refused to leave. He ignored the will of the people and chose vicious violence to suppress the peaceful dissent. “In the year following the unprecedented in scale peaceful rallies against the 2020 election results, Lukashenko’s troops arrested, tortured and imprisoned a reported 35,000 Belarusians for the simple act of demanding the government respect their choice and rights. He personally presided over the largest ever domestic repression that saw thousands behind bars and tens of thousands flee the country, including the opposition leader and likely legitimate winner absent election fraud, Sviatlana Tsikhanouskaya, who has been welcomed by neighboring countries. “Since that time, Lukashenko has continued a crackdown on civic participation in Belarus with arrests of civilians protesting the Russian war in Ukraine, changes to Belarus’s non-nuclear status, and the ongoing Lukashenko regime during last year’s March 25th anniversary of Belarus’s ‘Freedom Day,’ adding to the already sizeable number of politically motivated detainments in the country. “There are now close to 1200 individuals languishing in Belarusian prisons for speaking out against authoritarianism, corruption and war. Included among the political prisoners are: Syarhey Tsikhanouski, husband of Sviatlana Tsikhanouskaya and potential candidate against Lukashenko detained in May 2020; Roman Protasevich, journalist and opposition figure accused of inciting mass protests and detained after a false bomb threat forced the landing of Ryanair flight FR4978 destined for Lithuania in Belarus in May 2021; Sofia Sapega, Russian citizen and girlfriend of Protasevich who also was aboard Ryanair flight FR4978; Radio Free Europe/Radio Liberty Belarus Service journalists Ihar Losik, Andrey Kuznechyk and Aleh Kruzdzilovic; and Ales Bialiatski, founder of Viasna Human Rights Centre, a human rights organization based in Minsk that provides financial and legal support to political prisoners. These are but a few names representing political candidates, oppositionists, activists, journalists and other Belarusian and non-Belarusian citizens detained by Lukashenko’s regime. “Lukashenko must immediately order the release of all political prisoners and wrongfully detained individuals and stop the systematic violations of human rights.  I call on the U.S. Department of State and our allies abroad to work together during this time of heightened tension with Belarus and Belarus’s benefactor, Russia, to ensure the unjustly imprisoned Belarusians are released at the earliest date possible.”

  • Helsinki Commission Digital Digest July 2022

  • Shoulder to Shoulder

    Helsinki Commission Co-Chairman Rep. Steve Cohen and Ranking Member Rep. Joe Wilson joined former U.S. Army Staff Sergeant James Vasquez and Lt. Colonel Ripley “Rip” Rawlings (USMC, Ret.) to discuss U.S. volunteers fighting for Ukraine. Mr. Vasquez is a volunteer soldier fighting in Ukraine who partnered with Lt. Col. Rawlings to provide on-the-ground support through an organization called Ripley’s Heroes.   At the beginning of Russia’s unprovoked and brutal invasion of Ukraine, Mr. Vasquez decided to travel to Ukraine and fight alongside Ukrainians. For three months, Vasquez armed and trained Ukrainian soldiers to “fight like gentlemen.” Vasquez noted that Ukrainians are “warriors in spirit and in heart,” but require training and supplies to be most effective. After fighting alongside Ukrainians, Vasquez developed a comradery with his unit, and is returning to Ukraine this month to deliver more supplies and continue fighting. Lt. Col. Rawlings met Vasquez in Ukraine in the early weeks of war and the two decided to launch Ripley’s Heroes, an organization providing essential military support to Ukrainian soldiers. Ripley’s Heroes has Ukrainian partners on the ground, including the Kiev-based NGO Come Back Alive, who help ensure that soldiers receive necessary supplies as quickly as possible. When asked by Rep. Cohen what the United States should do moving forward to support a Ukrainian victory, Lt. Col. Rawlings noted that a key obstacle to providing Ukrainians with warfighting supplies are U.S. commercial regulations on the export of military equipment, such as International Traffic in Arms Regulations (ITAR). According to Lt. Col. Rawlings, rather than simply keeping U.S. military technology out of the hands of nefarious actors, ITAR prevents private U.S. citizens from supporting the war effort by providing simple, effective, non-lethal equipment, like night-vision goggles. Mr. Vasquez agreed that changing U.S. laws to remove the regulations that prevent private citizens from helping Ukraine could help them win the war.

  • Helsinki Commission Delegation Convenes Historic Black Sea Security Summit, Demonstrates Bipartisan Support for European Security

    WASHINGTON—From June 29 – July 9, Helsinki Commission Ranking Member Sen. Roger Wicker (MS) led a bipartisan, bicameral congressional delegation to Romania, the United Kingdom, Finland, and Sweden to consult with senior officials across Europe about Russia’s war on Ukraine, security in the Black Sea region, and Finland and Sweden’s plans to join NATO. On the shores of the Black Sea in Constanta, Romania, Sen. Wicker and Romanian Foreign Minister Bogdan Aurescu co-chaired the first-ever congressionally-organized Black Sea Security Summit to underscore the critical importance of the Black Sea region to European peace and security, and to establish a sustainable, collective approach to ending Russian aggression and enhancing mutual cooperation. “Given Russia’s monstrous war on Ukraine and its wider aggression in the region, it is not an exaggeration to say that the Black Sea is currently the epicenter of Euro-Atlantic security and global peace,” said Sen. Wicker. “Ukraine must be successful in this war…Vladimir Putin’s unprovoked aggression against a neighbor cannot stand.” “Over the last 25 years, a key objective of our bilateral strategic partnership has been to act as partners in enhancing our joint security and promoting the democratic and economic development of the Black Sea region.  The continuation of common decisive action in this regard at the bilateral and multilateral level is more relevant than ever,” said Minister Aurescu. “All along the Black Sea coast lies the first line of defense for the Euro-Atlantic community and the first line of support for our partners in Ukraine, the Republic of Moldova, and Georgia.” Prior to the summit, members of the Congressional delegation visited Romania’s Mihail Kogălniceanu Air Base, where they received briefings from U.S., Romanian, and other NATO personnel and met with American troops. Delegation members then traveled to Birmingham, UK, for the Annual Session of the OSCE Parliamentary Assembly (PA). Co-Chairman Rep. Steve Cohen (TN-09) was Head of the U.S. Delegation to the PA and spearheaded U.S. efforts to forge a strong, unified response from international legislators to Russia’s ongoing war of aggression against Ukraine and its people. “All OSCE parliamentarians must stand in solidarity with our Ukrainian colleagues as they battle the Kremlin’s vicious, intolerable war on Ukraine,” said Co-Chairman Cohen. “We must do all in our power—through this forum and all others—to ensure that Ukraine is victorious against Russian aggression.” During the Annual Session, parliamentarians overwhelmingly approved a resolution introduced jointly by Sen. Wicker and the heads of the Ukrainian and Lithuanian delegations, responding to Russia’s war on the Ukrainian people and the greater Russian threat to European security. The document “condemns resolutely and unequivocally the ongoing, intensified, clear, gross and still uncorrected violations of Helsinki Principles as well as of fundamental principles of international law by the Government of the Russian Federation in its war of aggression against Ukraine, as well as the complicity of Belarus in this war of aggression, and calls on the governments of OSCE participating States to do the same.” Several members of the U.S. Delegation successfully introduced more than two dozen amendments, designed to keep the focus on Russia’s current aggression, to an array of other resolutions. In Birmingham, the delegation also co-hosted an event highlighting the growing problem of political repression in Russia and Belarus, especially in the context of protesting the war on Ukraine; met with Mikhail Khodorkovsky to discuss his organization’s work to support political prisoners and democracy in Russia; and held bilateral meetings with the UK’s parliamentary leadership, OSCE officials, parliamentarians from other OSCE countries. Helsinki Commissioner Rep. Richard Hudson (NC-08) was re-elected to his post as chair of the OSCE PA’s Committee on Political Affairs and Security. Following the Annual Session, the congressional delegation stopped in Finland and Sweden to welcome the historic decision of both countries to join the NATO Alliance. In Finland, members met with President Sauli Niinistö, and Finnish parliamentarians including First Deputy Speaker Antti Rinne and OSCE PA Vice President Pia Kauma. In Sweden, they met with Foreign Minister Ann Linde, Deputy Defense Minister Jan Olof-Lin, and a group of members of the Swedish parliament, led by Speaker Andreas Norlén and OSCE PA President Margareta Cederfelt. In addition to Co-Chairman Cohen, Sen. Wicker, and Rep. Hudson, the Congressional delegation included Helsinki Commission Ranking Member Rep. Joe Wilson (SC-02), Commissioners Rep. Robert Aderholt (AL-04), Rep. Ruben Gallego (AZ-07), and Rep. Marc Veasey (TX-33), as well as Sen. John Cornyn (TX), Rep. Lloyd Doggett (TX-35), Rep. John Garamendi (CA-03), Rep. Sheila Jackson Lee (TX-18), Rep. August Pfluger (TX-11) and Rep. Chris Smith (NJ-04).

  • US Soldier Who Voluntarily Fought in Ukraine Says Hardest Days of War to Come

    A U.S. Army veteran who independently and voluntarily fought in Ukraine warned on Thursday that the hardest days of fighting the war are still to come, as the Russian military tightens its control over territory in the eastern part of the country.  Retired U.S. Army Staff Sgt. James Vasquez, who has returned from combat in the country but plans to go back, told the congressional Helsinki Commission during a briefing that while the Ukrainian military is better off now with increased foreign support, the most difficult fighting lay ahead for soldiers. “We have much more support now, and we have the weapons and gear that we need to be able to fight properly,” Vasquez said to the panel. “The fight’s harder than it was when I left. And that was hard fighting when I left.”  Vasquez shared moving and oftentimes difficult details of his time in Ukraine at the hearing, alongside retired U.S. Marine Corps Lt. Col. Rip Rawlings, who is providing logistical support to the Ukrainian military through he and Vasquez’ foundation, Ripley’s Heroes. Vasquez, who has gained a social media following through the videos he shares from the battle’s front lines, said he has “pretty much sold everything I owned” so he can return to the fight in Ukraine. Vasquez explained the evolution of Ukrainian combatants that he witnessed, saying when he arrived the soldiers were fighting “primitively” but then saw them turn into battle-tested warriors. “I was fighting with guys who had a red T-shirt on and sneakers,” said Vasquez. “We were going into battle with white Toyota Camrys with Javelin (missiles) in the back.” But as the fighters have grown more sophisticated, and weapons and gear has rolled in from other countries, Vasquez and Rawlings both warned that the fighting situation was fragile and said Ukraine needs continued support from allies. “We need more, they need more (weapons),” Rawlings said. “We are at a very tenuous and fragile point. This war could go in any direction, very unfortunately.” Rawlings also urged lawmakers to amend export controls that do not allow Americans to send certain military equipment, including certain body armor, to Ukraine. “It is the largest single obstacle that we face,” Rawlings said. “The biggest issue that we have is that a U.S. citizen can go purchase a set of level three body armor, but you cannot purchase it and give it to a Ukrainian.” Rep. Joe Wilson (R-S.C.) lauded the veterans for their decision to volunteer in the Ukrainian conflict at the briefing.  “Foreign fighters have actually come in to heroically volunteer and are enduring intense combat conditions and witnessing the gross human rights violations perpetrated by (Vladimir) Putin.”

  • Helsinki Commission Briefing to Highlight U.S. Volunteers Fighting for Ukraine

    WASHINGTON—The Commission on Security and Cooperation in Europe, also known as the Helsinki Commission, today announced the following online briefing: SHOULDER TO SHOULDER On the Front Lines with the Ukrainian Military’s Foreign Soldiers Thursday, July 14, 2022 2:00 p.m. Register: https://ushr.webex.com/ushr/j.php?RGID=r6604c3bdc74d6eb2ff6c8bfa86784358 In Russia’s war on Ukraine, an unprovoked attack, unspeakable atrocities, and genocidal intent is juxtaposed against a valiant defense of hearth and home, a spirit of national unity, and grassroots mobilization. Not since the 1930s has a foreign war between a larger aggressor and a smaller but tenacious underdog so captivated the imagination of freedom-loving people. Answering the call of conscience, many American combat veterans are now fighting alongside Ukrainian servicemembers, applying their experience in combined arms maneuver and decentralized command to help Ukraine win the war. This briefing will examine the war in Ukraine through the eyes of two American volunteers: former U.S. Army staff sergeant James Vasquez and Lt. Colonel Rip Rawlings (USMC, Ret.). Vasquez fought in Ukraine in the early days of Russia’s full-scale invasion and soon plans to return to the battlefield. Rawlings is providing logistical support to the Ukrainian military through Ripley’s Heroes, a foundation he co-founded with Vasquez.

  • Switzerland, Playground of Russian Oligarchs, Emerges as Sanctions Weak Link

    ZUG, Switzerland—After Switzerland said in February it was joining European Union sanctions against Russian oligarchs, this quiet Alpine getaway seemed like an obvious place to hunt for targets. The streets are clustered with the offices of companies founded by Russia’s wealthiest men, along with the headquarters for landmark natural-gas pipelines Nord Stream 1 and 2 and the energy-trading department of Gazprom PJSC. So many Russian billionaires have homes or businesses here that the local opposition party had begun taking sightseers on an Oligarch’s Tour. Swiss newspapers nicknamed Zug “Little Moscow” and joked that local leaders wanted to build a Kremlin wall around the town. It didn’t seem so easy to the six local officials charged with helping implement sanctions. Working from a fifth-floor conference room, the team had a hard time identifying homes or local businesses officially owned by any of the hundreds of Russian oligarchs on the Swiss government’s list of sanctioned people. They struggled with Cyrillic names and often couldn’t make sense of the 300-page list, said Heinz Tännler, the financial director for the Canton, or state, of Zug. They also struggled with the implications for the local economy, added Mr. Tännler, who worries that sanctions have jeopardized his canton’s reputation as a safe place for foreign investment. “This is a very difficult time, especially for the Canton of Zug,” he said. In the end, the officials found exactly one company out of the roughly 30,000 registered in Zug that they believed was owned or controlled by a sanctioned individual. Zug’s slow start is emblematic of the country as a whole. Switzerland has pledged to punish Russia for its invasion of Ukraine. So far, that promise hasn’t triggered much action against Russian companies doing business there, bolstering concerns in world capitals that the Alpine financial hub isn’t doing enough to forestall the Kremlin and Russian President Vladimir Putin’s allies. Eighty percent of Russia’s commodities are traded through Switzerland, mostly through Zug and the lakeside city of Geneva. Swiss banks manage an estimated $150 billion for Russian clients, according to the country’s banking association. Thirty-two of the oligarchs closest to Mr. Putin have property, bank accounts or businesses in Switzerland, according to Zurich-based transparency group Public Eye. In the four months since Swiss authorities began sanctions, $6.8 billion in Russian financial assets have been frozen, alongside 15 homes and properties, according to the State Secretariat for Economic Affairs, or SECO. By contrast, EU countries have collectively frozen $14 billion in alleged oligarch assets spanning funds, boats, helicopters and real estate, in addition to over $20 billion in Russian central-bank reserves. EU countries have also blocked around $200 billion in financial transactions. Authorities on the U.K. island of Jersey alone froze over $7 billion in assets they said are linked to oligarch Roman Abramovich, who didn’t respond to requests for comment. U.S. senators have privately petitioned Swiss officials to do more to locate Russian money and property. “Instead of enabling Russia’s abuse of the global financial system, they should stand against it,” said Sen. Roger Wicker (R., Miss.), chair of the U.S. Commission on Security and Cooperation, which promotes human rights, military security and economic cooperation. Switzerland’s government has rejected that kind of criticism, stressing that its adoption of EU sanctions marks a historic shift and that it is doing everything possible to hunt down blacklisted assets. “It is clear that the sheer volume of the sanctions against Russia and Belarus, as well as the speed with which they were adopted, creates certain challenges for implementing authorities, in Switzerland and elsewhere,” said a SECO spokeswoman. Western sanctions have increasingly been used to squeeze Russia since 2014, when it annexed Crimea. Since then, Mr. Putin and a tight circle of allies have been exploiting gaps in the global financial system to evade blacklists and hide wealth overseas. Despite Switzerland’s status as a global financial hub, the country’s regulators are hamstrung by limited resources—SECO had just 10 officials fully dedicated to sanctions until recently, when the government hired five more. Their work is also frustrated by an old structural problem: The business of registering companies remains a hive of secrecy, making it difficult to identify ultimate ownership of assets, according to Western diplomats. Swiss bankers and transparency campaigners say billions of dollars of Russian clients’ assets have been transferred to the names of spouses and children in recent years—a phenomenon that accelerated in the run-up to the war, they say. The Gateway The Putin regime’s presence in Zug can be traced to the early days of his presidency, and a ceremony in the canton’s sprawling art nouveau palace, Theatre Casino. While Russia’s military was bombing the restive republic of Chechnya, Mr. Putin was awarded the 2002 “Zug Peace Prize” by the Nuclear Disarmament Forum, an organization of influential local businessmen that has since disbanded. The meeting, attended by business and political leaders close to the Kremlin and serenaded by the Russian National Orchestra, heralded the flourishing of Russian commodity trading in the town, according to local politicians. Many oligarchs have businesses in Zug that remain untouched by sanctions. They include Mr. Abramovich, the largest shareholder of Evraz PLC, a Russian steelmaker and mining company that has a trading arm in the canton. Evraz was sanctioned in the U.K., where it traded on the London Stock Exchange, but hasn’t been sanctioned in Switzerland or the EU, even though Mr. Abramovich has. Not far from Zug, in Winterthur, is the headquarters of Sulzer AG , an engineering company that is 48.8%-owned by Russian billionaire Viktor Vekselberg, who is sanctioned by the U.S. and the U.K. When Poland sanctioned Sulzer’s operations, the Swiss embassy in Warsaw unsuccessfully lobbied the Polish government to reverse the move, according to a Polish government official and the Swiss department of foreign affairs. Sulzer said Poland’s decision was wrong given that Mr. Vekselberg is just a minority shareholder and neither owns nor controls the company. Sulzer isn’t sanctioned anywhere else, a spokesman said. Representatives for Mr. Abramovich and Evraz didn’t reply to requests for comment. The SECO spokeswoman said the agency is in close contact with the U.K. authorities about sanctions, but “is not bound by their assessment.” A spokesman for the department of foreign affairs said that under Swiss law the government can assist Swiss companies abroad, and that sanctioning Sulzer’s Polish subsidiaries threatened jobs and hurt Sulzer clients. U.S. and European officials say they are counting on the Swiss government to find which companies and homes in Switzerland belong to sanctioned Russian oligarchs and freeze them. Switzerland’s history of financial secrecy, enshrined in its law, can make it exceedingly difficult to identify who owns what. Under Swiss legal precedent, lawyers can still open a company on behalf of a client and claim attorney-client privilege to block authorities from uncovering that person’s identity. That, officials say, hinders them from finding more companies whose accounts should be frozen under sanctions. It is also an obstacle for banks with small compliance teams. Swiss business registries don’t require firms to list true owners, which are often hidden by opaque companies in Switzerland held by trusts in financial havens, a loophole exploited by businessmen from Russia and elsewhere eager to mask the true ownership of their assets, according to Swiss opposition politicians and advocates for financial reform. “A Swiss lawyer hides the name of the beneficial owner in his vault, and there’s no way the Swiss authorities can get to the name,” said Mark Pieth, a former head of the Organization for Economic Cooperation and Development’s bribery division now at the Basel Institute on Governance. “The government has deliberately tied its own hands behind its back.” EuroChem Trusts came into play earlier this year when Switzerland, following the EU’s lead, sanctioned Andrey Melnichenko, one of Russia’s richest oligarchs and a longtime Swiss resident. On March 9, the EU added Mr. Melnichenko’s name—No. 721—to its blacklist, describing him as part of the “closest circle of Vladimir Putin ” and involved in businesses vital to the government. It mentioned a meeting he attended in Moscow with Mr. Putin in the first hours of Russia’s invasion of Ukraine, along with 35 other oligarchs. In Italy, police seized his sailing yacht, the world’s largest. Left untouched was EuroChem AG, a company founded by Mr. Melnichenko in 2001 that grew into one of the world’s top producers of fertilizer, with revenue last year of $10.2 billion. Based in a small glass tower in Zug nicknamed the Dallas Building, the company is deeply entwined in the supply chains of Europe’s largest chemical giants. The day before the sanctions were announced, the tycoon disclaimed his interest in a Cyprus trust that held the company, according to a document signed by EuroChem’s chief financial officer. That left Mr. Melnichenko’s wife, Aleksandra, a former Serbian pop star, as the trust’s sole beneficiary. “Given that Mr. Melnichenko no longer owns, holds or controls any funds and economic resources of EuroChem Group…neither EuroChem Group nor any member of EuroChem Group are subject to EU asset freeze measures,” stated a document viewed by The Wall Street Journal. EuroChem lawyers also wrote to SECO that the company wouldn’t provide economic resources to Mr. Melnichenko or pay dividends to his wife. On March 28, SECO rendered its judgment: EuroChem didn’t need to have its assets or bank accounts frozen. Officials in Zug followed suit. Mr. Tännler, the canton’s financial director, bridled at criticism that local officials aren’t looking hard enough. “I think people know that we did a good job, that we did what we can do,” he said. He washed his hands of the EuroChem decision. “SECO made a determination that EuroChem is clean,” Mr. Tännler said. The European Commission in June countered that decision, ruling that Ms. Melnichenko was unduly benefitting from her husband and should be sanctioned. Switzerland then followed suit, blacklisting her but leaving EuroChem untouched. Credit Suisse, which needs to answer to tougher U.S. regulators because of its U.S. dollar business, has frozen the accounts EuroChem held at the bank. A spokesman for the couple said Mr. Melnichenko considers the sanctions against him unjust. “The formal justifications are nonsense,” said the spokesman, who denied that Mr. Melnichenko is a member of Mr. Putin’s inner circle or provides substantial revenue to the Russian government. Ms. Melnichenko has appealed to the Council of the European Union, saying the sanctions against her have complicated EuroChem’s ability to sell fertilizer, “leading to the famine and death of millions of people.”

  • Black Sea Security Summit

    On the heels of the 2022 NATO Summit in Madrid, on July 1 the Commission on Security and Cooperation in Europe, also known as the Helsinki Commission, convened its first-ever multilateral dialogue among key regional allies and partners on Black Sea security. At this historic event on the shores of the Black Sea, members of the U.S. Congress, senior-level government officials from the region, and key international partners came together in a roundtable format to underscore the critical importance of the Black Sea region to European peace and security, and to establish a sustainable, collective approach to ending Russian aggression and enhancing mutual cooperation.   Co-chaired by Helsinki Commission Ranking Member Sen. Roger Wicker (MS) and Minister Bogdan Aurescu, Minister of Foreign Affairs of Romania, the summit featured a timely and collaborative exchange exploring major themes pertaining to regional security challenges: confronting Russian aggression and the relevance of the Black Sea to Euro-Atlantic security. The co-chairs were joined by senior-level regional government officials and a bipartisan delegation of members of both the U.S. Senate and the U.S. House of Representatives, including Sen. John Cornyn, Rep. Joe Wilson, Rep. Richard Hudson, Rep. Ruben Gallego, Rep. John Garamendi, Rep. Robert Aderholt, and Rep. August Pfluger. Other participants included: Romania Minister Bogdan Aurescu, Minister of Foreign Affairs of Romania State Secretary Simona Cojocaru, State Secretary and Chief of the Department for Defense Policy, Planning and International Relations, Ministry of Defense of Romania MP Pavel Popsescu, Member of the Romanian Parliament; Chair, Defense Committee MP Ana Cătăuță, Member of the Romanian Parliament Ukraine Deputy Minister Oleksandr Polishchuk, Deputy Minister of Defense of Ukraine MP Alexander Goncharenko, Member of the Ukrainian Parliament Bulgaria Deputy Minister Yordan Bozhilov, Deputy Minister of Defense of Bulgaria Ambassador Radko Vlaykov, Ambassador of Bulgaria to Romania MP Kaloyan Ikonomov, Member of the Bulgarian Parliament; Chair, Bulgaria – USA Friendship Group Georgia First Deputy Minister Lasha Darsalia, First Deputy Minister of Foreign Affairs of Georgia Ambassador Nikoloz Nikolozishvili, Ambassador of Georgia to Romania Turkey Ambassador Füsun Aramaz, Ambassador of Turkey to Romania NATO Deputy Secretary General Mircea Geoană, Deputy Secretary General of NATO U.S. European Command Major General Jessica Meyeraan (USAF), Director of Exercises and Assessments, U.S. European Command Relevance of the Black Sea to Euro-Atlantic Security During the summit, participants underscored the importance of security in the Black Sea littoral in the face of Russian aggression. Deputy Secretary General of NATO, General Mircea Geoanӑ, emphasized the importance of the Black Sea to Euro-Atlantic security, stating that the region reflects “broader competition between revisionist and brutal and aggressive Russia and our democratic world.” According to General Geoanӑ, NATO is committed to supporting Ukraine through military, financial, and humanitarian means and providing security in the Black Sea littoral that reestablishes freedom of movement, shipping, and navigation. Bulgarian Deputy Minister of Defense, Yordan Bozhilov noted that the Russian invasion of Ukraine “has far-reaching destabilization implications at the regional level and beyond,” including the resulting energy and food crises. Georgian First Deputy Minister of Foreign Affairs, Lasha Darsalia, emphasized the political, economic, and security importance of the Black Sea region to Georgia and highlighted increased security in the region as an opportunity to increase “international cooperation and connectivity.”  He recalled Georgia’s support for Ukraine in the face of Russian aggression, characterizing the invasion of Ukraine as another step in Russia’s malign attempt to control the Black Sea region. U.S. Representative August Pfluger stressed the importance of the Black Sea region to energy security in the pursuit of decreasing dependence on Russian energy. Confronting Russian Aggression Throughout the summit, participants called for increased unity to confront Russian aggression. Ukrainian Member of Parliament, Alexander Goncharenko, requested a stronger NATO and US presence in Ukraine, after powerfully highlighting Ukrainian bravery in the face of Russian hostility. In reference to Russia’s weaponization of Ukrainian grain supply and the expansion of NATO, Gonchareko stated, “It is very good that the free world is finally uniting, but we must show strength. The first place we must show strength is in the Black Sea, as a humanitarian mission, to save millions of people. Thousands are killed in Ukraine, but millions will die from starvation.” Turkish Ambassador to Romania Füsun Aramaz underscored her country’s support of Ukrainian sovereignty. She acknowledged the common security goals of all participants at the summit and desires close alignment with NATO, but warned against over-militarization of the region, citing a potential to violate the Montreux Convention. “More vessels at sea or more fighter aircraft in the air alone do not mean more deterrence or stronger defense,” she stated. U.S. Major General Jessica Meyeraan of the United States European Command explained that the United States is supporting Ukraine by increasing understanding of Ukrainian security assistance requirements and “collaborating across over 40 nations to understand how we can quickly and effectively satisfy those security cooperation requirements.” Minister Aurescu explained that the projects that maintain regional security structures are the result of bilateral relationships between the United States and various littoral states and are essential in the face of Russian aggression and illiberalism that has resulted in regional and global crises. He also called to “increase the scale and visibility of the U.S. presence in the region,” beyond just a military presence through the creation of a multifaceted strategy based on strategic resilience. Rep. Hudson noted that “NATO stands ready” in the face of increasing threats in the region. In addition, Rep. Gallego emphasized the importance of deterrence by denial, clarifying that this sort of offensive is only possible through a completely integrated defensive approach.

  • HELSINKI COMMISSION DIGITAL DIGEST JUNE 2022

  • Helsinki Commission to Convene Black Sea Security Summit in Constanta, Romania

    WASHINGTON—On the heels of the 2022 NATO Summit in Madrid, on July 1 the Commission on Security and Cooperation in Europe, also known as the Helsinki Commission, will convene its first-ever multilateral dialogue among key regional allies and partners on Black Sea security. At this historic event on the shores of the Black Sea, members of the U.S. Congress, senior-level government officials from the region, and key international partners will come together in a roundtable format to underscore the critical importance of the Black Sea region to European peace and security, and to establish a sustainable, collective approach to ending Russian aggression and enhancing mutual cooperation. BLACK SEA SECURITY SUMMIT A Roundtable Dialogue Hosted by the Commission on Security and Cooperation in Europe Friday, July 1, 2022 1:00 p.m. (UTC+3) Constanța Art Museum Constanța, Romania Watch Live: https://youtu.be/DZskl6-k6No The Black Sea Security Summit plenary will feature a timely and collaborative exchange across two sessions exploring major themes pertaining to regional security challenges: Session 1: Confronting Russian Aggression Session 2: Relevance of the Black Sea to Euro-Atlantic Security The Black Sea Security Summit will be chaired by Helsinki Commission Ranking Member Sen. Roger Wicker (MS), who will be joined by a bipartisan delegation of members of both the U.S. Senate and the U.S. House of Representatives. Regional participants include: Minister Bogdan Aurescu, Minister of Foreign Affairs of Romania State Secretary Simona Cojocaru, State Secretary and Chief of the Department for Defense Policy, Planning and International Relations, Ministry of Defense of Romania Minister Oleksii Reznikov, Minister of Defense of Ukraine First Deputy Minister Lasha Darsalia, First Deputy Minister of Foreign Affairs of Georgia Deputy Minister Yordan Bozhilov, Deputy Minister of Defense of Bulgaria Ambassador Füsun Aramaz, Ambassador of Turkey to Romania Ambassador Radko Vlaykov, Ambassador of Bulgaria to Romania MP Alexander Goncharenko, Member of the Ukrainian Parliament MP Kaloyan Ikonomov, Member of the Bulgarian Parliament; Chair, Bulgaria – USA Friendship Group Deputy Secretary General Mircea Geoană, Deputy Secretary General of NATO Major General Jessica Meyeraan (USAF), Director of Exercises and Assessments, U.S. European Command Members of the media must email stuparsa@state.gov in advance to attend this event. Preregistration closes Thursday, June 30, at 12:00 p.m. (UTC+3).

  • The Helsinki Process: An Overview

    In August 1975, the heads of state or government of 35 countries – the Soviet Union and all of Europe except Albania, plus the United States and Canada – held a historic summit in Helsinki, Finland, where they signed the Final Act of the Conference on Security and Cooperation in Europe. This document is known as the Helsinki Final Act or the Helsinki Accords. The Conference, known as the CSCE, continued with follow-up meetings and is today institutionalized as the Organization for Security and Cooperation in Europe, or OSCE, based in Vienna, Austria. Learn more about the signature of the Helsinki Final Act; the role that the Conference on Security and Cooperation in Europe played during the Cold War; how the Helsinki Process successfully adapted to the post-Cold War environment of the 1990s; and how today's OSCE can and does contribute to regional security, now and in the future.

  • Declare Putin’s War Genocide

    A bipartisan group of U.S. lawmakers introduced a resolution characterizing Russia’s actions in Ukraine as an act of genocide on Friday.  A draft of the resolution, seen by Foreign Policy, argues that atrocities committed by Russian troops in Ukraine, including indiscriminate attacks on civilians, the direct targeting of maternity hospitals and medical facilities, and the forcible transfer of hundreds of thousands of Ukrainians to Russia and Russian-held territory meet the criteria laid out in Article II of the United Nations Convention on the Prevention and Punishment of the Crime of Genocide.  Congressional resolutions are commonly used by lawmakers to express strongly held sentiments by members of the House of Representatives or Senate. Although the resolution is not legally binding, it sends a strong message of condemnation of Russia’s actions and indicates ongoing efforts by members of Congress to provide continued support to Ukraine beyond military aid.  In April, U.S. President Joe Biden characterized Russian atrocities in Ukraine as an act of genocide. “We’ll let the lawyers decide internationally whether or not it qualifies, but it sure seems that way to me,” he said, speaking to reporters in Iowa. Biden’s remarks were echoed by the Canadian and British prime ministers while French President Emmanuel Macron and German Chancellor Olaf Scholz declined to use the term, underscoring long-standing differences within the international community as to what constitutes genocide.  As a crime, genocide is distinct from other mass atrocities, and it is defined in the United Nation Genocide Convention as “acts committed with the intent to destroy, in whole or in part, a national, ethnic, racial or religious group.” Since 1989, the U.S. State Department has recognized eight genocides, most recently declaring attacks on the Rohingya Muslims in Myanmar as genocide. U.S. designations of genocide can take years of gathering and analyzing evidence, and senior Biden administration officials noted that the president’s remarks in April did not constitute a formal U.S. policy shift. Arguing that events in Ukraine could constitute genocide, the resolution points to statements made in Russian state media and by senior officials, including by Russian President Vladimir Putin, that undermine Ukrainian statehood and sovereignty; the congressional resolution alleges that the atrocities were carried out with a specific purpose. Proving that the crimes are carried out with deliberate genocidal intent can often be difficult to prove in law.  A number of Russian soldiers and units—which were accused of committing war crimes in the Kyiv suburb of Bucha, specifically torture, rape, and summary executions of civilians—were awarded in April by Putin, who designated the 64th Motor Rifle Brigade as Guards and praised them for their “mass heroism and valor, tenacity, and courage.” The resolution is set to be introduced by Democratic Rep. Steve Cohen and is expected to be co-sponsored by a bipartisan group of House members who sit on the Helsinki Commission, an independent U.S. government agency tasked with promoting human rights and security in Europe. In April, the commission wrote to the president of the Parliamentary Assembly of the Organization for Security and Cooperation in Europe to endorse a declaration passed by the Ukrainian parliament characterizing Russia’s actions as genocide and urging the assembly to pass a similar resolution.

  • Helsinki Commission Applauds European Commission Recommendation to Grant Ukraine and Moldova Candidate Status

    WASHINGTON—Following the European Commission’s recommendation that Ukraine and Moldova be granted EU candidate status, Helsinki Commission Chairman Sen. Ben Cardin (MD), Co-Chairman Rep. Steve Cohen (TN-09), and Ranking Members Sen. Roger Wicker (MS) and Rep. Joe Wilson (SC-02) issued the following joint statement: “We applaud the historic decision of the European Commission to recommend EU candidate status for Ukraine and Moldova. All countries have the sovereign right to choose their own alliances and determine their own foreign policies. The people of Ukraine and Moldova have long cherished the dream of integration with the Euro-Atlantic West. The European Commission’s recommendation rewards their persistent efforts to pursue these aspirations, even in the face of relentless Russian aggression.  “The people of Georgia also have sacrificed much for their European identity over several decades, despite Russian warmongering and the challenges of painful reforms. They have demonstrated that they can rise to the challenge if and when the path is clear.  We believe they too should be offered an equally concrete roadmap to EU membership.  “Ahead of this week’s European Council meeting, we encourage our European friends to grant all three countries candidate status. The path to liberal democracy is never without occasional setbacks and detours, and always in need of vigilance, careful effort, and compromise. We believe candidate status will give all three countries a fighting chance in their common European dream.” On June 17, the European Commission recommended that Ukraine, Moldova, and Georgia be provided pathways to EU membership and that Ukraine and Moldova be conferred candidate status with conditions. On June 23 – 24, the European Council will make its final decision regarding the three countries’ pending applications for EU membership.

  • Long Shadow of Russian Money Raises Tricky Questions for Swiss Bankers

    January used to be a big month for Swiss bankers and their Russian clients. Many of the Moscow elite had made a tradition of coming to the Alps for the orthodox new year, skiing with their families, then catching up with their financial consiglieri. In St Moritz, one banker recalls how he would book blocks of rooms for his clients. He would entertain them with snow polo, rolling out the charm as they clinked champagne glasses and watched horses charge across a frozen lake. This year he couldn’t tempt a single one. For the best part of a decade, Russian money has coursed through the Swiss banking world. But, as Russia’s relationship with the west has soured in recent years, what was once a source of bumper new profits for Switzerland’s banks has become a financial and reputational risk. In the run-up to Russia’s invasion of Ukraine in February, many wealthy Russians were moving to better safeguard their money from political interference, putting assets in the names of relatives or shifting them to less closely scrutinised jurisdictions, such as Dubai. In its wake, a vast sanitisation operation is under way at Swiss banks, to try and wind down relationships with sanctioned individuals. Neutral Switzerland has matched all of the EU’s punitive financial measures against Russia. More than 1,100 of the Russian elite — including figures such as coal and fertiliser billionaire Andrey Melnichenko and banker Petr Aven, both regular visitors to Switzerland — have become financial personae non gratae in a country many had assumed would keep their fortunes safe. The biggest banks, such as the publicly listed trio of UBS, Credit Suisse and Julius Baer, have declared they will cease all new business in Russia. For critics, though these are weasel words. It is their existing Russian clients that are the problem. No one is expecting many new fortunes to be minted in Russia any time soon. “Switzerland has a terrible history when it comes to Russian dirty money,” says Bill Browder, a longstanding Kremlin critic and a former Russian investor. He is sceptical of how much commitment there is among Swiss bankers to enforcing sanctions. “The Swiss want to be seen as doing something, but they don’t actually want to do anything,” he says. The US Helsinki Commission, an independent US government agency that observes human rights and the rule of law in Europe, agrees. In a report issued in May, it labelled the alpine state and its banks “a leading enabler of Vladimir Putin and his cronies”. The Swiss government responded by calling US secretary of state Antony Blinken in protest. A spokesperson for the Swiss government said president Ignazio Cassis “rejected the [report] in the strongest possible terms”. Like their counterpart in St Moritz, Swiss bankers the FT interviewed for this story all declined to be identified. Many more refused to speak at all. Switzerland’s banking secrecy laws are draconian — talking about clients can earn a lengthy jail term — and talking about Russian clients is even more taboo. “When we were onboarding a lot of these clients [in the 2000s], the entire approach was just very different. And you can’t really say that publicly now,” says one former banker who handled eastern European and Russian clients until retiring two years ago. “These [Russians] were people who had earned so much money, so quickly, that they didn’t know what to do with it. They were basically ideal clients. As long as you had no questions about where that money had come from . . . and, basically, we didn’t.” Quite how much Russian money there is in Switzerland is open to question. In March, the industry body representing Switzerland’s banks, the Swiss Bankers Association (SBA), caused a stir when it released details of a study estimating there was SFr150bn-SFr200bn ($154bn-$205bn) held in accounts for Russian citizens. At the end of last year, the total cash held on behalf of customers by Switzerland’s banks was SFr7,879bn, more half of which was wealth from abroad, according to the SBA. The disclosure prompted hand-wringing in the Swiss media. Commentators, even at conservative outlets such as the newspaper Neue Zürcher Zeitung, asked whether Switzerland should do business with autocratic regimes anywhere in the world any more. But others in the country have defended its economic relationships with Russia. The outspoken finance director of the canton of Zug, an important low-tax centre, said in March it was not his job to “act like a detective” and make judgments on Russian assets. In April, he announced that Zug, home to 37,000 companies, had no sanctioned assets to report back to Bern. Nevertheless, by April, the State Secretariat for Economic Affairs (SECO) announced that it had frozen SFr9.7bn of Russian assets. Authorities have insisted that the amount is proportionate to the scale of asset freezes in other leading financial centres. But Bern has been forced to row back in some cases, and in May it announced it was unfreezing SFr3.4bn of funds. Switzerland cannot freeze funds “without sufficient grounds”, says Erwin Bollinger, a SECO official, who adds that the government has received data on sanctioned accounts at more than 70 of the country’s banks. Direct disclosure by the banks has been patchy. Credit Suisse chief executive Thomas Gottstein told a conference in March that about 4 per cent of assets in his bank’s core wealth management business were Russian — a proportion that would equate to roughly SFr33bn. Meanwhile, UBS, the world’s largest private wealth manager, has disclosed it has $22bn of assets of “Russian persons not entitled to residency in the European Economic Area or Switzerland”, leaving open the question of how much it holds overall. Some 16,500 Russians are permanently resident in Switzerland, and more Russians are accepted for Swiss citizenship than any other nationality, according to the State Secretariat for Migration. Julius Baer has made no direct disclosure of the size or wealth of its Russian client base, though it has said, somewhat elliptically, that the value of assets held by its Moscow-based subsidiary is some SFr400mn. Information from the dozens of other smaller Swiss private banks is even scantier. Even leading industry figures wonder what is being left unsaid. One executive, who for the past two decades has been a senior figure in the private banking world in Switzerland, says he has almost no doubt that the significance of many banks’ close working relationships with sanctioned individuals is being underplayed. “You don’t have dozens and dozens of people employed on your Russia desks if you are not making money in Russia,” he says. Moreover, he adds, many Russian clients have done their business through Swiss banks’ subsidiaries abroad, such as those in Monaco, London or Asia. It is not clear to him whether all these assets have been caught by the Swiss rules. Swiss banks have a legal obligation to record the ultimate beneficial owners of all assets they handle worldwide, but doing so accurately can be tricky in jurisdictions where it is easy for third parties to mask who the owners are. Switzerland’s banks have moved dramatically from the freewheeling approach of previous years, when there was “a run on Russia”, says Thomas Borer, a former leading Swiss diplomat turned consultant, who has worked with prominent Russian clients. He now supports Switzerland’s sanctions policy. “Being militarily neutral does not mean being economically indifferent,” he says. But he argues that Swiss banking culture is still very different from elsewhere in the west. Even the biggest banks, he says, were clinging to relationships with Russian clients as the Ukraine crisis unfolded. The Financial Times revealed that, as late as March, Credit Suisse was asking investors to destroy documents that might expose Russian oligarchs it had done business with to legal risks. One senior relationship manager at a Zurich-based bank agrees. Even as sanctions came in, he says, the dominant approach was to ask, “how can we make this work for the client?” rather than “how do we do this for the government?”. But he defends the approach, saying: “Doing everything you can for your client is a Swiss commitment to excellence. If I was a watchmaker I would want to make the best watches with many complications. And if I was a policeman, then maybe I would want to be the best at catching Russian criminals. But I’m a banker.” There is still legal ambiguity in Switzerland over whether sanctions apply to family members and friends of listed individuals. This has provided a loophole bankers have helped at-risk clients to actively exploit in recent years. Swiss banks have seen “billions” of assets transferred to the names of spouses and children of Russian clients, in a trend that accelerated in the run-up to the war, says one banker. One bank chief executive admitted recently to the FT that there were many “grey areas” in applying sanctions. Part of the problem, he said, was that bank legal departments were struggling to obtain clarity from Bern on which asset transfers were deemed to be evading sanctions and which were not. Many who have been in the industry for a long time decry the new rules they must follow around taking new clients and being certain of the source of their wealth. “Know your customer used to mean just that: do you know the person? Now it is supposed to mean: do you know every little thing about their financial and private life?” says one Geneva-based banker. Many Russians themselves knew the banks were no longer safe havens, particularly since 2018 when Swiss banks began making significant concessions to information sharing on client accounts with other governments. Swiss residency did not protect billionaire Viktor Vekselberg in 2018, for example, when he was targeted by US sanctions; both Credit Suisse and UBS moved to terminate loans with him. The SBA says its members adhere to the highest international standards. Chief executive Jörg Gasser, argues Swiss banks have “no interest in funds of dubious origin” and have rigorous procedures in place to rapidly screen for sanctioned assets. “Swiss banks have been — and still are — very careful and diligent when it comes to accepting client funds,” he says, adding it is important to recognise the huge amount of legitimate business done with Russian entrepreneurs who are not subject to sanctions. For Mark Pieth, emeritus professor of criminal law at the University of Basel and a specialist in white-collar crime, the real story of the past decade is how Switzerland’s lawyers, rather than its bankers, have become the facilitators of hidden foreign money. “Swiss bankers were extremely cosy with Russians in the past,” he says. “Alongside London, this country was the porch for Russians into the west . . . but now I wouldn’t say the problem is so much with the banks — it is all the other intermediaries.” Swiss law gives remarkable sweep to attorney-client privilege, says Pieth, meaning lawyers can refuse to disclose almost anything to the authorities about their clients. The Swiss Bar Association strongly rejects this. “Professional secrecy does not protect against criminal acts,” it says. “Lawyers know the law and know what to do.” One senior industry figure defends the banks’ position unapologetically. He says everybody now wants to know the origins of their luxury jackets. But 10 years ago nobody was asking where they were made, by whom and with what materials. In banking, as in fashion, things have changed, he says, but nobody is haranguing the fashion world in the same way they are criticising banks. Fashion companies, though, have moved with the times and opened up, whereas Switzerland’s banks, for all their insistence on change and compliance, still want to maintain as much of the secrecy surrounding their clients as possible — even at a time of international crisis.  

  • European Energy Security Post-Russia

    Russia is weaponizing energy to prolong its unlawful invasion of Ukraine. Unfortunately, the sanctions that Europe and the United States have put in place have not been enough to curb Russian aggression thus far and the European Union pays Russia almost a billion euros a day for energy resources—mostly gas— that fund the Russian war machine.  Germany, in particular, has struggled to move away from its dependence on Russian gas. At the start of the Russian invasion of Ukraine, Germany imported 55 percent of its gas from Russia. As of June 2022, Russian gas imports had decreased to 35 percent, with a goal to decrease to 10 percent by 2024, but progress is slow and buying any energy from Russia means that Germany continues to fund their unlawful invasion. Dr. Benjamin Schmitt, Research Associate at Harvard University and Senior Fellow at the Center for European Policy Analysis, pointed to the resurgence of Ostpolitik, a German diplomatic theory which seeks to build relationships and spread good governance through trade. First introduced in the Cold War era, Ostpolitik was put into action once more in the early 2000s by former Chancellor Gerhard Schroeder, who became infamous for lobbying for Kremlin-backed projects in office and for sitting on the board of the Russian state-owned energy company, Gazprom, after leaving office. However, Russia attempted to leverage such projects, including the Nord Stream 1 project and its ultimately bankrupted predecessor, Nord Stream 2, to increase the vulnerability of Western Europe toward Russia. According to Dr. Constanze Stelzenmüller, Senior Fellow at Brookings Institution, domestic political will exists in Germany to diversify energy sources, even if most are wary of making those changes immediately. German polling shows that one-third of Germans are willing to cut off Russian gas immediately, while two-thirds would prefer a slow gradual decrease in gas. Dr. Stelzenmüller explained that if Germany were to immediately cut off Russian gas supplies, it is likely that a recession would affect not only Germany, but also many surrounding Eastern European countries, most of which have less capacity to manage a recession. She stated, “Much of [Germany’s] manufacturing supply chains go deep into Eastern Europe. So, a recession in Germany would absolutely produce a massive, and perhaps worse, recession in our neighboring economies.”  Any actions taken against Russia should ensure that sanctions hit Russia harder than those countries imposing the sanctions. Mr. Yuriy Vitrenko, CEO of Naftogaz Ukraine, and Dr. Schmitt also emphasized the importance of the following recommendations outlined in the REPowerEU plan, the European Commission’s plan to make Europe independent from Russian energy before 2030, and the International Working Group on Russia Sanctions Energy Roadmap: Full European/US embargos on Russian gas. Creation of a special escrow account that will hold net proceeds due to Russia until the Kremlin ceases all hostilities. Diversification of energy dependance away from Russia through energy diplomacy that identifies other potential suppliers, like Qatar. Funding and construction of energy infrastructure around Europe. Termination of Gazprom ownership of all critical energy infrastructure in Europe. Designation of Russia as a state sponsor of terrorism, which would automatically trigger secondary sanctions on any country that imports Russian goods. Sanctioning of all Russian banks. Strengthening of Ukrainian capacity to participate in the energy sector through the creation of modern energy infrastructure during the post-war reconstruction period. Pass the Stop Helping America’s Malign Enemies (SHAME) Act, banning former U.S. government officials from seeking employment by Russian state-owned-enterprises, or Schroederization. Related Information Witness Biographies

  • European Energy Security Focus of Upcoming Helsinki Commission Hearing

    WASHINGTON—The Commission on Security and Cooperation in Europe, also known as the Helsinki Commission, today announced the following hearing: EUROPEAN ENERGY SECURITY POST-RUSSIA Tuesday, June 7, 2022 2:30 p.m. Watch live: www.youtube.com/HelsinkiCommission The United States and European allies have largely cut Russia out of the global economy following its full-scale invasion of Ukraine. However, given European reliance on Russian natural gas and oil, sweeping energy sanctions have lagged. The European Union spends nearly a billion euros a day on Russian energy, and several EU Member States are struggling to wean themselves off Russian resources in order to implement a full embargo. This hearing will examine plans to create a Europe that is wholly free from Russian oil and gas. Witnesses will discuss the importance of a robust energy embargo to starving the Russian war machine; options to ensure that Ukraine’s energy needs are met; alternative sources of energy for Europe; and the perspective of Germany, which plays an outsize role as the most powerful economy in Europe and a primary consumer of Russian natural resources. The following witnesses are scheduled to participate: Yuriy Vitrenko, CEO, Naftogaz Ukraine Constanze Stelzenmüller, Senior Fellow, Brookings Institution Benjamin Schmitt, Research Associate, Harvard University; Senior Fellow, Democratic Resilience Program at the Center for European Policy Analysis

  • Helsinki Commission Digital Digest May 2022

  • Supporting Ukrainian Refugees

    More than 6 million Ukrainians have had to flee their country due to Russia’s brutal war of aggression. Most have entered bordering EU states, with more than half of those going to Poland. Poland and other frontline countries acted swiftly not only by opening their borders to Ukrainians, but also by enacting policies and legislation to provide them with temporary status, housing, job training, healthcare, and access to education. For its part, the Biden Administration announced that it will take in 100,000 refugees, opening a path for Ukrainians to obtain humanitarian parole in the United States. In addition, the United States has provided significant humanitarian assistance and support to countries hosting refugees. Nevertheless, as Russia’s bloody assault on Ukraine enters its third month, there is no end in sight to what has become the largest refugee crisis in Europe since World War II. Witnesses discussed the responses and challenges that frontline countries face in supporting Ukrainian refugees and how the United States might strengthen its policies in response, including by making the process of applying for visas more efficient.   Related Information Witness Biographies

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