Title

Commissioner Camuñez's Remarks on Good Governance

Assistant Secretary, U.S. Department of Commerce, and U.S. Helsinki Commissioner
Michael Camuñez
Washington, DC
United States
Tuesday, October 18, 2011

Economic and Environmental Dimension
Implementation Meeting
Session 3: Good Governance

Before I begin, I’d like to thank the panelists today for their excellent and informative presentations.

The United States has viewed with keen interest the evolving discussions in recent years on what the OSCE’s priorities should be in the Economic and Environmental Dimension.  As our friend and colleague Mr. Svilanovic pointed out during last year’s Vienna Review Conference, we appear to have come to an appreciation that good governance is the key linking theme across the entire second dimension.  The Maastricht Strategy is very clear on this point: “Good public and corporate governance and strong institutions are essential foundations for a sound economy, which can attract investments, and thereby enable States to reduce poverty and inequality, to increase social integration and opportunities for all, and to protect the environment.  Good governance at all levels contributes to prosperity, stability and security.”  As we consider the implementation of our second dimension commitments, however, we should keep in mind why it is important to implement those commitments.

The global economic downturn continues to put extreme pressure on people and governments across the OSCE region.  To be sure, some countries have weathered the storm better than others.  Still, no country can be forever immune to market forces, and even within those that have done well, there are always citizens left behind.  This is certainly the case in the United States, and for this reason President Obama is focused intently on how best to put those Americans without a job back to work.  We all know that trade and investment are critical drivers of economic growth.  Indeed, recognizing this important reality, the Obama Administration has launched the National Export Initiative, which seeks to deepen our strategic trade relationships around the world, recognizing that 85 percent of world GDP growth will occur outside the United States in the coming few years.  As we encourage more American businesses – large and small – to embrace international trade, seek opportunities in new markets, and make strategic investments that will lead to increased global trade flows, we are keenly aware of the challenges and costs posed by official corruption, weak institutions, and lack of respect for property rights, including intellectual property.

Weak governance and lack of transparency constitute non-tariff barriers to trade, which we have committed ourselves to eliminating.  Furthermore, the same issues that deter trade and investment also work against comprehensive security: a lack of transparency in governance leads to diminished confidence that problems and disputes will be addressed in a fair and impartial manner.  Without trust and confidence in public institutions, there is little incentive for investors and companies to pursue trade deals or direct investment in those economies. 

The effect is stagnating economic performance, which, as we have seen in the past several months and years, can lead to political upheaval.   

The United States Government is deeply committed to fostering good governance and transparency in its political and economic institutions.  President Obama has made the global fight against corruption a top priority.  As he has noted, “In too many places, the culture of the bribe is a brake on development and prosperity.  It discourages entrepreneurship, destroys public trust, and undermines the rule of law while stifling economic growth.”   

The real world costs of corruption and weak institutions should not be underestimated.  The World Bank estimates that more than one trillion dollars in bribes are paid each year out of a global economy of approximately 30 trillion dollars.  That's an incredible three percent of the world’s economy.   In 2009, companies lost nearly $25 billion to companies willing to pay bribes in deals for which the outcome is known.  And bribery is especially costly for small and medium-size enterprises (SMEs): a separate study has shown that up to 25 percent of SME operating capital in companies operating internationally is diverted to corruption.  That is a staggering figure that illustrates how corruption diverts scarce resources to thoroughly unproductive ends.

Corruption is a global problem that knows no borders.  And that’s why corruption demands a truly global response – one that knows no limits on collaboration.  The Obama Administration is doing its part to implement its obligations under the OECD Anti-Bribery Convention by enforcing the U.S. Foreign Corrupt Practices Act (FCPA) strictly and fairly.  We are determined to ensure that U.S. businesses do not contribute to corruption in foreign markets.  At the same time, we are determined to do what we can to assist them in the fight against foreign corruption, and against the high risk and significant costs of corruption in such markets.  

Regrettably, at this stage, the lack of enforcement of domestic bribery laws, and of foreign bribery laws by many nations that are Parties to the OECD Anti-Bribery Convention is extremely troubling and raises concerns about a lack of political will.  Governments can and should prosecute both those who give bribes and those who receive them, both at home and abroad.  And the OSCE should continue to encourage participating States to adopt and enforce rigorous anti-bribery regimes.

Of course, the fight against corruption is not simply a law enforcement matter; rather it can also be a significant – if not the most significant – non-tariff barrier all companies face.  Accordingly, the U.S. Department of Commerce and the International Trade Administration (or ITA) are committed to working with our trading partners to level the playing field and to promote transparent and corruption-free markets globally.  Our work to promote clean and ethical business environments occurs at both the multilateral and bilateral level.  At the multilateral level, the ITA is pressing its counterparts to lead by example and to implement comprehensive anti-corruption measures.  

In addition to our work through the OECD, the United States has been working diligently to persuade the G20 countries to adopt a comprehensive anti-corruption action plan, which includes a commitment focused on adoption and robust enforcement of anti-bribery laws, implementation of the UN Convention Against Corruption, greater engagement with the private sector, and support for transparency mechanisms, to name a few.  Many of these commitments require our G20 partners to enact and implement new laws and preventive measures.  

The United States, at ITA’s initiative, in particular, took the lead on proposals relating to the private sector and also on whistleblower protection, within the G20.  In the United States, whistleblowers play a crucial role in helping to enforce anti-corruption law.  This principle is also embodied in international conventions.  Articles 12 and 13 of the UN Convention require States Parties to prevent corruption in the private sector and promote the fight against corruption with the business community and civil society.  Unless governments can protect whistleblowers, it is unlikely that they can identify or address systemic causes of corruption.  The United States believes robust whistleblower protection should be an essential part of any good governance initiative in the OSCE, and I was encouraged to hear Ambassador O’Leary indicate that this will be an area of focus under the Irish Chairmanship.  

The U.S. Department of Commerce has also been committed to fostering strong private sector integrity as an integral part of promoting good governance in markets worldwide.  Companies are global corporate citizens, and as such, can work collectively and with governments to foster trust, and promote transparency.  I hope that some our work may provide a useful model for the OSCE to consider as it looks to embrace good governance and anti-corruption as a priority for the second dimension, a goal we fully support, and which I am personally committed to supporting.

For example, the ITA has championed business ethics and corporate governance reform since the early 1990s, following the fall of the Berlin Wall.  Our Business Ethics Manual has been translated into Chinese, Spanish and Russian and is still one of the most widely used resources on this important topic.  We have partnered with business associations and chambers of commerce to develop collective action and business ethics program in many markets.  

Our work on business ethics has grown.  This past year, the ITA has focused on trying to heighten awareness of good governance, transparency and business ethics in sectors of vital importance to many economies – by taking a “sectoral” approach to combating corruption and promoting good business practice, the challenge of dealing with corruption becomes less daunting.  The ethical issues specific to different industries vary greatly – and there is no one-size-fits-all approach to the problem.  Within the G20, for example, the United States, at the initiative of the U.S. Department of Commerce, has taken the lead in calling for the G20 to endorse additional sectoral approaches to fighting corruption, beyond the Extractive Industries Transparency Initiative (EITI).  We have asked G20 governments, for example, to consider supporting the Construction Sector Transparency Initiative (COST) – a new multistakeholder initiative, developed by the World Bank.  COST uses similar approaches to EITI to promote greater transparency in public infrastructure projects and government procurement.  I hope that the OSCE might similarly consider COST and other multistakeholder approaches to promoting transparency under the Irish chairmanship.    

Within APEC, the ITA has focused on developing new ethical principles for key sectors within the APEC region.  I am pleased to report that under the APEC SME working group, we have coordinated a project with APEC countries and businesses to develop principles of business ethics in the construction, medical devices and biopharmaceutical sectors.  These voluntary principles are meant to be used by businesses and trade associations – large and small – to guide their ethical interactions with public officials and institutions.   I hope that within the OSCE framework and the EEDIM, we might also consider focusing on business ethics in specific sectors of interest to all of our economies. 

I want to close by suggesting some activities to take the theme of good governance and transparency forward.  In addition to encouraging the OSCE to formally endorse the Extractive Industries Transparency Initiative—a move that would send an important signal about this body’s commitment to the principles of good governance and transparency—the U.S. encourages us to explore whether there are additional sectoral initiatives that merit support from the OSCE, including the Construction Sector Transparency Initiative.  The United States Government also strongly supports the Irish Chair’s goal to develop a Statement or Declaration of Transparency Principles to help guide our governments in their future activities.

I want to encourage us to consider new models of bilateral cooperation to promote good governance such as the model Mr. Murray just discussed, leading to a public-private initiative in the Russian power generation sector.  

We at the U.S. Department of Commerce are working closely with the Center for Black Sea/Caspian Studies at American University to potentially convene a conference in May of next year that would seek to address the challenge of developing mechanisms to ensure good governance and transparency, while also balancing the goals of protecting national security and accelerating economic development faced by the countries of the Caucasus and Central Asia, as they seek to assert their role as a gateway between Europe and Asia.  In addition, the conference will also focus on specific market access challenges to regional integration and economic development in the Caucasus and Central Asia such as transparency in Government procurement and privatization, and trade facilitation challenges, including customs and lack of regional harmonization.  It is our hope that the OSCE will join us for this event – focused on critical areas such as transport and infrastructure – to work on tangible ideas for projects and collaborations in the OSCE region.

We look forward with great interest to the 20th Economic and Environmental Forum, where we will delve deeper into all the facets of good governance.  We also thank the Lithuanian Chairman-in-Office for ensuring that their draft Ministerial Council decision on Energy Security incorporates transparency in the energy sector – in our view, considering the vital role that energy plays in modern economic life, there can be no confidence, and thus no security, without energy transparency.  In the year ahead, we envision an even broader focus on transparency principles across the entire spectrum of economic and environmental activities, and will work with all of our colleagues in the OSCE to make that vision a reality.

Thank you, Mr. Moderator.

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    Mr. President, I take this opportunity to provide a report to my colleagues on the successful congressional delegate trip last week to St. Petersburg, Russia, to participate in the Eighth Annual Parliamentary Assembly Session of the Organization for Security and Cooperation in Europe, known as the OSCE PA. As Co-chairman of the Helsinki Commission, I headed the Senate delegation in coordination with the Commission Chairman, Congressman Chris Smith. THE PARLIAMENTARY ASSEMBLY This year's congressional delegation of 17 members was the largest representation by any country at the proceedings and was welcomed as a demonstration of continued U.S. commitment to security in Europe. Approximately 300 parliamentarians from 52 OSCE participating states took part in this year's meeting of the OSCE Parliamentary Assembly. My objectives in St. Petersburg were to advance American interests in a region of vital security and economic importance to the United States; to elevate the issues of crime and corruption among the 54 OSCE countries; to develop new linkages for my home state of Colorado; and to identify concrete ways to help American businesses. CRIME AND CORRUPTION The three General Committees focused on a central theme: "Common Security and Democracy in the Twenty-First Century." I served on the Economic Affairs, Science, Technology and the Environment Committee which took up the issue of corruption and its impact on business and the rule of law. I sponsored two amendments that highlighted the importance of combating corruption and organized crime, offering concrete proposals for the establishment of high-level inter-agency mechanisms to fight corruption in each of the OSCE participating states. My amendments also called for the convening of a ministerial meeting to promote cooperation among these states to combat corruption and organized crime. My anti-corruption amendment was based on the premise that corruption has a negative impact on foreign investment, on human rights, on democracy building and on the rule of law. Any investor nation should have the right to expect anti-corruption practices in those countries in which they seek to invest. Significant progress has been made with the ratification of the new OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions. Under the OECD Convention, companies from the leading exporting nations will have to comply with certain ethical standards in their business dealings with foreign public officials. And, last July, the OSCE and the OECD held a joint conference to assess ways to combat corruption and organized crime within the OSCE region. I believe we must build on this initiative, and offered my amendment to urge the convening of a ministerial meeting with the goal of making specific recommendations to the member states about steps which can be taken to eliminate this primary threat to economic stability and security and major obstacle to U.S. businesses seeking to invest and operate abroad. My anti-crime amendment was intended to address the negative impact that crime has on our countries and our citizens. Violent crime, international crime, organized crime and drug trafficking all undermine the rule of law, a healthy business climate and democracy building. This amendment was based on my personal experiences as one of the only members of the United States Senate with a law enforcement background and on congressional testimony that we are witnessing an increase in the incidence of international crime, and we are seeing a type of crime which our countries have not dealt with before. During the opening Plenary Session on July 6, we heard from the Governor of St. Petersburg, Vladimir Yakolev, about how the use of drugs is on the rise in Russia and how more needs to be done to help our youth. On July 7, I had the opportunity to visit the Russian Police Training Academy at St. Petersburg University and met with General Victor Salnikov, the Chief of the University. I was impressed with the General's accomplishments and how many senior Russian officials are graduates of the university, including the Prime Minister, governors, and members of the Duma. General Salnikov and I discussed the OSCE's work on crime and drugs, and he urged us to act. The General stressed that this affects all of civilized society and all countries must do everything they can to reduce drug trafficking and crime. After committee consideration and adoption of my amendments, I was approached by Senator Jerry Grafstein from Canada who indicated how important it was to elevate the issues of crime and corruption in the OSCE framework. I look forward to working with Senator Grafstein and other parliamentarians on these important issues at future multilateral meetings. CULTURAL LINKAGES WITH COLORADO St. Petersburg is rich in culture and educational resources. This grand city is home to 1,270 public, private and educational libraries; 181 museums of art, nature, history and culture; 106 theaters; 52 palaces; and 417 cultural organizations. Our delegation visit provided an excellent opportunity to explore linkages between some of these resources with the many museums and performing arts centers in Colorado. On Thursday, July 8, I met with Tatyana Kuzmina, the Executive Director for the St. Petersburg Association for International Cooperation, and Natalia Koltomova, Senior Development Officer for the State Museum of the History of St. Petersburg. We learned that museums and the orchestras have exchanges in New York, Michigan and California. Ms. Kuzmina was enthusiastic about exploring cultural exchanges with Denver and other communities in Colorado. I look toward to following up with her, the U.S. Consulate in St. Petersburg, and leaders in the Colorado fine arts community to help make such cultural exchanges a reality. As proof that the world is getting smaller all the time, I was pleasantly surprised to encounter a group of 20 Coloradans on tour. In fact, there were so many from Grand Junction alone, we could have held a Town Meeting right there in St. Petersburg! In our conversations, it was clear we shared the same impressions of the significant potential that that city has to offer in future linkages with Colorado. I ask unanimous consent that a list of the Coloradans whom I met be printed in the Record following my remarks. HELPING AMERICAN BUSINESSES In the last Congress, I introduced the International Anti-Corruption Act of 1997 (S. 1200) which would tie U.S. foreign aid to how conducive foreign countries are to American businesses and investment. As I prepare to reintroduce this bill in the 106th Congress and to work on combating crime and corruption within the OSCE framework, I participated in a meeting of U.S. business representatives on Friday, July 9, convened by the Russian-American Chamber of Commerce, headquartered in Denver. We were joined by my colleagues, Senator Kay Baily Hutchison, Senator George Voinovich and my fellow Coloradan, Congressman Tom Tancredo. We heard first-hand about the challenges of doing business in Russia from representatives of U.S. companies, including Lockheed Martin Astronautics, PepsiCo, the Gillette Company, Coudert Brothers, and Colliers HIB St. Petersburg. Some issues, such as export licensing, counterfeiting and corruption are being addressed in the Senate. But, many issues these companies face are integral to the Russian business culture, such as taxation, the devaluation of the ruble, and lack of infrastructure. My colleagues and I will be following up on ways to assist U.S. businesses and investment abroad. In addition, on Wednesday, July 7, I participated in a meeting at the St. Petersburg Investment Center. The main focus of the meeting was the presentation of a replica of Fort Ross in California, the first Russian outpost in the United States, to the Acting U.S. Consul General on behalf of the Governor of California. We heard from Anatoly Razdoglin and Valentin Makarov of the St. Petersburg Administration; Slava Bychkov, American Chamber of Commerce in Russia, St. Petersburg Chapter; Valentin Mishanov, Russian State Marine Archive; and Vitaly Dozenko, Marine Academy. The discussion ranged from U.S. investment in St. Petersburg and the many redevelopment projects which are planned or underway in the city. CRIME AND DRUGS As I mentioned, on Wednesday, July 7, I toured the Russia Police Training Academy at St. Petersburg University and met with General Victor Salnikov, the Chief of the University. This facility is the largest organization in Russia which prepares law enforcement officers and is the largest law institute in the country. The University has 35,000 students and 5,000 instructors. Among the law enforcement candidates, approximately 30 percent are women. The Police Training Academy has close contacts with a number of countries, including the U.S., France, Germany, the United Kingdom, Finland, Israel and others. Areas of cooperation include police training, counterfeiting, computer crimes, and programs to combat drug trafficking. I was informed that the Academy did not have a formal working relationship with the National Institute of Justice, the research and development arm of the U.S. Department of Justice which operates an extensive international information-sharing program. I intend to call for this bilateral linkage to facilitate collaboration and the exchange of information, research, and publications, which will benefit law enforcement in both countries that fight crime and drugs. U.S.-RUSSIA RELATIONS In addition to the discussions in the plenary sessions of the OSCE Parliamentary Assembly, we had the opportunity to raise issues of importance in a special bilateral meeting between the U.S. and Russia delegations on Thursday morning, July 8. Members of our delegation raised issues including anti-Semitism in the Duma, developments in Kosovo, the case of environmental activist Aleksandr Nikitin, the assassination of Russian Parliamentarian Galina Starovoitova, and the trafficking of women and children. As the author of the Senate Resolution condemning anti-Semitism in the Duma (S. Con. Res. 19), I took the opportunity of this bilateral session to let the Russian delegation, including the Speaker of the State Duma, know how seriously we in the United States feel about the importance of having a governmental policy against anti-Semitism. We also stressed that anti-Semitic remarks by their Duma members are intolerable. I look forward to working with Senator HELMS to move S. Con. Res. 19 through the Foreign Relations Committee to underscore the strong message we delivered to the Russians in St. Petersburg. We had the opportunity to discuss the prevalence of anti-Semitism and the difficulties which minority religious organizations face in Russia at a gathering of approximately 100 non-governmental organizations (NGOs), religious leaders and business representatives, hosted by the U.S. Delegation on Friday, July 9. We heard about the restrictions placed on religious freedoms and how helpful many American non-profit organizations are in supporting the NGO's efforts. I am pleased to report that the U.S. Delegation had a significant and positive impact in advancing U.S. interests during the Eighth OSCE Parliamentary Assembly Session in St. Petersburg. To provide my colleagues with additional information, I ask unanimous consent that my formal report to Majority Leader Lott be printed in the Record following my remarks. Exhibit No. 1 Coloradans in St. Petersburg, Russia Iva Allen, Grand Junction. Kay Coulson, Grand Junction. Inez Dodson, Grand Junction. Isabel Downing, Grand Junction. Terry Eakle, Greeley. Betty Elliott, Grand Junction. Dorothy Evans, Grand Junction. Kay Hamilton, Grand Junction. Helen Kauffman, Grand Junction. Nancy Koos, Denver. Dick and Jay McElroy, Grand Junction. Lyla Michaels, Glenwood Springs. Carol Mitchell, Grand Junction. Neal and Sonya Morris, Grand Junction. Pat Oates, Grand Junction. Kawna Safford, Grand Junction. Phyllis Safford , Grand Junction. Dorothy Smith, Grand Junction. Irene Stark, Montrose.   Exhibit No. 2 COMMISSION ON SECURITY AND COOPERATION IN EUROPE Washington, DC July 14, 1999 Hon. TRENT LOTT Majority Leader United States Senate Washington, DC Dear Senator Lott: I am pleased to report to you on the work of the bipartisan congressional delegation which I co-chaired that participated in the Eighth Annual Session of the Parliamentary Assembly of the Organization for Security and Cooperation in Europe (OSCE), hosted by the Russian Parliament, the Federation Council and the State Duma, in St. Petersburg, July 6-10, 1999. Other participants from the United States Senate were Senator Hutchison of Texas and Senator Voinovich. We were joined by 14 Members of the House: Rep. Smith, Rep. Hoyer, Rep. Sabo, Rep. Kaptur, Rep. Cardin, Rep. Sawyer, Rep. Slaughter, Rep. Stearns, Rep. Tanner, Rep. Danner, Rep. Hastings of Florida, Rep. Salmon, Rep. Cooksey, and Rep. Tancredo. The combined U.S. delegation of 17, the largest representation by any country in St. Petersburg was welcomed by others as a demonstration of the continued commitment of the United States, and the U.S. Congress, to Europe. This year's Assembly brought together nearly 300 parliamentarians from 52 OSCE participating States. Seven countries, including the Russian Federation, were represented at the level of Speaker of Parliament or President of the Senate. The Assembly continued to recognize the democratically elected parliament of Belarus which President Lukashenka dissolved following his illegal power grab in 1996. The inaugural ceremony included a welcoming address by the Speaker of the State Duma, Gennady Seleznev, and the Governor of St. Petersburg, Vladimir Yakovlev. The President of the Assembly, Ms. Helle Degn of Denmark, presided. The theme for the St. Petersburg Assembly was “Common Security and Democracy in the Twenty-First Century.” Foreign Minister Knut Vollenback of Norway addressed the Assembly in his capacity of OSCE Chairman-in-Office to report on the organization's activities, particularly those relating to post-conflict rehabilitation and reconstruction in Kosovo. Vollenbaek urged the Parliamentary Assembly and its members to play an active role in promoting human rights, democracy, and the rule of law in Kosovo. Considerable attention was given to the Stability Pact for Southeastern Europe throughout the discussions on Kosovo. Members of the U.S. delegation actively participated in a special plenary session on Kosovo and contributed to a draft resolution concerning the situation in Kosovo. The delegation was successful in securing adoption of several amendments; underscoring the legal obligation of State to cooperate with the International Tribunal for the Former Yugoslavia; granting access to all prisoners by the International Committee on the Red Cross; extending humanitarian assistance to other parts of the Federal Republic of Yugoslavia; and supporting democracy in Serbia and Montenegro. Senator Voinovich introduced a separate resolution stressing the urgent need to support infrastructure projects which would benefit neighboring countries in the Balkans region. This resolution was widely supported and adopted unanimously. Work in the Assembly's three General Committee: Political Affairs and Security; Economic Affairs, Science, Technology and Environment; and Democracy, Human Rights and Humanitarian Questions, focused on the central theme: “Common Security and Democracy in the Twenty-First Century.” During discussion in the General Committee on Political Affairs and Security, the U.S. pressed for greater transparency with respect to OSCE activities in Vienna, urging that meetings of the Permanent Council be open to the public and media. Considerable discussion focused on the Assembly's long-standing recommendation to modify the consensus rule that governs all decisions taken by the OSCE. During the closing session Rep. Hastings was unanimously elected committee Vice Chairman. Members offered several amendments to the draft resolution considered by the General Committee on Economic Affairs, Science, Technology and Environment. Two amendments that I sponsored focused on the importance of combating corruption and organized crime, offering concrete proposals for the establishment of high-level inter-agency corruption-fighting mechanisms in each of the OSCE participating States as well as the convening of a ministerial meeting to promote cooperation among these States to combat corruption and organized crime. Other amendments offered by the delegation, and adopted, highlighted the importance of reform of the agricultural sector, bolstering food security in the context of sustainable development, and regulation of capital and labor markets by multilateral organizations. The Rapporteur's report for the General Committee on Democracy, Human Rights and Humanitarian Questions focused on the improvement of the human rights situation in the newly independent states. Amendments proposed by the U.S. delegation, and adopted by the Assembly, stressed the need for participating States to fully implement their commitments to prevent discrimination on the grounds of religion or belief and condemned statements by parliamentarians of OSCE participating States promoting or supporting racial or ethnic hatred, anti-Semitism and xenophobia. Other U.S. amendments that were adopted advocated the establishment of permanent Central Election Commissions in emerging democracies and emphasized the need for the Governments of the OSCE participating States to act to ensure that refugees and displaced persons have the right to return to their homes and to regain their property or receive compensation. Two major U.S. initiatives in St. Petersburg were Chairman Smith's resolution on the trafficking of women and children for the sex trade and Rep. Slaughter's memorial resolution on the assassination of Galina Starovoitova, a Russian parliamentarian and an outspoken advocate of democracy, human rights and the rule of law in Russia who was murdered late last year. The trafficking resolution appeals to participating States to create legal and enforcement mechanisms to punish traffickers while protecting the rights of the trafficking victims. The resolution on the assassination called on the Russian Government to use every appropriate avenue to bring Galina Starovoitova's murders to justice. Both items received overwhelming support and were included in the St. Petersburg Declaration adopted during the closing plenary. An ambitious series of bilateral meetings were held between Members of the U.S. delegation and representatives from the Russian Federation, Ukraine, Turkey, France, Romania, Kazakhstan, Uzbekistan, Armenian, Canada, and the United Kingdom. While in St. Petersburg, the delegation met with Aleksandr Nikitin, a former Soviet navy captain being prosecuted for his investigative work exposing nuclear storage problems and resulting radioactive contamination in the area around Murmansk. In addition, the delegation hosted a reception for representatives of non-governmental organizations and U.S. businesses active in the Russian Federation. Elections for officers of the Assembly were held during the final plenary. As. Helle Degn of Denmark was re-elected President. Mr. Bill Graham of Canada was elected Treasurer. Four of the Assembly's nine Vice-Presidents were elected: Mr. Claude Estier (France), Mr. Bruce George (U.K.), Mr. Ihor Ostach (Ukraine), and Mr. Tiit Kabin (Estonia). Rep Hoyer's current term as Vice-President runs through 2001. Enclosed is a copy of the St. Petersburg Declaration adopted by participants at the Assembly's closing session. Finally, the Standing Committee agreed that the Ninth Annual Session of the OSCE Parliamentary Assembly will be held next July in Bucharest, Romania. Sincerely, Ben Nighthorse Campbell, U.S.S., Co-Chairman

  • The Sex Trade: Trafficking of Women and Children in Europe and the United States

    This Commission examined an escalating human rights problem in the OSCE region: the trafficking of women and children for the purpose of sexual exploitation. Trafficking in human beings is a form of modern-day slavery. When a woman or child is trafficked or sexually exploited by force, fraud, or coercion for commercial gain, she is denied the most basic human rights enumerated in the Universal Declaration of Human Rights and numerous international human rights agreements. Although trafficking has been a problem for many years in Asian countries, it was not until the end of communism in East-Central Europe and the break-up of the Soviet Union that a sex trade in the OSCE region began to develop. The hearing looked into the U.S. and the global response to this appalling human challenge and what else could be done to address it.

  • Constitutional Impasse Continues in Belarus

    Mr. Speaker, on May 16, the alternative Presidential election concluded in Belarus within the timeframe envisioned by the legitimate 1994 Constitution. While the opposition Central Election Commission (CEC) concluded that the final results of the voting were invalid because of various violations deriving from the impediments placed by Belarusian authorities, the ballot served as an important barometer of democratic engagement by the citizens of Belarus. In the months leading up to the election, President Alyaksandr Lukashenka had imprisoned one of the two Presidential candidates, former Prime Minister Mikhail Chygir, on what were clearly politically motivated charges, arrested hundreds of election officials and volunteers, and instituted administrative proceedings against others. Nevertheless, the authorities were unable to thwart the election in at least one critically important respect, according to the opposition CEC, the voting itself was valid because more than half, or 53 percent of the electorate, participated. When one considers that these were unsanctioned elections that challenged Lukashenka's legitimacy, this is a substantial number of people. No matter what the imperfections, Mr. Speaker, the opposition's electoral initiative should send a powerful message to Lukashenka. Clearly, an appreciable number of Belarusian citizens are dissatisfied with the profoundly negative political and socio-economic fallout stemming from his dictatorial inclinations and misguided nostalgia for the Soviet past or some misty “Slavic Union.” The vote highlights the constitutional and political impasse created by Lukashenka's illegitimate 1996 constitutional referendum, in which he extended his personal power, disbanded the duly elected 13th Supreme Soviet, and created a new legislature and constitutional court subservient to him. Last month, the Commission on Security and Cooperation in Europe (Helsinki Commission), which I chair, held a hearing on the situation in Belarus, with a view toward promoting human rights and democracy there. Testimony from the State Department, OSCE mission in Belarus, the Belarusian democratic opposition and several human rights NGOs all reaffirmed that Belarus is missing out on what one witness characterized as “the great market democratic revolution that is sweeping Central and Eastern Europe and Eurasia” because of Lukashenka's power grab and backsliding on human rights and democracy. Despite repeated calls from the international community, including the Helsinki Commission, for Lukashenka to cease harassment of the opposition, NGO's and the independent media; allow the opposition access to the electronic media; create the conditions for free and fair elections and strengthen the rule of law, we have failed to see progress in these areas. Indeed, we see more evidence of reversals. Earlier this year, for example, Lukashenka signed a decree which introduces extensive restrictions on non-governmental activity and mandates re-registration, by July 1, of political parties, NGOs and trade unions. The decree, which among other onerous stipulations requires that organizations acknowledge the results of Lukashenka's illegitimate 1996 referendum, is clearly designed to destroy democratic civil society in Belarus and further consolidate Lukashenka's repressive rule. Moreover, within the last few months, several disturbing incidents have occurred, among them the March arrests of Viktor Gonchar, Chairman of the opposition CEC, and the Chygir imprisonment, as well as the mysterious disappearances of Tamara Vinnikova, former chair of the National Bank of Belarus and, on May 10, Gen. Yuri Zakharenko, former Interior Minister and a leading opponent of Lukashenka. Just a few days ago, Lukashenka's government announced that no more foreign priests will be allowed to serve in Belarus, making it extremely difficult for the Roman Catholic Church, which is rebuilding following the travails of the Soviet era, to function. Mr. Speaker, I strongly urge the Belarusian Government to comply with its freely undertaken commitments under the Helsinki Final Act and subsequent OSCE agreements and to immediately, without preconditions, convene a genuine dialog with the country's democratic forces and with the long-suffering Belarusian people.

  • Serbia, Montenegro, and Kosovo: The Views of Local Human Rights Advocates

    This briefing addressed the current situation of human rights in the former Yugoslavia and examined the role of the OSCE in bringing human rights to the forefront and attempting to hold governments accountable to their commitments in the post-Cold War era. Representatives from the Helsinki Committees in Montenegro and Kosovo, as well as the Director of the International Helsinki Foundation, were present at the briefing and spoke about the difficulties of raising awareness about human rights problem in each country with respect for the individual circumstances within the countries, and about the steps that might be taken in the future regarding increasing transparency within human rights.

  • Administration Certification of Russia Regarding Religious Freedom

    Mr. Speaker, through Public Law 105-292, the International Religious Freedom Act, Congress is on record as standing for religious liberty throughout the world. Furthermore, Public Law 105-177, the foreign appropriations legislation passed in the 105th Congress, mandates that no foreign aid money be appropriated to the Government of the Russian Federation if the President determines that the Russian government has implemented legislation or regulations that discriminate, or cause discrimination, against religious groups or religious communities in Russia in violation of accepted international agreements on human rights and religious freedoms to which the Russian Federation is a party. This provision was in response to the 1997 Russian Law on Freedom of Conscience and Religious Associations, which many feared would lead to limitations on religious worship and a retreat from the standards of religious freedom that had been achieved in Russia following the dissolution of the Soviet Union.   This year, for the second year in a row, the President has made the determination that the Government of the Russian Federation has not implemented legislation or regulations that cause such discrimination against religious groups. The Presidential Determination states “During the period under review, the Government of the Russian Federation has applied the 1997 Law on Religion in a manner that is not in conflict with its international obligations on religious freedom. However, this issue requires continued and close monitoring as the Law on Religion furnishes regional officials with an instrument that has been interpreted and used by officials at the local level to restrict the activities of religious minorities.” Furthermore, the Presidential Determination states, “To the extent that restrictions on the rights of religious minorities have occurred, they have been the consequence of actions taken by regional or local officials and do not appear to be a manifestation of federal government policy. Such incidents, while they must be taken seriously, represent a relatively small number of problems when viewed against the size of the country and the number of religious organizations.”   Mr. Speaker, I believe that the above statements are a reasonably accurate representation of the religious liberty situation in Russia and that the Presidential Determination is probably a fair one, given the lack of firm legal structure and the geopolitical situation in the present-day Russian Federation. Moreover, some of the most egregious instances of restrictions against religious groups in Russia have been corrected through court action. And to be fair, Russia is hardly the worst offender in the former Soviet Union.   In Turkmenistan, for instance, religious groups are required to have five-hundred members before they can be legally registered with the government to operate openly. It is a ridiculously high number and has resulted in harassment of unregistered religious groups. Of course, unlike Russia, the Government of Turkmenistan doesn't claim to be much of a democracy or go out of its way to adhere to international standards of human rights.   In Uzbekistan, the 1998 law imposes severe criminal penalties for meeting without registering and for engaging in free religious expression with the intent to persuade the listener to another point of view, in violation of OSCE religious liberty commitments. Since February 1999, several pastors in Uzbekistan have been detained and jailed on charges of drug possession eerily reminiscent of charges brought in years past against Soviet religious dissidents. These comparisons, however, do not change the fact that there are still several problems in the area of religious liberty in Russia that should be noted and corrected, especially if a considerable sum of U.S. taxpayer money still continues to go to Russia. In the East-West Church & Ministry Report of Winter 1999, Mark Elliot and Sharyl Corrado of the Institute for East-West Christian Studies write: Implementation of the 1997 law to date has been uneven. At least in the short run, a number of factors appear to have worked against consistently harsh application . ..... Still life since the passage of the law has not been easy for many who wish to worship outside the folds of the Moscow (Russian Orthodox) Patriarchate. The first 15 months of the new law included at least 69 specific instances of state harassment, restriction or threat of restriction against non-Moscow Patriarchate religious communities in the Russian Republic. For instance, I wonder if it was a coincidence that a few days after the Presidential Determination, the Russian Federation Ministry of Justice rejected the application of the Society of Jesuits for official registration. For that matter, most of the property seized by the Communists from the Roman Catholic Church in Russia has not been restored. In the city of Moscow, which is considered a liberal jurisdiction, the Jehovah's Witnesses have been subjected to a protracted trial that threatens to return them to “underground” status.   In Stavropol, the local Moslem community has not only been refused the return of a mosque that had been seized by the Communists, but also been prevented from holding worship services in other quarters. A provincial official justified this policy by saying that Moslems only make up 10 percent of the population in the city. These are only a few of the most prominent cases of concern. In rural areas, local officials attempt to hinder worship activities by a number of subterfuges, ranging from the refusal to rent city property to religious groups without their own premises to outright threats and eviction of missionaries.   Therefore, while I believe the Presidential Determination is, by and large, acceptable at this time, I would emphasize the reference to ``continued and close monitoring'' of the situation. In my opinion, the Administration has done a good job of monitoring the Russian religious liberty situation, and I trust these efforts will continue. As Chairman of the Commission on Security and Cooperation in Europe, I urge the Russian government to take every appropriate step to see that religious freedom is a reality for all in Russia, and I know the Congress will continue to follow this issue closely.

  • The State of Human Rights and Democracy in Kazakhstan

    Commission Chairman Christopher Smith presided over a hearing on the status of democratization and human rights in Kazakhstan following the country's presidential election in January of 1999. The election, which saw the victory of incumbent presient Nursultan Nazarbayev, was strongly criticsed by the OSCE, which stated that it had fallen "far short" of meeting OSCE commitments. Ross Wilson, Principal Deputy to the Ambassador At-Large, noted that opposition figures were beaten, arrested, and convicted for attending political meetings. Independent media organizations were bought out, silenced, and in extreme cases firebombed by allies of President Nazarbayev. Finally, a new law barred candidates who had been conviced of administrative violations from running for president. Akezhan Kazhegeldin, former prime minister of Kazakhstan and leading opposition member in the election, noted in his testimony that he was barred from running in the election due to this law. Bolat Nurgaliev, Ambassador of Kazakhstan to the United States, acknowledged "imperfections" in the state of Kazakhstan's political system, but defended the legal and ethical credentials of the election. The hearing concluded by offering a set of recommendations calling for the abolition of laws restricting opposition members from running, improved anti-corruption legislation, and greater press freedom.      

  • Democratization and Human Rights in Kazakhstan

    This hearing reviewed the democratization process, human rights, and religious liberty in Kazakhstan. This was one in a series that the Helsinki Commission has held on Central Asia. The hearing focused on Kazakhstan for two reasons: first, the country held a presidential election, almost 2 years ahead of schedule. The OSCE’s Office of Democratic Institutions and Human Rights, used unusually strong language, and criticized the conduct of the election as far short of meeting OSCE commitments. The witnesses gave testimony surrounding the legal obstacles in the constitution of Kazakhstan and other obstacles that the authoritarian voices in the government use to suppress opposition.

  • Children's Day in Turkey

    Mr. Speaker, later this week the Republic of Turkey will celebrate “Children's Day” as has been the custom every April 23rd since the early 1920s. Such festive occasions are important reminders of the wonderful blessing that children are to family and society alike. Regrettably, the joy of this celebration will not be shared by all children in Turkey.   Recently, I chaired a hearing of the Helsinki Commission that reviewed human rights practices in Turkey, an original signatory to the 1975 Helsinki Final Act. The disturbing testimony presented at that hearing underscored the vulnerability of children. Assistant Secretary of State for Democracy, Human Rights and Labor, Harold Koh, cited the case of two-year-old Azat Tokmak to illustrate how terrible and dehumanizing the practice of torture is for everyone involved, including children. Azat was tortured, according to Mr. Koh, in an effort to secure a confession from her mother. He testified: “In April [1998] the Istanbul Chamber of Doctors certified that Azat showed physical and psychological signs of torture after detention at an Istanbul branch of the anti-terror police. Azat's mother, Fatma Tokmak, was detained in December 1996 on suspicion of membership in the Kurdistan Workers Party (PKK). Azat was burned with cigarettes and kicked in an effect to make her mother confess.” Mr. Speaker, we are talking about a two-year-old child, a baby, being tortured by police.   At the same March 18th hearing, Stephen Rickard, Director of the Washington Office of Amnesty International USA, observed, “There is something Orwellian about calling units that torture and beat children and sexually assault their victims “anti-terror” police.” Mr. Rickard displayed a photograph of Done Talun, a twelve-year-old girl from a poor neighborhood in Ankara, to give a human face to the problem of torture in Turkey. “For five days, she was beaten and tortured while her frantic family asked for information about her whereabouts and condition,” Rickard said. Done was accused of stealing some bread. Her torture reportedly occurred at the Ankara Police Headquarters. “Is this young girl's case unique? Unfortunately, it is not,” he concluded. Mr. Rickard presented the Commission with a recent AI report: “Gross Violations in the Name of Fighting Terror: The Human Rights Record Of Turkey's ‘Anti-Terror’ Police Units.” The report includes a section on the torture of children.   Mr. Douglas A. Johnson, Executive Director of the Center for Victims of Torture, testified that there are thirty-seven different forms of torture practiced in Turkey today. Addressing the torture of children, Johnson observed, “twenty percent of our clients over the years were tortured when they were children, and usually that was to use them as a weapon against their parents,” similar to the case of two-year-old Azat Tokmak.   Mr. Speaker, I urge the Clinton Administration to press the Government of Turkey to eliminate the climate of impunity that has allowed children like Azat and Done to be subjected to such gross abuse at the hands of the police. Then, and only then, will children such as these, “the least of these,” be able to fully partake in the joy of this special Children's Day set aside to celebrate their lives and those of all children in Turkey.

  • Report on Human Rights: the Role of Field Missions

    In late April, the Warsaw-based Office for Democratic Institutions and Human Rights (ODIHR) of the Organization for Security and Cooperation in Europe (OSCE) held a four-day seminar on "Human Rights: The Role of Field Missions." The topic for the ODIHR's annual seminar was chosen in light of the growing numner and size of OSCE missions, each of which must address human rights issues in the context of different mandates. Indeed, some missions appear to have mandates which might encourage their members to want to ignore human rights problems, but the situation in the countries where these missions are deployed can have human rights abuses so severe that monitoring and reporting become a central activity. Even where human rights are highlighted in mandetes, the work of field mission can be hampered by a lack of expertise and training, coordiantion problems and inadequate support by OSCE instituition and participating States. At the time of the seminar, the OSCE had deployed 11 long-term missions, 8 other field activities similar to missions, and 3 representative offices to assist implementation of bilateral agreements. These field operations are located mostly in the Balkans, the Baltics, the Caucuses, Central Asia and thew westernmost states emerging from the former Soviet Union, and they range in size from four to 2000 mandated mission members. The largest and most well-known missions are those in Bosnia-Herzegovina, Croatia and, eclipsing the other two, Kosovo. Indeed, it was the preparetion for the Kosovo Verification Mission (KVM) which sparked quent, ongoing NATO action against Yugoslav and Serbian forces were the dominant issues in European affairs at the time the seminar was held.   

  • The Long Road Home – Struggling For Property Rights in Post-Communist Europe

    In this hearing, presided over by Rep. Chris Smith (NJ-04), the focus was on property restitution. Discussed by Smith, Campbell, other legislators, and witnesses – Stuart E. Eizenstat, Under Secretary of State for Economic, Business and Agricultural Affairs and U.S. Special Envoy for Property Claims in Central and Eastern Europe; Michael Lewan, Chairman, United States Commission for the Preservation of America’s Heritage Abroad; Bishop John Michael Botean, Romanian Catholic Diocese of Canton, Ohio; Vladislav Bevc, Ph.D., Executive Officer, American Owners of Property in Slovenia; Jan Sammer, The Czech Coordinating Office (non-governmental organization), Toronto, Canada; and, Vytautas Sliupas, Lithuanian “Class Action Complaint Group” – at issue was ill treatment and discrimination of religious communities. Smith stated, “Ill treatment afforded some religious communities suggests that religious inequality and discrimination are often at the heart of a government’s restitution policies rather than economic constraints or other legitimate issues that need to be worked through.” Likewise, Campbell stated, “Property restitution and compensation are not favors these newly free countries do for those who fled for their lives. They are essential steps forward in their own economic and political development.”

  • Concerning Anti-Semitic Statements by Members of the Duma of the Russian Federation

    Mr. Speaker, I move to suspend the rules and agree to the concurrent resolution (H. Con. Res. 37) concerning anti-Semitic statements made by members of the Duma of the Russian Federation, as amended. Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, H. Con. Res. 37 condemns anti-Semitic statements made by members of the Russian Duma and commends actions taken by fair-minded members of the Duma to censure the purveyors of anti-Semitism within their ranks. H. Con. Res. 37 further commends President Yeltsin and other members of the Russian Government for their rejection of such statements. Finally, this resolution reiterates the firm belief of the Congress that peace and justice cannot be achieved as long as governments and legislatures promote policies or let stand destructive remarks based on anti-Semitism, racism, and xenophobia.   Mr. Speaker, with the fall of the ruble last August and the associated economic problems in Russia, there has been a disturbing rise in anti-Semitic statements by high Russian political figures. Unfortunately, anti-Semitism has always had a certain following in Russia; and it would be disingenuous of us to suggest that there is no anti-Semitism in the United States or other parts of the world. But I believe we cannot remain silent when members of the national legislature of Russia, a participating state of the OSCE and the Council of Europe, should state at a Duma hearing, as did the chairman of the Duma Security Committee, Mr. Ilyukhin, that Russian President Yeltsin's “Jewish entourage” is responsible for alleged genocide against the Russian people. It is an affront to human decency that Duma member and retired General Albert Makashov, speaking twice in November 1998 at public rallies, should refer to “the Yids” and other “reformers and democrats” as responsible for Russia's problems and threaten to make a list and “send them to the other world.”   Mr. Speaker, this man, and I have seen a tape recording of him, as a matter of fact I played it at a Helsinki Commission hearing that I chaired last January, has said, “We will remain anti-Semites and we must triumph.” These are dangerous, hate-filled sentiments. Mr. Speaker, it should be noted and clearly stated that President Yeltsin and his government have condemned anti-Semitism and other expressions of ethnic and religious hatred. There have been attempts in the Duma to censure anti-Semitic statements and those who utter them. However, the Duma is controlled, as we all know, by the Communist Party, where anti-Semitic statements are either supported, or at least tolerated, and these attempts to censure have failed. So we must go on the record and censure. In fact, Communist Party Chairman Zyuganov has tried to rationalize anti-Semitic statements by fellow party members. He explains that the party has nothing against Jews, just Zionism. He has also stated that there will be no more anti-Semitic statements by General Makashov. But this is the same Mr. Zyuganov who has asserted that, and I quote, “too many people with strange-sounding family names mingle in the internal affairs of Russia.” And this is the party that claims to inherit that internationalist mantle of the old Communist Party.   Mr. Speaker, on January 15 of this year, I chaired a Helsinki Commission hearing regarding human rights in Russia, at which time we heard testimony by Lyuda Alexeeva, a former Soviet dissident and chairperson of the Moscow Helsinki Group. She testified that the Russian people themselves are not anti-Semitic but that the Communist Party is tolerating this crude attitude among its ranks. She called upon parliamentarians throughout the world to protest in no uncertain terms the position of the Communist Party and its anti-Semitic leaders. Let us make that a priority for us today, to censure, to speak out so that the democratic forces in Russia, the decent people who are trying to create a civil society in Russia, are not silenced by these demagogues of hate. I urge strong support for this resolution. We must go on record. Mr. Speaker, I reserve the balance of my time.

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