Grigol Katamadze: the creation of a single body for the investigating of financial crimes is caused by the great losses of our country due to the miscellaneous abuses

At the beginning of my yet another article in the series dealing with the need to create a new single body as soon as possible — the Financial Investigation Service, let me reiterate that it is my deepest conviction that a thorough study and implementation of positive foreign experience is of vital importance in order to establish our own model of state’s role in regulating the issues of financial and economic security.

I am convinced that we need to carefully and persistently study the accumulated foreign experience ( that of: Austria, Georgia, Italy, Poland, the USA, Sweden, Lithuania), which shows that a single body to combat financial and economic crimes can effectively operate in the state. The very creation of a single law enforcement body specializing in the investigation of financial crimes is a fairly common practice among developed countries and it would only increases the efficiency of its activities.
I will once again return to history of this issue. As early as on July 25th, 2017, the Ministry of Finance of Ukraine announced on its website: “Italy will provide the practical support in the implementation of Ukraine’s reforms in the financial sphere. The Minister of Economy and Finances of Italy Pier Carlo Padoan declared his readiness to cooperate in the key areas during today’s meeting with Oleksandr Danyliuk. Particular attention was given to the issue of establishment of the Financial Investigation Service (FIS) in Ukraine — of a body to combat economic crimes against the state, the functions of which will be similar to those of the Italian Financial Guard. Minister Padoan stressed that it is very good that such a service will be created in Ukraine «from scratch». This alone will allow to reduce the corruption risks and to create a qualitatively new and professional structure. »
The next year there was different information about our other foreign partners. Thus, the press service of the Ministry of Finance reported that on January 14, 2018, the former Minister of Finance of Ukraine Oleksandr Danyliuk “discussed the creation of the FIS with the Deputy Director of FinCEN Jamal El-Hindi in the United States. The Financial Crimes Enforcement Network (FinCEN) is ready to assist Ukraine in establishing of the Financial Investigation Service.» The ex-minister stated that «within the State Body there is a satisfaction with the level of cooperation with Ukraine and that they are going to actively monitor the process of forming of the Financial Investigation Service — of the single body to combat financial crimes against the state.»
First thing that may come to mind: Have we been «tricked» yet again? I say this with regard to the «efforts» and «promises» of the government, albeit the previous one. Is it still not clear for the current government that it is necessary to create a Financial Investigation Service and the sooner it happens the better?
Dear readers, in the previous article I gave an example of the successful work of the Financial Crimes Investigation Service of the Republic of Lithuania.
Now, in continuation of the examples of successful and very effective work of foreign Financial Investigation Services, I will provide the example of Georgia. To do this, I am sure, it is enough for me to present to you for clarity some statistical figures by the Investigation Service of the Ministry of Finance of Georgia from their official website: if in 2018 there were revealed 723 facts of offenses, from which the funds were attracted to the budget in amount of — 93.7 million GEL (32.9 millions of USD), in 2019, almost from the same number of disclosed facts of offenses — 769 (+46), twice as much funds were attracted to the budget — 182.9 million GEL (79.5 millions of USD).
I will also provide you with the statistics of bringing to justice of the violators: in 2018, 1273 violations were revealed, with 1,085 prosecuted; in 2019 this indicator increased to 1369 (+96) violations, while 1126 (+41) of the violators were brought to justice. I would like to note that the percentage of those prosecuted is quite significant, both in 2018 and in 2019, it is over 80%.
In the end of the article, I can tell my readers: “I am optimistic about life, my way of looking at things has always been, will always be, and currently is a positive one, and with utmost faith in the better future. Therefore, I would like to remind the Chairman of the Verkhovna Rada Committee on Finance, Taxation and Customs Policy — Danylo Hetmantsev of his own words to journalists in the corridors of the parliament in September last year, as the Ukrinform correspondent reported:
«The Bureau of Financial Investigations is a body that is created instead of the Tax Police, which is being abolished, and it also takes over the functions of the Ministry of Internal Affairs to investigate crimes in the field of public finances and of the Security Service of Ukraine to investigate these very crimes.»
Dear elected officials, I will tell you frankly: the need to create a single body to investigate financial crimes is caused, first of all, by the great losses of our country due to various abuses, and I am sure that no one will object to this. So, create it as soon as possible — it will reduce the pressure on business and make the country’s financial system transparent.

President of UNGO TAU
Vice President of the Taxpayers Association of Europe
Member of the Supervisory Board of the Ukrayinsʹka Rada Biznesu
Ambassador Extraordinary and Plenipotentiary Grigol Katamadze