RESOURCE MATERIAL SERIES No. 54

CURRENT PROBLEMS IN THE COMBAT OF
TRANSNATIONAL ORGANIZED CRIME
Dimitris Vlassis*
I. TRANSNATIONAL ORGANIZEDCRIME IN PERSPECTIVE
Law-abiding citizens are becoming
increasingly aware of and concerned aboutcommon crime. Indeed, the fear of crime
seems to permeate our lives. We worry
about being mugged or robbed in a parking
lot; our wives and daughters are afraid of
being raped or molested while walking
home from work or school; many of us livein terror of having our children kidnapped,
or entrapped into drug circles. We put
alarms in our cars, place bars on our
windows, trying to make our homes as
secure as prisons; at the same time weaccept to live as prisoners.
The tools of crime have becomefrightening. Not to mention the misery it
leaves in its wake, the financial damage tosocieties is staggering. The economic priceexacted on our nations is enormous, while
its social and hidden human costs are evenhigher. In addition to traditional and“street” crime, the consequences of certain
new forms of criminality present real andpresent dangers to progress and a brake todevelopment. Economic crimes, including
fraudulent bankruptcy and illicit outflow
of capital, tax evasion, computer crimes
and the theft of works of art representing
the cultural heritage of nations, havebecome especially troubling, as they arevery difficult to detect and control,
particularly when they are inter-linked toc o r r u p t i o n a n d a b u s e o f p o w e r.
* Crime Prevention and Criminal Justice Officer,
Centre for International Crime Prevention, Officefor Drug Control and Crime Prevention, United
Nations Office at Vienna.

68

Environmental offences and criminal
negligence damage the human habitat,
sometimes irreversibly and disastrously.
Sea piracy, including against refugees, thetrafficking in persons across borders,
particularly women and children, and othercrimes, including smuggling of humanorgans or the mistreatment of migrants,
add a new dimension to human
exploitation. Violence is extending its reachfar beyond national frontiers; withterrorism introducing a random and highly
dangerous element into international
relations, and with the covert arms tradecreating a “deadly convergence” between
subversive movements, drug traffickers
and local warlords.
Crime strikes not only its mostimmediate victims, but seriously
undermines the foundation of trust uponwhich government rests, by eroding its
authority and legitimacy, wherever alleged
offenders manage to escape apprehension
and sanctioning. It is high time to promoteworldwide a culture of legality andtolerance, instead of accepting a culture oflawlessness and violence, which
dangerously threatens national
institutions and their principal foundation:
global values. Nations have decided to join
efforts to reduce crime not only because it
constitutes a serious infringement of ourinalienable right to live in peace andtranquility, but also because it impedes thequest of countries to growth, stability andsteady progress towards democracy.
Throughout the world, there isrecognition of the need to develop more
effective, ideally global, strategies to108TH INTERNATIONAL SEMINAR
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prevent and control crime, especiallytransnational organized crime. The task
before us is in my view even greater,
because the development of better andmore effective solutions is not the only
need; we must reassess the very nature anddimensions of the problem, and the policies
that can serve the common purpose of
dealing with it. But we must also reflectvery seriously on the impact of crime ingeneral, and transnational organized crimein particular, on our lives and economic
activity. We must gear our minds to thinkbeyond (and to challenge) perceptions moreor less well ingrained. We need to reassess
our interests and look beyond traditionalroles and stereotypes. If we do that, I am
sure we will discover that:(a) transnational organized crime is aphenomenon with multiple facets whichhave hardly been thoroughly studied;(b) organized criminal groups areconscious of and ready to seize theopportunities presented to them byglobalization and the growing trends
towards trade liberalization to expand theiractivities and operations, in spite of theincreased awareness of the problem on thepart of Governments;(c) in view of the increased opportunities,
but also in order to thwart efforts that go
together with the increased awareness,organized criminal groups are forming
alliances and re-examining theirstructures, as well as their targets andmodus operandi;(d) the public and private sectors sharemuch more than we previously perceived.
They share not only common interests but
also common values.
We must begin, as a matter of urgency,
to think in terms of new partnerships tosafeguard these values and protect mutualinterests.
While the forms of crime affecting ourlives and the viability of our societies are
numerous, organized crime is one of themost nefarious manifestations. Organizedcriminal groups are spreading theiroperations around the globe and areengaging in a variety of activities that
range from the traditional to the modern,with an increased level of sophistication.
They also display a remarkable ability toshift across borders and from activity toactivity with speed and adaptability thatwould be the envy of any legitimate
business.
The amounts of money generated bythese activities are mind-boggling. Leaving
aside some of the more “traditional”
activities, like drug trafficking, by way of
example, it is estimated that if car theft
and its illicit trafficking were a legitimate
business, it would rank fifth in the Fortune
500. Overall, the annual profits oforganized crime are estimated, according
to some sources, at one trillion dollars
world-wide; almost as much as the UnitedStates annual federal budget.
Free trade and high-speed
telecommunications make it easier toengage in multiple activities and to laundermoney across national borders, with anestimated one billion dollars in crime
profits wire-transferred though the world
financial markets every day. Moreover, theexport of precious raw materials, including
chemical, biological and nuclear material,is increasingly attracting the attention, andoften falling into the hands of, organizedcrime.
Through its interfaces with other licit
and illicit activities, organized crime isinfiltrating national economies, taking
advantage of the difficulties of following thetrail of criminal proceeds. It has become

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RESOURCE MATERIAL SERIES No. 54
clear that only by tackling organized crimein a concerted manner can we hope to makeinroads into a problem that transcends
borders and exceeds the capacity ofnational mechanisms operating alone.
Developing countries and emerging
democracies are becoming a target fororganized criminal groups operating acrossborders, because of their vulnerabilities
while their institutions are either young
or in the process of being built. Often, thesophisticated modus operandi of thesegroups is no match to the criminal justicesystems of developing countries andcountries with economies in transition. The
need for foreign capital to give new life to
the economy and assist these countries in
e n t e r i n g t o d a y ’s c o m p e t i t i v e a n ddemanding global market, frequently
obscures the long-term threat posed by theinvestment of criminal proceeds. Criminalgroups are keen to enter developing
countries and economies in transition, notonly because of their potential, but also
because of the decreased risks involved.
The advantages that such groups enjoy, due
to the sizeable amounts of money at theirdisposal and their ability to eliminate
competition through intimidation andviolence, make risks that would daunt any
legitimate business perfectly acceptable.
The consolidation of their power places ingrave danger the growing economies of
those countries, particularly in terms of
their future development, theircompetitiveness in the international arena,and their stability.
The situation has become even morealarming with the expansion of organizedcrime and the growing tendency oforganized criminal groups to diversify theiroperations in response to a principle thathas been driving international business
forever: reduce risks and maximize
p r o f i t a b i l i t y. S o m e y e a r s a g o ,criminologists were drawing a clear

70

distinction between the activities oforganized crime and the areas in which it
was operating, and another elusive formof crime known as “white-collar crime.”
This is no longer the case. While retaining
traditional activities, particularly thosethat continue to be lucrative, and finding
new ways of eluding law enforcement
efforts, organized criminal groups are
increasing their sophistication and turning
to “borderline” economic endeavours. The
advantages are obvious. Countries are stillin the process of analyzing the potential
for malfeasance of a broad range of new
economic activities and products available
to individual and institutional investors,
before they can even attempt to conceive,
elaborate and enforce adequate
regulations.
In addition to the obvious advantage ofconcealing wealth and laundering
proceeds, organized criminal groups are
drawn to the great possibilities for reaping
sizeable, perfectly legal profits before
anyone has even realized whether there
was anything wrong. Since this type ofcrime is often “victimless”, such activities
offer the additional advantage of not
drawing public attention, which puts
increased pressure on national authorities
for action.
Finally, such activities come with added
value: power, which organized crime has
never shunned if the price for obtaining it
was right. There is another feature in thistype of crimes that is both an additional
advantage for criminal groups and anincalculable danger for modern societies.
The successful engagement of criminals in
economic crimes is often viewed by the
public as an act of cunning and evenbravery. Social criticism for the perpetrator
is directed not at the commission of thecrime but at the failure to escape justice.
This attitude is a sign of the times andamply demonstrates the corrosive effects

108TH INTERNATIONAL SEMINAR
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that such crimes have on the social fabric.
It is fundamental that this attitude bereversed, because it can prove equally or
more dangerous than the offences
themselves. We must not shy away fromthis responsibility, which does not rest only
on Governments, but must be equallyshared by everyone, with the private sector
playing a prominent role.
What are the problems facing individual
countries and the international communityin effectively dealing with organized crime?
Policy-makers, legislators and criminal
justice officials think in a certain way. We
are all aware of the simple truth thateveryone is captive of his/her own
experience. We are trained according tocertain principles and standards, and weare naturally inclined to base ourreasoning, organize our work and approach
problems and seek solutions on the basisof these principles. These standards may
be part of our upbringing, our education,
our professional training or our experience.
Together with these standards andprinciples, we are also guided by certain
values which we believe are paramountand should be protected.
Policy-makers are trained to think interms or certain organizational structuresthat must be respected in making andimplementing policies. Legislators and law
enforcement officials are trained to thinkalong the fundamental lines of theirrespective legal systems in elaboratinglaws and in implementing them. When
faced with the necessity to put in place
functioning and effective mechanisms ofcooperation, responsible officials areconstrained by the fundamental principlesof their thinking and of the instruments
defining their mandate and the margins
within which they can operate or negotiate.
In order to comprehend the problem
calling for cooperation, people have thetendency to try and either break it down
to elements with which they are familiar
or try to project the problem (and its
constituent elements) within their own
overall perspective and operating
environment. This effort is manifested inseveral ways, principal among them being
the use of terminology. Consequently, in
discussions and negotiations on
international cooperation, government
representatives tend to reason in ways that
conform to their terminology and to theirnational legal frameworks and structures.
Furthermore, there are always effort toensure that the mechanisms ofinternational cooperation are designed insuch a way that would, if possible, not run
counter to national norms and legal
regimes.
Organized crime attacks the very
fundamental values that we are trying toprotect and on which we base ourperception of structures, norms andstandards. It also exploits lacunae and gapsthat exist in legal systems and in legal
thinking. It benefits from the limitations
that the mode of reasoning discussed above
imposes on mechanisms of international
cooperation. If we are to deal effectively anddecisively with organized crime, we must
challenge our way of thinking and change
the way we operate.
Let me make one thing absolutely clear
at this stage. The fundamental precept ofcriminal law is, and must remain, theprotection of individuals and society. Any
action against organized crime (or any formof crime for this matter) must not bedesigned or undertaken in a way thatwould jeopardize or compromise
fundamental rights and freedoms of theindividual or society. This is one of thereasons that the task is even more difficult.
Effective action against organized crime
requires an unreserved commitment to71

RESOURCE MATERIAL SERIES No. 54
international cooperation. It also requires
the will of Governments, and ultimately
everyone involved in policy-and decisionmaking, as well as civil society to conform
legislative instruments and practices to theneeds of international cooperation, insteadof the other way around. This means thatcountries should be willing and ready toamend their legislation in order to maketheir legal and law enforcement regimes
able to converge with those of othercountries in order to ensure that no matter
which activity, no matter in which
geographical region, and no matter who are
the perpetrators, organized crime groups
find no safe haven. Furthermore, this will
and readiness must be manifested by all
countries from all regions, and theircommitments must be sustained over time.
Action cannot be limited because of thetransnational nature of organized crimeand its ability to shift its operations acrossborders in response to increases in the risks
it is facing. The commitment must be
sustained over time for two reasons. First,
because of the strength and resilience oforganized criminal groups and, second,
because of the power organized criminalgroups wield due to their wealth and thecomparative advantage this wealth gives
organized criminal groups over law
enforcement authorities which invariably
operate with limited budgets. One may be
tempted to ask: is this a last cause? Are
efforts by law enforcement authorities
doomed to merely trying to catch up?
Optimism, albeit with caution, should
guide us in answering these questions.
Pooling resources, relying on active andgenuine cooperation, and constantly
increasing the professional capacities andthe knowledge of law enforcement andcriminal justice personnel can be theelements of successful action. But, more
importantly, there is need for functionalframeworks for international cooperation,
coupled with appropriate mechanisms at72

the national level.
II. UNITED NATIONS ACTIONAGAINST TRANSNATIONALORGANIZED CRIME
The work of the United Nations instrengthening international cooperation
against organized crime dates back twenty
years. The issue and its various aspects
have been debated and analyzed bysuccessive congresses on the prevention ofcrime and the treatment of offenders,starting with the Fifth Congress in 1975.
This debate has, of course, evolved throughthe years to reflect changing perceptions
and priorities of States, but also theincreased understanding of the real
dimensions of the problem.
The Fifth United Nations Congress on
the Prevention of Crime and the Treatmentof Offenders examined the “Changes in
Forms and Dimensions of CriminalityTransnational and National” under agenda
item 5. In what could today, with thebenefit of hindsight, be termed prophetic,
the Congress focussed on crime as businessat the national and transnational levels:
organized crime, white-collar crime andcorruption. Crime as business wasrecognized as posing a more serious threat
to society and national economies than
traditional forms of crime. While it was aserious problem in many developed
countries, the national welfare andeconomic development of the entire society
in developing countries was found to be
drastically affected by such criminal
conduct as bribery, price-fixing, smuggling
and currency offences.
In 1980, the Sixth United Nations
Congress, under agenda item 5 entitled“Crime and the Abuse of Power: Offences
and Offenders beyond the Reach of the
L a w, ” a d d e d n e w e l e m e n t s t o t h einternational perception of organized

108TH INTERNATIONAL SEMINAR
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crime. Among these offences were thosecrimes with respect to which the law
enforcement agencies were relatively
powerless, because the circumstances
under which they had been committed weresuch as to decrease the likelihood of their
being reported or prosecuted. Organizedcrime, bribery and corruption were among
the first examples listed.
The issue was considered further by theSeventh Congress in 1985 under Topic 1“New dimensions of criminality and crime
prevention in the context of development:challenges for the future.” The Congressemphasized that multiple illicit operations
carried out by international criminal
networks represented a major challenge tonational law enforcement and tointernational cooperation.
In 1988, a high-level plenipotentiary
conference, held in Vienna, adopted theUnited Nations Convention Against Illicit
Trafficking in Narcotic Drugs andPsychotropic Substances. At the end of
August 1996, 136 States were parties to
the Convention, which represents one of
the most important binding international
instruments against drug trafficking, anactivity in which transnational criminalorganizations are regularly engaged.
In 1990, within the framework of its
To p i c I I I “ E f f e c t i v e n a t i o n a l a n dinternational action against: (a) Organizedcrime; (b) Terrorist criminal activities,” theEighth Congress examined the problem oftransnational organized crime in the lightof new historic developments. The rapid
increase in the number of independent
countries, together with the growing
expansion of criminal activities beyond
national borders, had created the need for
new international institutions that could
introduce a measure of order and enhancethe effectiveness of crime prevention
efforts. On the recommendation of theCongress, the General Assembly made asubstantive step towards strengthening
international cooperation by adopting theModel Treaties on Extradition, on Mutual
Assistance in Criminal Matters, on
Transfer of proceedings in Criminal
Matters and on Transfer of Supervision of
Offenders Conditionally Sentenced or
Conditionally Released (resolutions 45/116,
45/117, 45/118 and 45/119 respectively).
The Congress also adopted a set of
guidelines against organized crime inresolution 24, which was welcomed by theGeneral Assembly in resolution 45\121. In
resolution 45/123, the General assembly
urged Member States to implement theseguidelines and invited them to makeavailable to the Secretary-General theirnational legislation against organizedcrime and money laundering.
Pursuant to General Assembly
resolution 45/108 of 14 December 1990 theMinisterial Meeting on the Creation of an
Effective United Nations Crime Prevention
and Criminal Justice Programme was heldin Versailles from 21 to 23 November 1991.
The General Assembly, by resolution 46/
152 of 18 December 1991, adopted a
proposed Statement of Principles andProgramme of Action, which, inter alia
established the Commission on Crime
Prevention and Criminal Justice (a 40member functional Commission of the
Economic and Social Council).
The Commission was established andheld its first session in 1992. On its
recommendation, the Economic and Social
Council adopted resolution 1992/22, bywhich it determined that one of the priority
themes that should guide the work of theCommission and the United Nations Crime
Prevention and Criminal Justice
Programme would be “national andtransnational crime, organized crime,
economic crime, including money
laundering, and the role of criminal law in73

RESOURCE MATERIAL SERIES No. 54
the protection of the environment”. The
Council also adopted resolution 1992/23, in
which it noted the recommendations of two
Ad Hoc expert group meetings held in 1991,
in Smolenice, Slovak Republic, and in
Suzdal, Russian Federation, and requested
the Secretary-General to continue theanalysis of the impact of organized criminal
activities upon society at large. The
Commission, also at its first session,
adopted resolution l/2 by which it requested
the Secretary-General to examine thepossibility of coordinating efforts made at
the multilateral level against launderingof the proceeds of crime and related
offences, and to propose means for technicalassistance to requesting Member States indrafting legislation, training law
enforcement personnel, in developing
regional, subregional and bilateral
cooperation and in providing advice.

on the structural characteristics of criminalorganizations. Countries were called upon
to begin the process of harmonizing theirlegislation, while special attention was paid
to the need for countries to ensure that
their criminal justice systems had thecapacity to prevent and control
transnational organized crime in all of its
manifestations. Equal attention was given
to the need for the international
community, particularly donor countries
and financing institutions, to assist
developing countries and countries witheconomies in transition, to bridge the gap
between the capacity of their law
enforcement authorities and criminal
justice systems in general, and the abilityof organized criminal groups to shift theiroperations from activity to activity and to
elude efforts against them by usingsophisticated methods of operation.

The efforts of the United Nations, andthe awareness and interest displayed by
the intemational community through theCommission on Crime Prevention andCriminal Justice, led to the organizationof one of the most significant events in thehistory of the United Nations Crime
Prevention and Criminal Justice
Programme. The World Ministerial
Conference on Organized Transnational
Crime was organized in Naples, Italy, from21 - 23 November 1994. The 142 States inattendance (86 of them at the Ministerial
level, while others were represented bytheir Heads of State or Government)
unanimously adopted the Naples Political
Declaration and Global Action Plan against
Organized Transnational Crime, which
was later approved by the General
Assembly (resolution 49/159 of 23
December 1994).

The Naples Political Declaration and
Global Action plan stressed the need for theinternational community to arrive at a
generally agreed concept of organized crime
as a basis for more compatible national
responses and more effective international
cooperation. Particular attention was given
to more effective bilateral and multilateral
cooperation against transnationalorganized crime, asking the Commission
on Crime Prevention and Criminal Justice
to examine the possibility of a convention
or conventions against transnationalorganized crime. Furthermore, theprevention and control of the laundering
and use of the proceeds of crime wereconsidered essential elements of any
international effort.

The Naples Political Declaration and
Global Action Plan emphasized the needand urgency for global action against
transnational organized crime, focussing

74

The Commission on Crime Prevention
and Criminal Justice followed up on theimplementation of the Naples Political
Declaration and Global Action Plan at its
fourth and fifth sessions (Vienna, 30 May 9 June 1995 and 21 - 31 May 1996
respectively). On its recommendation at its

108TH INTERNATIONAL SEMINAR
VISITING EXPERTS’ PAPERS
fourth session, ECOSOC adopted
resolution 1995/11 of 24 July 1995, in which
the Secretariat was requested (a) to initiate
the process of requesting the views ofGovernments on a convention orconventions; (b) to collect and analyze
information on the structure and dynamics
of transnational organized crime and on the
responses of States to this problem, for the
purpose of assisting the international
community to increase its knowledge on thematter; (c) to Submit to Member States at
the next session of the Commission a
proposal on the creation of a central
repository of existing legislative andregulatory measures and information onorganizational structures designed tocombat transnational organized crime; (d)to submit proposals to the Commission forthe development of practical models andpractical guidelines for substantive andprocedural legislation in order to assist
developing countries and countries intransition; (e) to provide advisory services
and technical assistance to requesting
Member States in needs assessment,
capacity- building and training, as well as
in the implementation of the Naples
Political Declaration and Global Action
Plan; and (f) to join effort with otherrelevant international organizations inorder to reinforce common regulatory andenforcement strategies in the area of
prevention and control of money
laundering, and to assist requesting Statesin assessing their needs in treaty
development and the development ofcriminal justice infrastructure and humanresources.
An in-sessional intergovernmental
working group was established at the fifthsession of the Commission to review theviews of Governments on a convention orconventions, as well as the proposals of theSecretariat described under (c) and (d)above. The Crime Prevention and Criminal
Justice Division, on the basis of information

provided by Member States, prepared areport for the Commission’s consideration
at its fifth session (Vienna, 21 - 31 May
1996), in which the actual situation oforganized crime was reviewed. Most
responding Member States expressed theirfavourable disposition towards aconvention against transnationalorganized crime.
In November 1995, the Divisionorganized a regional Ministerial Workshop
on the Follow-up to the Naples Political
Declaration and Global Action plan, hosted
by the Government of Argentina in Buenos
Aires. The Workshop adopted the Buenos
Aires Declaration on Prevention andControl of Organized Transnational Crime,in which the countries of Latin America andthe Caribbean expressed their support forexpeditious follow-up to the Naples
Political Declaration and Global Action
plan, and endorsed the idea of developing
a convention against transnationalorganized crime, offering a list of elementsthat such a convention should include.
At its fifth session, the Commission
devoted special attention to the issue oforganized crime in general, and to thefollow-up of Naples in particular. On its
recommendation, the General Assembly
adopted, at its fifty-first session in 1996,
the United Nations Declaration on Crime
and Public Security (resolution 51/60). By
this Declaration, Member States undertook
to seek to protect the security and wellbeing of all their citizens, by taking
effective national measures to combat
serious transnational crime, includingorganized crime, illicit drug and arms
trafficking, smuggling of other illicit
articles, organized trafficking in persons,terrorist crimes and the laundering ofproceeds from serious crimes. Member
States also pledged their mutual
cooperation and to promote bilateral,
regional, multilateral and global law

75

RESOURCE MATERIAL SERIES No. 54
enforcement cooperation and assistance;
white taking measures to prevent support
for and operations of criminalorganizations in their national territories.
In addition, Member States undertook, tothe fullest extent possible, to provide for
effective exdradition or prosecution of those
who engage in serious transnational crimes
in order to ensure that these criminals findno safe haven.
According to the Declaration, mutual
cooperation and assistance in thesematters would also include thestrengthening of systems for the sharing
of information among Member States, andthe provision of bilateral and multilateral
technical assistance. This is also importantin connection with the agreement ofMember States to take steps to strengthen
the overall professionalism of theircriminal justice, law enforcement andvictims assistance systems, as well as
relevant regulatory authorities. Member
States were urged to become parties assoon as possible to the principal existing
international treaties relating to thevarious aspects of the problem ofinternational terrorism, as well as to theinternational drug control conventions. The
Declaration called upon States to takemeasures to improve their ability to detectand interdict the movement across bordersof those engaged in serious transnational
crime, as well as the instrumentalities ofsuch crime, and to protect their territorialboundaries. Such measures would include
adopting effective controls on explosives
and against illicit trafficking in certain
materials and their components that are
specifically designed for use andmanufacturing nuclear, biological orchemical weapons; strengthening
supervision of passport issuance andenhancement of protection against
tampering and counterfeiting;strengthening enforcement of regulations
on illicit trafficking in firearms; and76

coordinating measures and enhancing
information exchange to combat theorganized criminal smuggling of persons
across national borders.
In connection with the control of theproceeds of crime, Member States agreed
to adopt measures to combat theconcealment or disguise of the true originof the proceeds of serious transnational
crime and the intentional conversion ortransfer of such proceeds for that purpose.
Member States also agreed to require
adequate record-keeping by financial andrelated institutions and the reporting of
suspicious transactions and to ensure
effective laws and procedures to permit the
seizure and forfeiture of the proceeds ofserious transnational crime. Member
States recognized the need to limit theapplication of bank secrecy laws, if any,
with respect to criminal operations and toobtain the cooperation of financial
institutions in detecting these and otheroperations which may be used for the
purpose of money laundering.
Further, Member States agreed tocombat and prohibit corruption and bribery
and to consider developing concerted
measures for international cooperation to
curb corrupt practices, as well as
developing technical expertise to preventand control corruption.
On the very important issue of
corruption, the General Assembly adopted
another resolution, also recommended by
the Commission at its fifth session(resolution 51/59). Entitled ‘‘action against
corruption’’, the resolution represents work
carried out in the context of the United
Nations Crime Prevention and Criminal
Justice Programme for the last seven years.
According to the resolution, the Assembly
adopted an lnternational Code of Conduct
for Public Officials, which sets out anumber of principles which Member States

108TH INTERNATIONAL SEMINAR
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can use as a tool to guide their efforts
against corruption. The crime Prevention
and Criminal Justice Division is currently
in the process of revising and expanding a
Manual on Practical Measures against
Corruption, which together with the Codeof Conduct would form a package foradvisory services, training and othertechnical assistance activities. We are also
working on model legislation against
corruption for use in the context oftechnical cooperation adivities. Countries
requesting assistance in this field would
be provided with the model law, which canbe adapted to the particular legal
requirements and other circumstances of
the country, and assisted in making such
adaptations and supplementing thelegislation with regulatory and othermeasures.
In 1996, the General Assembly adopted
another resolution (resolution 51/191) on
the United Nations Declaration against
Corruption and Bribery in International
Commercial Transactions. The resolution,
which approaches the issue of corruption
from another, very important angle,
contains a request to the Commission on
Crime Prevention and Criminal Justice toexamine ways, including through legallybinding international instruments, tofurther the implementation of the
Declaration, so as to promote thecriminalization of corruption and bribery
in international commercial transactions.
The Assembly stressed that this action
should in no way preclude, impede or delay
international, regional of national actionsin this field. The Assembly encouraged
private and public corporations, includingtransnational corporations, andindividuals engaged in internationalcommercial transactions to cooperate in theeffective implementation of the
Declaration. States committed themselves
to take effective and concrete action tocombat all forms of corruption, bribery andrelated illicit practices in internationalcommercial transactions and to call upon
private and public corporations, includingtransnational corporations, andindividuals within their jurisdiction
engaged in international commercial
transactions to promote the objectives of
the Declaration.
Further, in accordance with the
Declaration, which among other provisions
contains elements that bribery may
include, States committed themselves todeny, where not already done, the tax
deductibility of bribes paid by any private
or public corporation or individual to any
public official or elected representative ofanother country and to develop or maintainaccounting practices that improvetransparency of international commercial
transactions and that encourage
corporations and individuals to avoid andcombat corruption and bribery. In addition,
States committed themselves to develop or
encourage the development of business
codes, standards and best practices thatprohibit corruption, bribery and related
illicit practices in international commercial
transactions. Our Commission took further
action on the modalities of implementationof the Declaration at its sixth session in
April last year, while an expert groupmeeting was organized in Buenos Aires inMarch 1997, which made a number ofrecommendations to assist the Commission
with its work.
Reverting to the follow-up to the Naples
Political Declaration and Global Action
Plan, the Economic and Social Council
adopted resolution 1996/27, in which it took
note of the Buenos Aires Declaration andrequested the Secretary-General tocontinue his consultations with Member
States on the possibility of elaborating a
convention or conventions against
transnational organized crime. The Council
also requested the Secretary-General to77

RESOURCE MATERIAL SERIES No. 54
assist in the implementation of the Naples
Political Declaration and Global Action
Plan and to meet the needs of Member
States for increased knowledge on the
structure and dynamics of transnationalorganized crime in all its forms, as well as
trends in its development, areas of activity
and diversification. In addition the
Secretary-General was called upon to assist
Member States in reviewing existing
international instruments and exploring
the possibility of elaborating new ones tostrengthen and improve international
cooperation against transnationalorganized crime and to intensify technicalassistance in the form of advisory services
and training. The Secretary-General has
also been requeted to establish a central
repository for national legislation,
including regulatory measures, ontransnational organized crime; information
on organizational structures designed tocombat transnational organized crime; andinstruments for international cooperation,
including bilateral and multilateraltreaties and legislation to ensure theirimplementation. For the purpose ofproviding increased technical assistance torequesting Member States, the SecretaryGeneral has been requested to develop
training manuals for specialized law
enforcement and investigative personnel
on action against transnational organizedcrime, taking into account differences inlegal systems.
In July last year, we organized a regional
Ministerial Workshop in Dakar for thecountries of the African region. In adopting
the Dakar Declaration, the Ministers
reaffirmed their commitment to fightagainst transnational organized crime andreiterated their collective political will to
support the efforts of the Commission
towards the elaboration of an international
convention against transnationalorganized crime. In addition, the Ministers
reviewed and approved two regional

78

projects for technical cooperation aimed atproviding assistance to the Governmentsof the region in strengthening theircapacities to prevent and control
transnational organized crime.
The issue of the convention has come tothe forefront as a result of a resolution
adopted by the General Assembly in
December 1996 (resolution 51/120),
following the initiative of the Governmentof Poland to submit to the Assembly the
text of a draft framework convention
against transnational organized crime. On
the recommendation of the Commission atits sixth session, the General Assembly
adopted resolution 52/85 of 12 December
1997. By virtue of this resolution, an insessional intergovernmental group of
experts was established and held a meetingfrom 2 to 6 February in Warsaw. The
group’s mandate was to elaborate apreliminary draft of a possible
international convention against
transnational organized crime, on the basisof a number of documents andcontributions from Governments, either
individually or in the context of a working
group established at the last session of theCommission.
All this is a summary of the politicalprocess at the intergovernmental level.
This process may sometimes appear to becumbersome and to require considerable
time. It is, however, essential forinternational cooperation, since theobjective cannot be expediency and strong
language but consensus, together withconscious and genuine commitment, which
are the cornerstones of successful action.
While this process is under way, and inorder to encourage it and solidify the gains
that are made, technical cooperation is
crucial. The Centre for International Crime
Prevention has been making every effott
possible to advance the implementation of

108TH INTERNATIONAL SEMINAR
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the Naples Political Declaration and Global
Action Plan and to provide assistance toMember States who wish to strengthen
their capacity to fight organized crime. Of
course, as with almost everything thesedays, this is also a question of resources.
Technical cooperation activities areresource-intensive and the Centre’s regularbudget and extra-budgetary funds have not
kept up with the emphasis placed by theinternational community on the
Programme’s priority role as the providerof timely and practical assistance. The
problem we are facing has become moreacute in the past couple of years with themultiplication of requests from developing
countries and countries with economies intransition, whose needs have grownexponentially with the growth of crime ingeneral, but also with the expansion oforganized crime, and whose expectations
have been raised by the emphasis placedby the Commission on the provision ofpractical assistance and the neworientation of our Programme.
With the limited resources at our
disposal we have managed to provide
assistance to the Economic Community ofWest African States (ECOWAS) in
developing a regional convention on mutual
assistance in criminal matters and in
beginning a similar exercise with regard
to extradition. In South Africa, we assisted
the Government in developing a witness
protection programme, while anotherproject is under development to assist thecountry in strengthening its overall
capacity to prevent and control organizedcrime. In Kyrgyzstan we are currently
helping the Government to develop a
specific project related to the establishmentof a specialized department within the
Ministry of the Interior to fight organizedcrime. We have also managed to respondto Some of the needs of Belarus andUkraine, with the assistance of the United
Nations International Drug Control

Programme (UNDCP), and to carry out
needs assessments in Angola, Argentina,
Armenia, Bolivia, Georgia, Guinea, theFormer Yugoslav, Republic of Macedonia,
Togo and Pakistan. In Bosnia andHerzegovina we have developed a numberof project proposals, together with UNDCP,
while we are implementing a project onstrengthening the criminal justice system.
In Romania, we have developed a projectfor building and strengthening the capacityof the country’s criminal justice system toprevent and fight corruption and organizedcrime. On the occasion of the Buenos Aires
and Dakar Workshops mentioned above,
the Division developed regional technicalcooperation projects on action againstorganized crime and corruption
respectively, which are now awaiting
funding. In June 1996 we organized,
together with the Organization for Security
and Cooperation in Europe (OSCE) and
UNDCP, a seminar on drugs and crime forthe five Central Asian Republics. In
November, organized with funding by theGovernment of the United States, aninternational conference on the theft of,and illicit trafficking in, motor vehicles washosted by the Government of Poland in
Warsaw. We are also planning regional
Ministerial Workshops, along the lines ofthe ones held in Buenos Aires and Dakar
for Asia and the Pacific in Manila in Marchand for Eastern Europe, in Kiev, Ukraine,in June.
In 1996, a joint technical cooperation
project entitled “Global Programme against
Money Laundering’’ - aimed at making
international action against money
laundering more effective - was finalized by UNDCP and the Division. The project
consists of a number of specific activities
required at the international level to help
adequately fight money laundering, raiseawareness about the problem, put in place
the necessary legal frameworks, andprovide assistance to the judicial, financial

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RESOURCE MATERIAL SERIES No. 54
and law enforcement sectors. The project
has six immediate objectives: (a) increased
awareness and improved understanding of
the money laundering phenomenon andacceptance of the need forcountermeasures; (b) introduction of
relevant legislation, including promotion ofmutual legal assistance; (c) improved
global infrastructure including for thedelivery of training services; (d) improved
capacity of legal and related law
enforcement systems, including theestablishment of financial intelligence
units or similar bodies; (e) reduced
financial system vulnerability: and (f)improved process of performance
evaluation. Within this framework, theproject will target Priority Countries andassist them to put in place necessary
legislation and other regulations, tocounter money laundering, as well as
undertake activities in infrastructurebuilding and training in the judicial,financial and law enforcement sectors. To
this end, materials will be developed, suchas a compendium of relevant national
legislation and procedures, as well as
computer databases and training materials
of general application. These materials will
be tested in pilot projects. The project wasapproved in October 1996 and the bulk of
the necessary financing has already been
secured. Its execution, which has alreadybegun and is expected to last three years,
is being carried out by UNDCP incooperation with the Centre. The project
also foresees close cooperation with otherorganizations active in the field, such as
the Financial Action Task Force (FATF), in
order to ensure proper coordination of thework done at the international level.
But much more needs to be done. We
must raise awareness among people andwithin the business community about thedangers, the methods of operation and theshort and long-term impact of the activitiesof transnational criminal organizations. We

80must direct attention to the fact thatorganized criminal groups are now involved
not only in traditional and violent crimes,
but are shifting their attention to theeconomic and financial spheres. We must
make everyone aware of the effects of these
activities on our financial systems, ourdaily lives and, most importantly, on ourvalues and institutions. We must allunderstand that no country is immune, nocountry is safe from the operations ofcriminal organizations, no matter what its
level of development. The vast resources
available to criminal organizations makethe race with law enforcement and criminal
justice an unequal one under any
circumstances. It is only a question ofdegree of sophistication, and a question oftype of activities which present less risk
for criminal organizations. International
cooperation holds the key. Genuineinternational cooperation, as well as
forward looking concerted action, can only
stem from knowledge. It is of the utmost
urgency that we develop and disseminate
information. The international community
cannot afford to allow the situation todeteriorate further. It must take measures
now and proceed to practical action basedon agreement and founded on collective
political will, as expressed in Naples andin every international forum since. It is still
possible for such action to be proactive andnot only be composed of damage control orcontainment measures. We must not lose
this opportunity through further delay.
The role that the private sector can playin furthering the process and in developing
and taking the appropriate action againstorganized crime, including money
laundering is central and crucial. Assistingdeveloping countries and countries witheconomies in transition to build andstrengthen their criminal justice system tofight transnational organized crime in allits forms, including money laundering, isa sound investment, and one with high

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long-term returns. In the last quarter
century, private capital flows to developing
countries have risen 35 times, from $5
billion to $176 billion. These investments,
most of which are long-term can flourish
and their potential and returns can be
maximized only in an environment of
security and stability. The cost ofinvestment can be considerably lower when
not compounded by expenditures forsecurity of installations, personnel andproducts. It is fundamental to any businessthat competition be not restricted throughthe operations of organized criminal groups
and their front companies, or that the
integrity, image and viability of acorporation would not be compromised or
threatened through infiltration by thesegroups or their laundered profits.
As the Secretary-General of the United
Nations said in Davos a few weeks after
he took office, “in the post-cold-war era,peace and security can no longer be defined
simply in terms of military might or thebalance of terror. The world has changed.
...In today’s world, the private sector is thedominant engine of growth; the principal
creator of value and wealth; the source ofthe largest financial, technological andmanagerial resources. If the private sector
does not deliver economic opportunity equitably and sustainably - around theworld, then peace will remain fragile andsocial justice a distant dream.’’A partnership between the private sector
and the United Nations is crucial and wemust work together to forge and sustain
it. The United Nations set the international
norms and standards that make progresspossible. The partnership between the
United Nations and the private sector canhelp ensure that progress and development
are not threatened by crime.

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